SK Corp makes strategic investment in US clean energy company Monolith
Published 9 June 2021
In an effort to ramp up its clean energy business, SK Corp., the holding company of South Korea’s SK Group, has made a strategic investment in Monolith Materials Inc.
The holding firm of South Korea’s No. 3 conglomerate said it has signed a deal to acquire stakes in Monolith, , an American hydrogen company. However, it did not provide specifics of the investment amount.
Monolith uses renewable electricity to convert natural gas to hydrogen and carbon black, which is used in the automotive and industrial sectors. Its emission-free hydrogen produced via a plasma-based process is classified as “green hydrogen.”
SK Group, whose businesses include petrochemicals, natural gas and electric vehicle batteries, is speeding up its transition to eco-friendly energy sources, and has expanded investment in hydrogen to use it in power plants and vehicles instead of fossil fuels.
In January, SK Group acquired a 9.9 per cent stake in U.S-based hydrogen fuel cell maker Plug Power Inc. and agreed to form a joint venture to help provide hydrogen fuel cell products to Asian markets.
The Hydrogen option
Falling costs for hydrogen produced with renewable energy, combined with the urgency of cutting greenhouse-gas emissions, has given clean hydrogen unprecedented political and business momentum, according to a report by International Renewable Energy Agency.
Hydrogen can also help improve air quality and strengthen energy security.