Alejandro Solé, Chief Investment Officer at TechEnergy Ventures, and Massimiliano Pieri, CEO and co-founder of Tulum Energy, took the stage at Innovation Agora’s “Turquoise Hydrogen Venture Build” pod to unveil their cutting-edge project.

Tulum Energy, the venture-backed startup of TechEnergy Ventures, is nearing the close of a USD 25 million seed round to build a pilot methane pyrolysis plant. The project will repurpose an electric arc furnace using advanced technology licensed from Tenova.

Alejandro Solé outlined the vision behind TechEnergy Ventures, the corporate venture capital arm of the Techint Group charged with investigating the energy transition. “Four years ago, as part of Tecpetrol’s commitment to the energy transition, we launched TechEnergy Ventures to scout opportunities and develop new businesses in this space,” he said. “Since then, we’ve been investing across key areas—hydrogen, stationary storage, carbon management, sustainable fuels, geothermal energy, and critical minerals.”

This commitment to innovation gave rise to Tulum Energy, a venture specifically focused on developing a methane pyrolysis pilot plant. “Three years ago, just a week after launching TechEnergy Ventures, the Tenova team approached us with a compelling idea—repurposing an electric arc furnace to pioneer methane pyrolysis technology,” Solé recalled. “That conversation sparked the creation of what we now call Tulum. Tenova brought the technology and technical expertise, while TechEnergy Ventures supplied the capital, market knowledge, competitive analysis, and venture-building muscle needed to bring a new company to life.”

During his presentation, Solé also pointed out a common challenge when it comes to integrating R&D within large organizations. “We often find that research exists within the corporate structure, but when it comes time for development, the opportunity may not fit neatly with the company’s broader strategy,” he noted.

A structured approach to building Tulum Energy

“In the first phase, we focused on market analysis, securing intellectual property, and building a clear technology roadmap,” Solé explained. “From the start, we brought investors on board to ensure the project’s long-term viability.” He went on to describe the second phase, which centered on building the company’s foundation: assembling a high-impact team, completing the detailed engineering for the pilot plant, securing a location, and launching the capital raise. “We’re now closing our seed round and preparing to begin construction,” he said. “What makes this unique is how we’ve combined the entrepreneurial pace of execution with Tenova’s deep expertise in methane pyrolysis technology.”

Massimiliano Pieri, CEO of Tulum Energy, offered a broader market perspective. “Today, global hydrogen production stands at around 100 million tons per year, and demand is expected to at least double over the next three decades,” he said. “Most of it is used in refineries, ammonia production, and chemical processing. By 2050, the hydrogen market could reach USD 300 billion—excluding emerging uses like fuel and power generation.”

Pieri also addressed the carbon footprint of current hydrogen production methods, which generate nearly 900 megatons of CO₂ annually. He pointed to the limitations of existing low-carbon alternatives. “Green hydrogen requires 50 to 60 kilowatt-hours per kilogram, plus significant land and water resources,” he pointed out. “Meanwhile, blue hydrogen faces both economic and infrastructure challenges. That’s why we see methane pyrolysis as a promising alternative—it uses less energy, offers greater deployment flexibility, and requires a much smaller land footprint.”

Tulum Energy’s technology builds on proven industrial processes, adapted for a new energy frontier. “Our approach is grounded in commercially scalable solutions,” Pieri explained. “The core component is an electric arc furnace—much like those used in the steel industry—modified to thermally crack methane molecules at high temperatures. The second is a heat exchanger that captures energy from the hydrogen output and uses it to preheat incoming methane, significantly boosting overall energy efficiency.”

However, methane pyrolysis comes with a distinct operational complexity: managing two distinct markets. “The challenge lies in the dual-output nature of the process—hydrogen and solid carbon,” Pieri noted. “Each product has its own customer base and market dynamics, which makes things more complex. But we’ve already begun conversations with potential offtakers for both hydrogen and carbon, and the response has been very encouraging.”

A promising path

As TechEnergy Ventures and Tulum Energy move ahead with fundraising and building their pilot plant, the project is taking an important step toward bringing methane pyrolysis to market.

Backed by strong investor interest and technical know-how from across the Techint Group, the initiative has the potential to make a real impact on lowering emissions in industrial hydrogen production.

TechEnergy Ventures’ participation at CERAWeek reflects a clear focus on practical innovation and real-world solutions for the energy transition—showing how industry expertise and fresh ideas can work together to drive change.