Houston company selects site for net-zero hydrogen production facility, low-carbon microgrid

major move

This major project will include net-zero hydrogen production to be used onsite to fuel a microgrid, greenhouses, and more. Image courtesy of Fidelis New Energy

A Houston-based energy transition infrastructure firm has announced where it's planning to build a multiple-phase project that will produce carbon-neutral hydrogen and run a low-carbon microgrid.

Fidelis New Energy selected Mason County, West Virginia, as the site for its carbon neutral hydrogen production facility and low carbon microgrid —The Mountaineer GigaSystem and the Monarch Cloud Campus for data centers powered by net-zero hydrogen.

The facility will be using the company's the proprietary tech, called the FidelisH2, that produces hydrogen using "a combination of natural gas, renewable energy, and carbon capture, utilization, and sequestration," according to a news release.

The four-phase project is estimated to cost $2 billion per phase and will produce over 500 metric tons per day of net-zero carbon hydrogen. The first phase is expected to be completed in 2028.

"I am beyond excited that West Virginia will be the home of the Mountaineer GigaSystem and Monarch Cloud Campus," West Virginia Governor Jim Justice says in a news release. "West Virginia has a long history as an energy powerhouse for our nation, thanks to our hardworking people who know how to get the job done. And now, we're in a great position to make the most of a new fuel – hydrogen – through this incredible project in Mason County.

"There's simply no doubt that Fidelis is going to help shape the future of West Virginia in a major, major way by assisting in the commercial lift-off of some truly exciting new industries," he continues.

The project includes an incentive package from the West Virginia Department of Economic Development.

"The project's four-phase construction plan will not only provide substantial employment opportunities for the local workforce, with 800 full-time jobs and 4,200 construction workers, but it will also have a major positive impact on the region's economy," John Musgrave, the executive director of the Mason County Development Authority, says in the release. "The influx of workers and the establishment of the facility will bring additional business, industry, and new technology to Mason County, the state, and the surrounding region."

In addition to the hydrogen-producing FidelisH2 tool, Fidelis's suite of technologies includes H2PowerCool, which powers and cools data centers, and CO2PowerGrow, which is used for greenhouses to decarbonize and lower the cost of food production.

The new collaborative project is a rising amid the region's bid in the U.S. Department of Energy’s Office of Clean Energy Demonstrations for the regional clean hydrogen hub Funding Opportunity Announcement. The bid, called the Appalachian Regional Clean Hydrogen Hub, or ARCH2, was submitted earlier this year by a multi-state effort.

"Our proprietary net-zero solutions using only proven technologies are attracting significant commercial interest from hydrogen users, data center operators, and greenhouse owners," Bengt Jarlsjo, co-founder, president, and COO at Fidelis, says in the release. "This helps the ARCH2 hub to achieve scale across the hydrogen lifecycle from production through consumption."

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UH team lands $2.9M DOE grant to develop next-gen magnets with AI

critical minerals

University of Houston researchers are leading an effort to find alternatives to a key element of the U.S. economy.

A UH-led coalition is exploring the use of AI to design and manufacture next-generation permanent magnets for the energy and industrial sectors. The project seeks to develop new, more sustainable magnets that reduce U.S. reliance on vulnerable foreign sources of critical minerals, primarily China.

A nearly $2.9 million grant from the U.S. Department of Energy supports the work.

“Rare earth elements, critical minerals, and magnets are indispensable to American energy, industry, and national security,” Conner Prochaska, director of the Advanced Research Projects Agency–Energy, said in a news release. “These projects will accelerate domestic mineral discovery and develop ultra-powerful magnets to mobilize U.S. critical mineral reserves, safeguard supply chains, and protect American energy and economic interests.”

Over the three-year grant period, principal investigator Jakoah Brgoch, a chemistry professor at UH, will head the Guided AI for Magnetic Boride/Carbide Intermetallic Technologies (GAMBIT) project. Brgosh was one of seven new senior members from UH named to the National Academy of Inventors earlier this year.

Other members of the team include Joshua Bocarsly, an assistant professor in the UH chemistry department; scientists at Rice University; and Houston-based startup Newfound Materials, which occupies space at Greentown Labs.

The UH-led team aims to surpass the properties of neodymium iron boron, the current industry-standard material for high-performance permanent magnets. These magnets are vital components in electric vehicles, industrial motors, generators, electronics and other advanced technologies.

“Strong magnets are used all over our economy. For example, many modern air-conditioning systems rely on permanent-magnet motors to drive compressors and blower fans,” Brgoch said.

“This has been a longstanding challenge to think about how we replace these magnets with high-performing and more reliable materials, and optimization by just replacing elements is not working,” Brgoch added. “Our goal is to use AI to find entirely new materials while simultaneously balancing these supply constraint concerns.”

The research team will work on discovering and testing potential magnet replacements. According to UH, the project’s ultimate goal is to commercialize the magnets through a new startup or by expanding Newfound Materials’ business units. The local startup has developed a predictive engine for materials research and development.

10 can't-miss events at Houston Energy and Climate Week 2026

where to be

Editor's note: Houston Energy and Climate Week returns for its third year, Sept. 12–18, with panels, happy hours, pitch days and tours focused on the energy transition.

The Ion District will host many of the week's events. Here are details on some can't-miss, signature events and how to register. Find the full schedule here. Please note: this article may be updated to add more events.

Sept. 13 — The & Awards

Kick off the week by celebrating Houston honorees leading the future of energy at the & Awards. The & Awards will honor Zay Zeidman, chairman of Houston First and managing partner of Altitude Ventures; The University of Houston's Renu Khator and Ramanan Krishnamoorti; Maryanne Maldonado, CEO of the World Affairs Council; and Fervo Energy co-founders Tim Latimer (CEO) and Jack Norbeck (CTO). The inaugural posthumous Lifetime Ambassador Award will honor former Houston Mayor Sylvester Turner, and this year’s Allies in Energy grant recipients will also be recognized. The evening will include a fireside chat, an immersive gallery, live music, passed hors d'oeuvres, Champagne and plenty of networking opportunities.

This event is Sunday, Sept. 13, from 6-9 p.m. at ARTECHOUSE Houston. Register here.

Sept. 14 — Brews on the Bayou

Head to Saint Arnold Brewery for a more laid-back kickoff event. Grab a beer and take in a live conversation with Paul Hobby, managing director of Genesis Park, and Katie Mehnert, CEO of The Bee Suite and co-founder of HECW. Rice University's Aaron Pomerantz will moderate the discussion. Then hear a live performance from AY Young.

This event is Monday, Sept. 14, from 6-9 p.m. at Saint Arnold Brewery. Register here.

Sept. 14–18 — Sip For Sustainability

Enjoy a signature cocktail at five H Town Restaurant Group spots each night of Houston Energy and Climate Week. A portion of every purchase will go toward Allies in Energy, which supports education, collaboration, and community programs that drive a more sustainable future. Participating eateries include Hugo's, Xochi, Uber, Zaranda and Caracol.

These events begin Monday, Sept. 14, from 3-5 p.m. Find more information on each day's happy hour here.

Sept. 15 — HTX Tech Tours

HECW will present two Tech Tours this year, offering attendees a closer look at the region's climatech scene. The Metro Innovation Tour & Market will visit Sugar Land Town Square, Shell Technology Center Houston, SLB West Houston Campus, University of Houston at Sugar Land, Ambrosia Space, NanoTech Materials and Syzygy Plasmonics. The Bay City South Innovation Tour will visit Sugar Land Town Square and Erthos Project Bravo in Matagorda County. Both tours will head to Astros Night at Daikin Park to wrap up the day.

These events are Tuesday, Sept. 15. Find more information here.

Sept. 15 — Meet the Activate Houston Cohort 2026 Fellows

Meet Activate's latest cohort, which was named this summer, and learn more about their hardtech and climate-focused solutions. Also meet founders from the organization’s 2025 cohort during Houston Energy and Climate Startup Week.

This event is Tuesday, Sept. 15, from 5-7 p.m. at the Ion. Register here.

Sept. 15 – Cypher Pilotathon and Startup Showcase

Grab coffee and take in keynotes and panels featuring leaders from Amperon, Aramco Ventures, New Climate Ventures, Syzygy Plasmonics and many others during this signature event, this year under the theme “The NEW Energy Industrial Revolution.” After lunch, hear pitches from 31 ventures during the Pilotathon. This year's event will also feature a startup showcase with interactive booths where attendees can meet founders and see demonstrations, plus an industry hub where corporates and investors can engage with emerging technologies and identify the pilots they want to move forward with.

This event is Tuesday, Sept. 15, from 9 a.m.-5 p.m. at POST Houston. Get tickets here.

Sept. 15 — Houston Astros Energy Night

Catch a game and chat with fellow clean energy enthusiasts during Houston Astros Energy Night. The 'Stros take on the Kansas City Royals. A bonus? Dollar Hot Dog Night at Daikin Park.

This event is Tuesday, Sept. 15, starting at 7:10 p.m. at Daikin Park. Get tickets here.

Sept. 16 — Greentown Labs Climatech Summit

Entrepreneurs, investors, corporate leaders, policymakers and philanthropists will head to Houston this month for the annual Greentown Climatetech Summit. Hear from Greentown CEO Georgina Campbell Flatter and keynote speaker Tim Latimer, CEO and co-founder of Houston geothermal unicorn Fervo Energy, plus numerous other engaging panels at the Ion. Then head to Greentown Labs for an open house and startup showcase, where attendees can meet some of the climatech incubators' members, before taking in the startup pitch competition followed by happy hour over at the Continental Club.

This event is Wednesday, Sept. 16, from 8 a.m.–9 p.m. at multiple locations. Register here.

Sept. 17 — Rice Alliance Energy Tech Venture Forum

Hear from clean energy startups from around the world at the 23rd annual Energy Tech Venture Forum. In addition to the pitches, this event will also host keynotes from Sean Maher, chief economist at Phillips 66, and Ira Ehrenpreis, founder and managing partner of DBL Partner. Panels will focus on technologies, infrastructure and commercialization strategies needed to deploy breakthrough innovations at scale. Following the event, the Rice Alliance will also name its annual “Most Promising” startup.

This event is Thursday, Sept. 17, from 7:30 a.m.-5 p.m. at Rice University’s Jones Graduate School of Business. Register here.

Sept. 18 — Halliburton Labs Finalists Pitch Day

Hear from Halliburton Labs' latest cohort of entrepreneurs. The incubator aims to advance the companies’ commercialization with support from Halliburton's network, facilities and financing opportunities. Its latest cohort includes one company from Texas.

This event is Friday, Sept. 18, from 8 a.m.-noon at The Ion. Register here.

UH report says CO2 technology could unlock 137B barrels of U.S. oil

oil recovery

A new report from the University of Houston estimates that a method known as carbon dioxide-enhanced oil recovery (CO2-EOR) could recover roughly 137 billion barrels of U.S. oil—with Texas and the Gulf Coast poised to play a major role.

A UH Energy-produced white paper, titled “Revitalization of Mature Oil Fields: Opportunities and Challenges of CO2-EOR,” looks at how CO2-EOR could increase U.S. energy supply, reduce carbon emissions and lower the carbon intensity of oil production.

CO2-EOR injects pressurized carbon dioxide into mature oil wells to loosen and push oil trapped underground toward the production wells, allowing operators to extract oil typically left behind. The process permanently stores some CO2 underground, reducing carbon emissions and carbon intensity.

“Injected CO2 works to revitalize mature oil fields by reducing oil viscosity, improving sweep efficiency and restoring reservoir pressure, resulting in incremental oil production beyond primary and secondary recovery,” the report reads. “CO2-EOR also supports permanent carbon storage and by virtue of this will produce uniquely low-carbon intensity oil for global markets.”

Authored by Charles McConnell, executive director of UH's Center for Carbon Management in Energy, and Zhiyuan Li, a UH petroleum engineering doctoral candidate, the paper says that much of the opportunity lies right under the feet of Texas oil companies.

Texas and the Gulf Coast, including its offshore resources, have half of the nation's oil resources considered favorable for the CO2-EOR technology, the report says. According to UH, conventional U.S. oil reservoirs contain 624 billion barrels, with 434 billion barrels still underground, including about 20 billion barrels of proven reserves.

Still, the paper argues that the economics behind CO2-EOR need to be considered. The process’ success depends on a number of factors, including costs of carbon capture, field redevelopment, operations, monitoring, transportation and available tax incentives, according to UH.

Logistically, developing CO2-EOR operations out of older wells and infrastructure presents pros and cons. While using older wells can be more economical, aging infrastructure may require more frequent monitoring, inspection, repair or re-plugging, according to UH.

Ultimately, the report recommends focusing CO2-EOR development on mature oil fields with existing infrastructure, well-understood geology and reliable CO2 supplies. This approach, UH says, could help extend the productive life of existing oil fields while supporting “lower carbon intensity oil for global markets and a significant contribution to energy security.”

Read the full report here.

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