Green hydrogen is intended to make industry and mobility more climate-friendly as part of the energy transition. The German Federal Ministry of Education and Research even describes the energy source as the crude oil of tomorrow. However, there is a threat of shortages of an important raw material for hydrogen production: the rare platinum group metal iridium.
The energy transition is facing a new challenge: a shortage of the platinum group metal iridium could slow down the expansion of hydrogen production. Iridium plays a central role in chemical electrolysis, which is essential for the production of green hydrogen. Experts warn of possible supply bottlenecks and call for research into alternative raw materials and technologies.
Hydrogen as the energy source of the future
Electrolysers are a key component of green hydrogen production, as they split water into oxygen and hydrogen. If electricity from renewable energy sources is used in this energy-intensive electrolysis process, it is referred to as green hydrogen. There are now Various forms of electrolysis. One process is proton exchange membrane (PEM) electrolysis. It is characterised by the fact that it copes well with dynamic changes between standby and operation under full load. This is an important aspect in the production of renewable energy from wind and sun. In the PEM electrolyser, the anode, where oxidation takes place, is coated with iridium. Philipp Götzl-Mamba, precious metals expert at TRADIUM, explains why: "The platinum group metal has a great catalytic effect and increases the efficiency of the splitting of water. The rising demand for green hydrogen could lead to a significant increase in demand for the metal in the long term.
Major hydrogen plans meet critical raw material supply
The European Union has set ambitious targets for the production of green hydrogen: Ten million tonnes are to be produced annually by 2030, with an estimated electrolysis capacity of 40 gigawatts. Götzl-Mamba calculates that 300 to 400 kilograms of iridium are currently required for each gigawatt of PEM electrolysis capacity and warns that the annual production of just eight tonnes, which is mainly extracted in South Africa, will not be enough to achieve this. Even if all the iridium mined worldwide were to be used for electrolysis, the total output would only be 20 to 27 gigawatts.
New technologies and recycling under long-term development
The potential shortage of iridium therefore casts a shadow over the planned energy transition. It could also cause the price of the raw material to rise and consequently drive up the cost of hydrogen production, as the platinum group metal is currently indispensable in electrolysis. In view of this scenario, the industry is researching innovative solutions. One approach is electrolysis technologies that require smaller quantities of iridium. In addition, recycling will become much more important, predicts Götzl-Mamba from TRADIUM. However, a number of logistical, economic and technological challenges still need to be tackled.
Further assessments by our expert Philipp Götzl-Mamba on iridium availability and the development of the raw materials market can be found in a recent article in the Handelsblatt. You can read his view of the current market situation as a PDF here.
