Natural Hydrogen’s Untapped Potential – and the Policy Gap Holding the Market Back

Natural hydrogen projects are ramping up - at the recent Foresight webinar, we discussed what's next for the sector, and what needs to happen now

Imagine a plentiful, zero-carbon fuel source lying beneath our feet, in some cases potentially in wells drilled decades ago for oil and gas. This isn’t science fiction. It’s natural hydrogen (gold or white hydrogen), which forms underground through natural geological and biological processes, often in mafic, ultra-mafic rocks.

So why aren’t we already using it? That was the question at the heart of a recent Foresight webinar exploring the global market potential of natural hydrogen, where discussion centred on the key barriers to growth, and what immediate actions are needed to address them.

Right now, the UK has no licensing framework for natural hydrogen exploration. Without licences, companies can’t drill. Without drilling, the sector can’t move from theory to proof. And without proof, investment becomes almost impossible.

This stands in stark contrast to more proactive regions. South Australia regulates hydrogen alongside other substances, actively encouraging exploration. France has issued exploration permits and is working to define the legal and regulatory framework.

As Richard Heath, Commercial Director of the Natural Hydrogen Study Group, put it: “Without a framework for companies to recover any exploration money, there will be very little work done in the UK.”

Experts came together at a Foresight webinar to discuss the natural hydrogen market opportunity

 The irony is that the UK is not starting from scratch. Decades of oil and gas operations mean we already have the skills, data, and technology to pivot to natural hydrogen. What’s missing is proof of large-scale production capacity – and that requires test wells.

Dr Arnout Everts of AeGeo stressed the urgency: “We need much bigger production capacity proven up,  and this needs to come from well tests… If someone wants to convince me there’s substantial amounts of hydrogen gas in the subsurface, then I want to see a gas gradient.”

Globally, we’ve drilled over two million oil and gas wells. While they weren’t designed to measure hydrogen, the expertise is transferable. Still, natural hydrogen isn’t oil and gas, and it must avoid repeating the same mistakes.

“It’s important to consider the technical, commercial, and social aspects of natural hydrogen exploration together.”

Public understanding and acceptance will be as crucial as technical success. Max Brouwers, Chief Business Development Officer at Getech, warned: “If we don’t take the empty space in the media to inform what natural hydrogen is, we risk ending up in a situation we don’t like. It’s important to consider the technical, commercial, and social aspects together.”

The recent cancellation of a hydrogen-to-homes project in Whitby, due to public opposition, shows what happens when engagement lags behind ambition. Without clear communication and public buy-in, the natural hydrogen industry may never get off the ground.

Encouragingly, natural hydrogen is beginning to edge into the mainstream. The Royal Society has published a policy briefing on its potential, and the British Geological Survey released the UK’s first review of its geological potential for natural hydrogen generation and accumulation, which concluded that the UK's potential warrants further study.

Adding to this momentum, we are now starting to see more exploration companies and projects. Brouwers’ Getech has launched a bold exploration initiative in Morocco. Partnering with Sound Energy, they’ve moved beyond a regional screening study to establish a new joint venture – HyMaroc Limited – to assess and advance natural hydrogen (and helium) exploration in the country.

Early findings from the screening study highlight areas of significantly elevated favourability, paving the way for geophysical surveys and drilling activity.

Further, this year Snowfox Discovery, a natural hydrogen exploration company, secured funding from bp Ventures to begin operations.

These projects underscore that the potential of natural hydrogen is gaining traction not just in policy circles, but in real-world exploration. Now, more than ever, unlocking this resource hinges on robust regulation, fast-tracked test wells, and clear evidence of both abundance and purity.

For natural hydrogen, the time for action is now.