Project Overview
A clean fuels startup developing a waste-to-renewable-hydrogen project needed hydrogen production capacity quickly while preserving capital for the rest of its development program. A newly built hydrogen plant would have cost well over $10 million and required a substantially longer engineering, fabrication, and delivery schedule.
Phoenix Equipment did not have an exact match in its existing inventory, so the search expanded into the broader industrial market. Phoenix identified three viable hydrogen plant alternatives and helped the buyer evaluate them based on capacity, condition, availability, location, schedule, and economics.
The buyer ultimately selected a 2 MMSCFD (2,350 Nm³/hr) hydrogen plant at Calumet’s Montana facility. From market search and plant evaluation through purchase, dismantlement, and relocation, the entire process was completed in approximately five months.
Searching Beyond Existing Inventory
The right hydrogen plant was not already sitting in Phoenix’s inventory.
Rather than wait for a suitable asset to appear, Phoenix launched a targeted search across the broader industrial market, including refineries, chemical plants, hydrogen producers, hydrogenation facilities, and other operators with potentially surplus hydrogen capacity.
That search identified three viable hydrogen plant alternatives. The buyer could then compare available systems based on capacity, condition, availability, location, project schedule, and economics instead of being limited to a single option.
The selected asset was a 2 MMSCFD hydrogen plant at Calumet’s Montana facility, where the footprint was needed for a new renewable diesel project.
Evaluating & Selecting the Calumet Plant
Before completing the acquisition, the buyer inspected the Calumet hydrogen plant and evaluated the actual equipment. That allowed the company to assess the plant’s capacity, process configuration, condition, and relocation feasibility before committing capital.
The plant matched the project on capacity, timing, inspectability, and economics. At 2 MMSCFD (2,350 Nm³/hr), it provided suitable hydrogen output, was already available for removal, and could be evaluated before purchase. The buyer also had the opportunity to acquire a complete hydrogen production system rather than assemble one from individual pieces of equipment.
A comparable new hydrogen plant would have required an investment of well over $10 million. Acquiring the existing system allowed the buyer to preserve more capital for engineering, site development, construction, permitting, working capital, and other project needs.
A Transaction That Worked for Both Buyer and Seller
The buyer needed hydrogen capacity. Calumet needed the footprint.
Calumet’s renewable diesel project required the area occupied by the existing hydrogen plant, while the startup needed immediately available production capacity on a compressed schedule.
The transaction matched those two requirements. The startup could acquire and relocate an existing hydrogen plant instead of committing to a new build, while Calumet could clear the site for its next project without treating the complete plant solely as demolition material.
Dismantlement & Relocation
Calumet had a tight removal schedule, and the work had to be carried out during a Montana winter. Phoenix used plant-approved contractors and coordinated the dismantlement and relocation around those conditions.
Despite the weather and compressed schedule, the plant was removed safely and within the required timeframe. Phoenix coordinated the buyer inspection, transaction support, contractor activity, dismantlement, relocation, and schedule management through completion.
Project Outcome
Within approximately five months, the clean fuels startup moved from an urgent equipment requirement to inspecting, purchasing, dismantling, and relocating a complete hydrogen plant. The acquisition avoided a new-build alternative that would have required well over $10 million and a substantially longer development schedule.
For Calumet, the transaction cleared the footprint required for its renewable diesel project while transferring the existing hydrogen plant to another clean-fuels application. The removal was completed safely, on schedule, and using plant-approved contractors.
Project Highlights
- Plant: 2 MMSCFD (2,350 Nm³/hr) Hydrogen Plant (Stock # 529)
- Buyer: Clean Fuels Startup
- Application: Waste-to-Renewable-Hydrogen Project
- Seller: Calumet
- Original Location: Montana
- Phoenix Scope: Targeted Market Search, Buyer Inspection Coordination, Acquisition Support, Dismantlement and Relocation
- Plant Alternatives Identified: Three
- Project Timeline: Approximately 5 Months from Search Through Relocation
- New-Build Alternative: Well Over $10 Million
- Seller Requirement: Site Clearance for Renewable Diesel Project
- Execution: Plant-Approved Contractors / Montana Winter / Completed Safely and on Schedule
From Market Search to Relocated Hydrogen Capacity in Five Months
The right hydrogen plant was not initially available in Phoenix’s inventory. Phoenix searched the broader market, identified three viable alternatives, and helped the buyer select, inspect, acquire, dismantle, and relocate the Calumet plant in approximately five months.
At the same time, Calumet cleared the footprint required for its renewable diesel development. One company’s site-clearance requirement became another company’s source of immediately available hydrogen production capacity.