[Special Stock] Airrain's Alaska Project Carbon Capture Worth 3000 Trillion... Technology Recovers Over 80%

Airrain, the only domestic specialized company in gas separation membrane solutions, is showing strong performance. This appears to be influenced by claims that the total carbon cost related to the Alaska liquefied natural gas (LNG) development could range from approximately 3,300 trillion KRW to a maximum of 6,300 trillion KRW depending on the application of carbon capture and storage (CCS) technology.

As of 2:25 PM on the 27th, Airrain was trading at 19,070 KRW, up 3,390 KRW (21.62%) from the previous trading day.

Analysis suggests that if Korea participates in the Alaska LNG project, it will have to bear a massive project cost of 64 trillion KRW, as well as carbon costs ranging from about 3,300 trillion KRW to a maximum of 6,300 trillion KRW over the next 30 years during the project period.

Climate think tank Climate Solutions announced this in a press release on the same day. According to the Final Supplemental Environmental Impact Statement (Final SEIS) for the Alaska LNG project released by the U.S. Department of Energy (DOE) in 2023, the North Slope of Alaska contains a total gas resource of 41.1 Tcf (approximately 934.8 million tons). Plans are to export about 27.8 Tcf (632.3 million tons) to various countries over roughly 30 years starting as early as 2029. This volume is about 14 times Korea’s annual gas import volume of 44.11 million tons as of 2023.

The environmental impact statement estimated greenhouse gas emissions from LNG use based on a scenario that includes Korea as one of the major export countries. Applying the annual carbon cost data presented by the Network for Greening the Financial System (NGFS), a consultative group of central banks and financial supervisors, to these estimates shows that the total carbon cost could range from approximately 3,300 trillion KRW to a maximum of 6,300 trillion KRW depending on whether CCS is applied.

Airrain’s main products are “gas separation membrane modules and systems” commercialized for use in nitrogen generation, biogas upgrading, and carbon dioxide capture business sectors. Carbon dioxide capture facilities using gas separation membranes have many advantages such as operational and maintenance simplicity, high energy efficiency, and low cost, leading to active research and commercialization efforts. Airrain has successfully conducted carbon dioxide capture demonstrations using gas separation membranes in collaboration with major domestic companies such as Lotte Chemical, Halla Cement, and Korea District Heating Corporation.

Airrain applied carbon dioxide capture technology to gases emitted from Korea District Heating Corporation’s LNG power plant. Unlike other exhaust gases, LNG power plants have the characteristic of low carbon dioxide emission concentration, and to effectively capture low-concentration carbon dioxide, the gas separation membrane system was configured in three stages. The capture concentration reached up to 85%, and the recovery rate exceeded 80%.

Airrain recorded sales of 24.5 billion KRW and an operating profit of 1.6 billion KRW last year. Sales increased by 50% and operating profit surged by 554% compared to the previous year.