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Geologic Hydrogen in Michigan

Office of the Governor

Geologic Hydrogen in Michigan

There may be a clean energy source sitting deep beneath Michigan — and the state is moving to find out.

It's called geologic hydrogen: hydrogen gas that forms naturally underground. Scientists have known it exists for decades, but national research points to Michigan as one of the most promising places in the country to look for it. In August 2026, the Michigan Infrastructure Office (MIO) announced a $7.5 million investment to explore that potential — supporting the research, mapping, and technology development that could open the door to a new Michigan energy industry.

Geologic Hydrogen at a Glance

  • What it is: Hydrogen gas formed naturally in underground rock — a potential source of clean, low-cost energy
  • Why Michigan: The U.S. Geological Survey ranks Michigan's geology among the most favorable in the nation
  • What's happening: A $7.5 million state investment in exploration, research, and development, announced August 2026
  • What's next: Timing is Key Early funds will match federal funding opportunities, with additional programming determined in 2026 and rolling out in early 2027

What is Geologic Hydrogen?

Nearly all hydrogen used today is manufactured. Geologic hydrogen (you may also see it called GeoH2 or “white hydrogen”) is different — it comes from the Earth itself. (New to hydrogen? Start with our main page, Michigan Leads on Hydrogen.) Michigan is evaluating two forms:

  • Natural hydrogen forms on its own deep underground. It happens most often when water reacts with iron-rich rock — a slow natural process geologists call serpentinization — and sometimes when natural radioactivity in rock splits water molecules apart. Over long stretches of time, that hydrogen can collect in underground formations, much like natural gas.
  • Stimulated hydrogen takes the same natural chemistry and speeds it up. By introducing water or heat into the right rock formations, engineers may one day be able to generate hydrogen on demand. This approach is still in the early research stage worldwide — and Michigan's Upper Peninsula, with its iron-rich rock and historic mine sites, is one of the most promising places anywhere to study it.

Why Michigan?

  • The right rocks. Michigan sits atop the Midcontinent Rift — a 1.1-billion-year-old geologic feature stretching from Kansas to Michigan — which left behind the kind of iron-rich rock that generates hydrogen. The Michigan Basin, the deep bowl of layered rock beneath the Lower Peninsula, adds thick natural seals that can trap gases underground.
  • National recognition. The U.S. Geological Survey's national map of geologic hydrogen potential highlights Michigan and the broader Midcontinent Rift as among the most favorable regions in the country for naturally occurring hydrogen. (The map assesses natural hydrogen only — Michigan's stimulated hydrogen potential comes in addition to that.)
  • Built-in storage. Michigan's thick underground salt formations could one day store hydrogen in engineered caverns — the most proven storage method — and the state's depleted natural gas fields may offer additional options. Few states can match that storage advantage.
  • A head start on research. Iron-rich formations and existing mine sites in the Upper Peninsula make Michigan a natural home for laboratory and field research on stimulated hydrogen.

What Could it Mean for Michigan?

If Michigan's geologic hydrogen proves commercially viable, early state analysis points to real benefits:

  • Lower-cost clean energy. Modeling suggests that under favorable conditions, Michigan-produced geologic hydrogen could cost as little as roughly $1 per kilogram — far below today's clean hydrogen prices, and low enough to make hydrogen practical for steelmakers, chemical producers, and heavy transportation.
  • Jobs. Exploration and development would create jobs similar to those in oil and gas exploration — drilling, surveying, and field services — with hundreds of jobs possible in the near term and potentially thousands if a full industry takes shape.
  • Statewide value. A commercial geologic hydrogen industry could generate hundreds of millions of dollars per year in economic value for Michigan by 2050.
  • Growing demand. Michigan industries already use about 39,000 metric tons of hydrogen every year. If costs fall, state analysis projects demand could grow to roughly five to more than twenty-five times today's levels.

These are early projections and that's exactly why the state is investing in the science to validate the opportunity.

A $7.5 Million Investment

In August 2026, the Michigan Infrastructure Office announced $7.5 million through the Make It in Michigan Competitiveness Fund to advance geologic hydrogen exploration, research, and development in Michigan. The funding will support projects such as (but not limited to):

  • Mapping and data collection — surveys and sampling across the state to identify where hydrogen may be forming or trapped underground
  • Laboratory research — experiments on Michigan rock samples to understand how hydrogen forms here and whether it can be stimulated
  • Site screening and pilot design — identifying the most promising locations for potential test wells, with a focus on the Upper Peninsula's research strengths
  • Public outreach and engagement — statewide events and plain-language materials to help Michiganders understand geologic hydrogen and its potential value, gather public input, and address public concerns as the work moves forward

The investment is also designed to position Michigan to compete for federal research funding and partnerships. Early funds will provide matching support for federal funding opportunities, with additional programming determined in 2026 and rolling out in 2027. Plans for funding deployment will be made public once fully defined.

How We Got Here

Michigan's effort began with a map. In early 2025, the U.S. Geological Survey published the first-ever national map of geologic hydrogen prospectivity — a project led by research geologist Geoffrey Ellis, who heads the USGS's geologic hydrogen research program. The map identified the midcontinent region running beneath Kansas, Iowa, Minnesota, and Michigan as one of the most promising areas in the country for naturally occurring hydrogen.

Michigan took notice. In the months that followed, state leaders, university researchers, and energy experts began convening to understand what the science could mean for Michigan — and how the state could get ahead of it.

On January 15, 2026, Governor Gretchen Whitmer signed Executive Directive 2026-1, establishing the Michigan Geologic Hydrogen Exploration and Preparedness Initiative — a whole-of-government effort to prepare Michigan to explore this resource responsibly.

In April 2026, four state agencies delivered readiness reports:

  • The Department of Environment, Great Lakes, and Energy (EGLE) assessed permitting, well safety, and underground storage.
  • The Michigan Infrastructure Office (MIO) analyzed potential economic impacts — jobs, costs, and statewide value.
  • The Department of Natural Resources (DNR) reviewed how hydrogen could be responsibly leased on state-owned land.
  • The Michigan Public Service Commission (MPSC) examined pipelines, safety standards, and how hydrogen fits into the state's energy system.

Together, the reports map out what Michigan needs to do — from updating laws originally written for oil and gas to setting hydrogen-specific safety standards — before exploration can scale up. In August 2026, the state backed that groundwork with its $7.5 million investment.

Safety and Community Come First

Hydrogen has been produced, transported, and used safely in American industry for more than a century, and it is governed by well-established national safety codes and standards. Michigan is building on that experience from day one:

  • Any test wells will adhere to state requirements for well design, leak detection, and ongoing monitoring.
  • State agencies are preparing for updating rules and safety guidance now, before projects begin.
  • State analysis indicates that hydrogen drawn from the ground could have lifecycle emissions comparable to hydrogen made with renewable electricity — and far lower than hydrogen made from natural gas today.
  • Communities will have a voice. MIO and partner agencies will hold public information sessions across the state, with plain-language materials on what geologic hydrogen is, how it's regulated, and how the environment will be monitored and protected.

What's Next: 2026–2027

  • Continue advancing the efforts started by Executive Directive 2026-1 across state agencies
  • Stand up advisory boards that bring together state agencies, universities, industry, and communities
  • Establish the program framework and timing for deploying the funds
  • Launch statewide public outreach and information sessions
  • Open the first project solicitations under the $7.5 million investment when ready, leading to a program kickoff in 2027