Beyond hydrogen: Southern Lights launches methane module

Southern Lights is proud to announce the launch of its new methane module, marking a significant expansion of its platform for Power-to-X.
Methane - featured image of this article

​In 2023, the global market for high-purity methane gas was valued at approximately USD 7.04 billion, with projections indicating growth to USD 10.04 billion by 2030. However, utilization is heavily based on fossil fuels. We are here to change this.

By empowering developers to build clean methane projects, we’re not just offering better tools. We’re helping replace one of the most damaging climate culprits with something that works for the future.

A strategic step toward accelerating the energy transition

With our methane release, you can now simulate and evaluate green methane production alongside hydrogen and ammonia, making it easier to build, compare, and optimize diverse Power-to-X projects in a single, streamlined environment.

The module introduces long-requested features like custom unit selection, letting users work in kilos or tons, days or years offering full flexibility while maintaining clarity in the design process.

“We built this because there’s strong demand,” says Noor Sisask, Product Manager at Southern Lights. “Many Power-to-X projects are leaning toward methane, since it often faces fewer obstacles than hydrogen. Green methane can help accelerate the transition to cleaner energy.”

Why methane, and why now?

While green hydrogen remains central to decarbonization strategies, many project developers face practical barriers: hydrogen infrastructure is still emerging, and regulations vary widely. Methane, on the other hand, can often be integrated into existing infrastructure, providing a realistic and scalable pathway for near-term impact.

With this module, Southern Lights enables users to explore these pathways with clarity, precision, and transparency without needing custom-built models or deep technical expertise.

“We don’t just add a new module – we redesign the system so it can handle the complexity beneath it,” says Gustav Ekberg, co-founder and CTO. “When we add something like methane, the whole system becomes more capable. And we do it with one goal in mind: to make it easier to build smarter, cleaner energy systems.”

Turning research into real-world impact

The methane module was developed with input from researchers and Power-to-X industry experts. By shifting complex technical decisions into well-researched defaults and assumptions Southern Lights makes it possible for business analysts and developers to focus on feasibility, performance, and financial outcomes.

“We’ve built this module from the bottom up,” explains Pierfrancesco Losi, energy modeler at Southern Lights. “From each individual calculation to the economic logic behind project KPIs, we’ve taken the time to get the details right so the results are robust, transparent, and ready to support real-world decisions.”

Schematic of the methanation system modeled in Southern Lights

This schematic shows how methanation is modeled in Southern Lights. While specific technologies may vary, the core principle remains the same. The dotted line marks the boundary of the methanation unit from the user’s perspective. The system is hydrogen-driven, operating based on electrolyzer output, with CO₂ assumed to be available from an infinite source.

The methane module supports full simulation capabilities, just like hydrogen and ammonia. That means that you can compare projects across different energy vectors – analyzing outputs like levelized cost of methane (LCOM), NPV, and IRR – all in the same platform.

Methane 1
You can now add methane production as a downstream process

A tool for those building the future

Southern Lights is designed for developers and decision-makers who need to evaluate Power-to-X projects fast and get them right. The methane module brings users one step closer to building complete value chains, helping projects move from ideas to reality.

Is this something for you? Request a Free Trial of Southern Lights!

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