Why I Do Business in New Mexico

Find out why Pajarito Powder established its hydrogen-based business in New Mexico.

By Kevin Litwin on December 13, 2023

Devin Chavez/Pajarito Powder

While hydrogen has become an increasingly viable energy solution, many of today’s hydrogen fuel cells in cars, trucks, trains, ships and planes rely on expensive precious metals, like platinum and iridium, as catalysts to produce electricity for power. However, New Mexico is moving to the forefront of a growing industry, and Albuquerque-based Pajarito Powder seeks to leverage new technology to make hydrogen fuel cells more cost-efficient by reducing the amount of platinum and iridium required for catalyst. 

Pajarito Powder CEO and co-founder Tom Stephenson talks about the advantages of being an innovator in the growing hydrogen industry and doing business in New Mexico. 

Why did Pajarito Powder establish its business in New Mexico? 
The answer is simple – many of us are from the Albuquerque area and like the region, so that’s where we established our company in 2012. Also, some of us have previous work connections with Los Alamos National Laboratory near Santa Fe. 

What does Pajarito Powder do? 
We manufacture a black powder catalyst for fuel cells that can reduce the use of expensive platinum and iridium catalysts that are mostly used in fuel cells today. Our powder catalyst dramatically brings down the cost of a fuel cell. 

What part does hydrogen play? 
It’s complicated, but by using our electrolyzer black powder process, we take water and add electricity and then split the hydrogen and oxygen. We can trap and store the hydrogen that can then be used in transportation, aerospace, defense, food production, logistics and agriculture industries. Hydrogen can even run fuel cells to generate water, electricity, and heat for homes and appliances. 

Who are some of Pajarito’s customers? 
Hyundai Motor Group is a huge manufacturer of heavy-duty trucks, and they have made a commitment that every commercial vehicle will run on the hydrogen technology by 2028. We are also dealing with Daimler and their truck division, and we are in talks with General Motors. Our technology is also i deal for warehousing companies like Amazon, FedEx and Walmart that all operate large forklifts that run on hydrogen. 

What makes the state advantageous for businesses in the hydrogen industry? 
In 2022, New Mexico introduced a Hydrogen Hub Development Act that will expand the clean energy economy by providing incentives to produce low-carbon hydrogen. Hydrogen is ideal to help run manufacturing, distribution, warehousing, refueling and electric-generating facilities across the state. 

Another recent positive for your company is that Pajarito Powder moved into a new facility, right? 
Fall 2023 is when we relocated to a new headquarters and a much larger manufacturing facility that will increase our output 10 or even 20 times for some materials. And we are very happy to still be in Albuquerque, where it all began for us.