The technology behind Carbon Plus Inc. was born out of a pioneering research project funded by the U.S. Department of Energy’s Advanced Research Projects Agency–Energy (ARPA-E). The original project, titled Electrothermal Conversion of Methane into Hydrogen and High-Value Carbon Fibers, with a total funding of $2,250,000, set out to transform methane, one of the most abundant and underutilized hydrocarbons, into two critical products: clean hydrogen fuel and low-cost carbon fibers.
The project developed an electrothermal conversion process that directly converts methane into hydrogen while simultaneously producing high-strength carbon fibers. Unlike conventional carbon fiber production, which relies heavily on costly polyacrylonitrile (PAN) precursors and energy-intensive furnaces, this method leveraged an electric shock-based process to achieve dramatic reductions in both cost and energy use.
The project demonstrated that this approach could cut carbon fiber production costs by more than half, while reducing energy consumption and emissions compared to existing methods. The dual benefit of generating clean hydrogen alongside advanced carbon materials also positioned the technology as a potential game-changer for decarbonization across multiple sectors, from mobility to infrastructure and energy storage.
After the initial ARPA-E project concluded, the team’s success led to additional ARPA-E Plus-Up funding of $750,000, which provided critical support for scaling the technology and laying the foundation for commercialization through Carbon Plus Inc.
Today, Carbon Plus is carrying this innovation forward, developing low-cost, multifunctional carbon fibers and carbon/carbon composites for a wide range of industries. What began as a bold research experiment under ARPA-E has evolved into a startup mission: enabling Carbon Fiber for broader industry adoption.
Read more about the original ARPA-E project here: Electrothermal Conversion of Methane into Hydrogen and High-Value Carbon Fibers

