PURPOSE: To enable continuous absorption of H2 and regeneration of occlusion alloy, by contacting an H2-containing gas with a slurry of H2-occlusion alloy powder to effect the absorption of H2 and generating H2 from the alloy by depressurizing and pressurizing the slurry.

CONSTITUTION: A solvent consisting of a saturated hydrocarbon, aromatic hydrocarbon or alicyclic hydrocarbon composed solely of C and H is prepared beforehand. H2-occlusion alloy powder is suspended in the solvent to form a slurry. The slurry is made to contact with an H2-containing gas to effect the absorption of H2. Hydrogen is generated and simultaneously the slurry is regenerated by depressurizing and heating the H2-absorbed slurry.