Abstract: In the current important stage of implementing the "dual carbon" target, the importance of hydrogen energy is constantly increasing. In response to the current large stock of cheap industrial by-product hydrogen and the increasing demand for high-purity hydrogen in the market, the purification of industrial by-product hydrogen to produce high-purity (over 99.999%) hydrogen is currently in the pilot demonstration stage. The cost of hydrogen production is the key to its competitiveness in the high-purity hydrogen production market. A novel metal hydride purification hydrogen production levelized cost of hydrogen production model (LCOHP) is established in this work, to quantitatively analyze an industrial by-product hydrogen purification hydrogen production system with a processing capacity of 2000 Nm³/h. Moreover, the main factors affecting the LCOHP value are discussed. The results show that the LCOHP of the metal hydride purification hydrogen production system is 1.013 yuan/Nm³, Among them, the cost of feed gas accounts for the highest proportion (78.45%). The system hydrogen recovery rate, industrial by-product hydrogen price, and hydrogen storage material regeneration cost have a significant impact on LCOHP. For every 5% increase in hydrogen recovery rate, the LCOHP value decreases by 0.012-0.042 yuan/ standard cubic meter, a decrease of 1.18% to 4.15%; For every 0.05 yuan/standard cubic meter increase in the price of industrial by-product hydrogen, the LCOHP value increases by 0.101 yuan/ standard cubic meter, an increase of 9.97%; For every 10% reduction in the cost of hydrogen storage material regeneration, the LCOHP decreases by 0.033 yuan/standard cubic meter, a decrease of approximately 3.26%.