Provided herein are methods and systems for converting natural gas, and specifically methane, into higher-value oxycarbon products, such as methanol, methyl formate, and formic acid. The natural gas is introduced into an aqueous solution with hydroxyl radicals and reacted in ambient conditions to form the desired products in the presence of a metal catalyst. The methods described herein overcome the "over-activation" dilemma of prior art methods that lead to the formation of undesirable carbon oxide compounds. Methods and apparatus for forming hydrogen peroxide via electrolysis and for forming hydroxyl radicals from the hydrogen peroxide via reaction with ferrous ions are also provided.