Norway-headed hydrogen technology provider Nel ASA has announced the construction of the world’s largest electrolyzer plant, fully automated and able to deliver the most efficient electrolyzers at "a game-changing" cost. The company is investing NOK 150 million (≈ EUR 15.5 million) in expanding its Notodden plant in Norway that will have a nameplate capacity of 360 MW per annum, approximately ten times the current annual production capacity, once completed in 2020.
According to Nel, the manufacturing plant will be constructed as an extension of the current facility at Notodden, Norway, with total planned investments of around NOK 150 million. The new facility will accommodate the NOK multi-billion order from Nikola Motor Company (Nikola) that was announced in June 2018.
We want to change the world and make renewable hydrogen mainstream, not a niche product like it is today. As a market leader, Nel is now stepping up to make available technology that can outcompete fossil alternatives like natural gas reforming. This will be the world’s largest electrolyzer manufacturing plant, fully automated and designed according to lean manufacturing principles, capable of making the most efficient electrolyzers at a cost the world has never seen before. This expansion will also fully support the ambitions of Nikola, as well as accommodate other customers wanting to make a significant change to their business model, said Jon André Løkke, CEO of Nel.
During 2018, the Notodden facility was expanded from a production capacity of 25 to 40 MW per annum, through debottlenecking and optimizing the existing plant. After the first stage expansion, Nel was awarded a contract for the delivery of 448 electrolyzers to Nikola as part of Nikola’s development of a hydrogen station infrastructure in the US for trucks and passenger vehicles. Under the multi-billion NOK contract, Nel will deliver up to 1 GW of electrolysis plus fueling equipment.
We already have the largest and most sophisticated manufacturing plant for hydrogen fueling equipment. Today, we confirm our leadership position also within electrolyzer manufacturing, which will enable us to offer complete solutions at a benchmark price. The target is clear: customers should be able to switch from fossil to renewable solutions without compromising on cost, Løkke said.
When fully expanded, optimized and ramped up, the total Notodden facility will be able to deliver up to 360 MW worth of electrolyzers per year at a five-shift operation, representing more than 160 A485 units per year.
The expansion is fully aligned with the Nikola roadmap and we will formally kick-off the project during the second half or 2018. The facility will be operational in early 2020, and ramp-up will be aligned with customer requirements, said Løkke.
The expansion of the Notodden facility represents investments of approximately NOK 150 million (≈ EUR 15.5 million) and will add 30 – 40 new employees.
