Nel ASA invests in the expansion of its PEM production capacity

Nel ASA is expanding its PEM electrolyzer production capacity to meet the growing demand for green hydrogen and to position itself as a leading player in the global hydrogen market.

Share:

Comprehensive energy news coverage, updated nonstop

Annual subscription

8.25£/month*

*billed annually at 99£/year for the first year then 149,00£/year ​

Unlimited access • Archives included • Professional invoice

OTHER ACCESS OPTIONS

Monthly subscription

Unlimited access • Archives included

5.2£/month*
then 14.90£ per month thereafter

FREE ACCOUNT

3 articles offered per month

FREE

*Prices are excluding VAT, which may vary depending on your location or professional status

Since 2021: 35,000 articles • 150+ analyses per week

Nel ASA (Nel) announced that it has made a final investment decision to expand its PEM (proton exchange membrane) cell manufacturing facility in Wallingford, Conn. This expansion is intended to increase the annual production capacity to approximately 500 MW by 2025.

An important step for Nel

Nel’s CEO, Håkon Volldal, described the expansion as a “major milestone” for the company. He said the expansion would significantly increase PEM production capacity while reducing the cost of the battery and improving its efficiency.

Investment and production schedule

The investment cost for the expansion is estimated at approximately NOK 260 million, and the new production line is expected to reach its full capacity by 2025. The development of the ~500 MW PEM production line will contribute to Nel’s other expansion plans in the United States, where the company plans to establish a Gigafactory.

The planned Gigafactory, which will have a potential production capacity of about 4 GW, will be split between PEM and alkaline technologies. Nel is currently studying three alternatives in three different states for the Gigafactory location, and a final decision is expected soon.

The expansion of Nel

Nel is also expanding its production capacity in Norway, where the company recently started construction of the second production line at the Herøya site. Generation capacity is expected to reach approximately 1 GW by April 2024.

According to Volldal, Nel has received significant orders for large-scale electrolyzer projects in recent months. The company has increased production from three to five shifts to meet demand, which means that production now runs 24 hours a day, including weekends.

 

The expansion of Nel’s PEM cell manufacturing facility in Connecticut is an important step in the company’s growth plans to become a leading player in the global hydrogen market. With the expansion of its production capacity, Nel is positioned to meet the growing demand for green hydrogen and contribute to the global transition to a low carbon future.

 

Indonesian nickel producer Anugrah Neo Energy Materials plans a $300mn IPO in December to finance its growing battery materials operations.
Sultan Qaboos University announces a breakthrough in water electrolysis using new rare-metal catalysts, improving production efficiency by more than 30%.
Standard Lithium a sécurisé $130mn via une émission d’actions ordinaires pour financer ses projets d’extraction de lithium en Arkansas et au Texas, consolidant sa position sur le marché nord-américain des métaux stratégiques.
Asset manager Quinbrook expands its North American portfolio with a first Canadian investment by acquiring a strategic stake in developer Elemental Clean Fuels.
Lhyfe commissions a 10 MW site in Schwäbisch Gmünd, its first in Germany, to supply RFNBO-certified green hydrogen to industrial and heavy mobility clients.
Brookfield will invest up to $5 billion in Bloom Energy's fuel cells to power future artificial intelligence factories, initiating the first phase of a dedicated global digital infrastructure strategy.
Metacon acquired components from the bankruptcy estate of Hynion Sverige AB for SEK3.5mn ($320,000), aiming to support its hydrogen refuelling station projects in Sweden.
The United Kingdom has carried out its first real-life trial of green hydrogen blending into the national gas transmission network, with power generation as a result.
Swedish company Liquid Wind has secured €3.6mn in public funding for the engineering phase of its eMethanol plant, integrated into a biomass-fuelled cogeneration site.
The Japanese industrial group will replace a 73.5 MW coke and gas-fired turbine with a 30 to 40 MW hydrogen-ready unit, scheduled to start operations in 2030 with ¥7.1bn ($47mn) in public support.
A two-year project aims to identify areas in Texas suitable for natural hydrogen exploitation, despite challenges related to infrastructure, public policy and economic viability.
Plug Power has announced the appointment of Jose Luis Crespo as President effective October 10, before assuming the role of Chief Executive Officer once the company publishes its annual report, expected in March 2026.
Plug Power finalised a deal with an institutional investor to raise $370mn through the immediate exercise of warrants, with the possibility of securing an additional $1.4bn if new warrants are exercised.
Air Liquide announces a $50mn investment to strengthen its hydrogen network on the US Gulf Coast, following long-term contracts signed with two major American refiners.
Global demand for industrial gases will grow on the back of hydrogen expansion, carbon capture technologies, and advanced use in healthcare, electronics, and low-carbon fuel manufacturing.
Green ammonia reaches a new industrial milestone with 428 active projects and over $11bn in investments, highlighting accelerated sector growth across Asia, the Middle East, Europe and the Americas.
Nel Hydrogen US will supply a containerised electrolyser to H2 Energy for a hydrogen production facility commissioned by the Association for Waste Disposal in Buchs, Switzerland.
UK-based manufacturer ITM Power has signed an engineering contract for a green hydrogen project shortlisted under the country's second Hydrogen Allocation Round.
Agfa strengthens its industrial position with the launch of a ZIRFON membrane production site for electrolyzers, backed by a €11mn European subsidy.
Driven by Air Liquide and SEGULA Technologies, the ROAD TRHYP project aims to lower hydrogen transport costs and improve safety through a series of technical innovations by 2030.

All the latest energy news, all the time

Annual subscription

8.25£/month*

*billed annually at 99£/year for the first year then 149,00£/year ​

Unlimited access - Archives included - Pro invoice

Monthly subscription

Unlimited access • Archives included

5.2£/month*
then 14.90£ per month thereafter

*Prices shown are exclusive of VAT, which may vary according to your location or professional status.

Since 2021: 30,000 articles - +150 analyses/week.