Hydrogen company Nel has launched its fully automated electrolyser production facility in Herøya, Norway. The facility is named after its location, Herøya, and aims to decrease the costs associated with green hydrogen production while scaling up the use of hydrogen by identifying new application areas.
The plant’s current production capacity is 500MW, with plans to increase to 10GW capacity by 2025, depending on market demand.
Nel plans to deliver renewable hydrogen at US$1.5/kg by 2025 by lowering the unit cost of electrode production.
“Half of the savings we need to make will come from scale-up and increased efficiency in production. The rest will come from the economy of scale, and from effective industrial partnerships,” says Jon André Løkke, Nel´s CEO.
“The next step would be to industrialise our PEM technology in the US in a similar way,” says Løkke, adding that Nel is also investing extensive capital in the development of concepts as large as 800MW.
“Our large-scale concepts allow us to optimise the overall capex and realise synergies to reduce cost,” says Løkke.