Nel ASA Gets Its Largest Order Worth 200 MW Of Alkaline Electrolyser

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Dedicated hydrogen energy global major Nel Hydrogen Electrolyser AS has revealed that receiving its largest-ever purchase order from a US customer. The order is worth 200 MW of alkaline electrolyser equipment for industrial application. Nel is a subsidiary of Nel ASA and has not disclosed the name of the customer.

The official statement of Nel mentioned that the contract for the electrolyser stacks is a firm order with a value in excess of EUR 45 million. The timeline of production and delivery of stacks is February 2023 until mid-2024. The operations will take place at Nel’s large-scale electrolyser production facility at Heroya. Pending an ongoing engineering study, Nel could also bag the opportunity to provide additional balance-of-plant equipment for the project.

Hakon Volldal, CEO, Nel, said, “We are truly excited to announce Nel’s largest purchase order to date. This project will showcase Nel’s large-scale delivery and execution capabilities and become a valuable reference for future large-scale contracts. It will have a substantial, positive impact on Nel’s financials, electrolyser product and production cost, technology development and scale-up plans.”

Nel also held that the client, which has developed the project over several years, will fully fund the project through private investors. Furthermore, it has also received significant state/local government incentives given the environmental benefits of the proposed project. The client’s development endeavors have resulted in a 20-year off-take commitment from local partners. A 20-year electricity power purchase agreement (PPA) has also followed.

Tom Skoczylas, Regional Sales Manager for Nel Hydrogen US, stated, “This project represents an excellent opportunity for Nel to demonstrate its hydrogen technology and scaling capabilities, crucial to meet the rapid growing demand we see for green hydrogen. We are very happy to be elected for this ground-breaking project where Nel was chosen based on maturity of technology and proven electrolyser plant experience.”

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