Topsoe has confirmed the final investment decision for the construction of “world’s largest” solid oxide electrolyzer cell (SEOC) plant in Herning, Denmark.
The plant manufacturing capacity is 500MW per year with an option to expand to 5GW.
Construction is due to start in the second half of 2022 and the plant is expected to create 170 jobs on site.
Topsoe chief executive Roeland Baan said: “The case for using electrolysis to produce green fuels is now well established, but manufacturing capacity has always been the challenge.
“We are facing this challenge head on.
“We are dedicated to taking the lead on scaling power-to-x technology to help drive the energy transition, and we are investing over DKK2bn (€0.26bn) to meet this demand and address this fundamental supply weakness.
“This is the single biggest investment in the company’s history, clearly highlighting our commitment to driving the energy transition, and we hope this huge facility will act as a catalyst for new investment in the future.”
Topsoe’s Power-to-X division chief commercial officer Sundus Cordelia Ramli said: “There is a genuine trust in us and our cutting edge SOEC electrolyzer technology, built on years of technological excellence.
“With this new state of the art manufacturing facility, we are taking power-to-x technology into a commercially competitive position, ultimately making the case for decarbonization unarguable.
“We already have 500MW of pre-sold capacity and are in discussions with other potential offtake partners as well, who find our electrolyzer technology attractive, and look forward to being able to make more announcements in due course.”
At 500MW capacity per year, the new facility represent a rapid acceleration not just for Topsoe, but also Denmark, and the EU towards a green energy transition while reducing dependence on fossil fuels.