Norwegian electrolyzer manufacturer Nel will construct an electrolyzer plant in Michigan, building on its existing relationship with Detroit-based General Motors, according to a news release.
CEO Håkon Volldal said the company will make electrolyzers in the Detroit area to supply up to 4 GW worth of electrolyzers each year, making it among the largest such factories in the world.
“We’re thrilled to bring home up to $400 million in investment from Nel Hydrogen creating more than 500 good-paying, clean energy jobs right here in Michigan,” said Michigan Governor Gretchen Whitmer.
Volldal said earlier this year that the company had narrowed its search to three sites that could support a 2 GW manufacturing plant producing both PEM and alkaline electrolyzers.
Nel executives also said they would spend $25m to expand PEM electrolyzer production capacity at its Wallingford, Connecticut plant to 500 MW, from 50 MW currently. The company has received a $5.6m grant from the US Department of Defense for advanced PEM electrolyzer development. The Connecticut facility is estimated to be at full capacity by 2025.
“The choice of Michigan is based on an overall assessment of what the state can offer in terms of financial incentives, access to a highly skilled workforce, and cooperation with universities, research institutions, and strategic partners. I will also highlight the personal engagement from Governor Whitmer and her competent and service-minded team,” Volldal said.
Volldal emphasized that the short distance to General Motors, headquartered in Detroit, has played a decisive role in the choice of state. The two companies collaborate to develop further and improve Nel’s PEM electrolyser technology.
