Nel, Kvaerner Pact on Green Hydrogen

Norwegian renewable energy firm Nel ASA has entered into a strategic agreement with the compatriot  engineering and construction services company Kværner to collaborate on green hydrogen projects and the standardization of solutions for large scale hydrogen production plants.

In the agreement, the companies have identified a range of projects on which to collaborate on moving forward. Work has already been initiated in order to jointly develop a standardized 20 megawatt H2 production module, and will proceed to include standardized design for large (100 megawatt+) modules to cater for anticipated demand for major scale plants.

“We’re happy to enter into this collaboration agreement with Kvaerner (KVAER.OL), who have extensive experience from large projects all over the world. As we see projects growing in size and complexity, it’s important to have a strong partner such as Kvaerner, both for standardizing large scale green hydrogen production facilities, and also building them. We look forward to working together with Kvaerner and expect to see results from this collaboration in the near future”, said Jon André Løkke, CEO of Nel.

Nel is a global, dedicated hydrogen company, delivering optimal solutions to produce, store and distribute hydrogen from renewable energy.

“This is a long term commitment, and Kvaerner is excited to collaborate with a partner like Nel. Our goal is to further strengthen our competitiveness through leveraging each other’s competencies and experience, and ensure the most efficient and predictable project deliveries for our customers”, said Karl-Petter Løken, President and CEO of Kvaerner.

Kvaerner has over decades delivered demanding projects such as offshore oil and gas platforms and onshore process facilities to oil companies and customers in the process industry. The company is recognized as a supplier with a continuous focus on health, safety and environment, and who always delivers at agreed quality, time and price.

“We have developed a set of capabilities over the last five decades, comprising execution of complex project developments on an EPCI basis. We are also among the most experienced contractors in the offshore structure space. Our capabilities are recognised, valuable and directly transferable to the renewables segment”, Løken continued.

The new partnership with Nel is in line with Kvaerner’s strategy to grow the business within renewable and green solutions. It is expected that Renewables will gradually count for one third of Kvaerner’s total revenues in the coming years.

“This is an important collaboration as it opens up new areas of business for Kvaerner, and increase our competitive force in the renewables market”, Løken concluded.