Nel to set up $400 mn electrolyser facility in Michigan

Dollar in Green Business

Nel plans to build a new automated gigawatt electrolyser manufacturing facility in Michigan that will offer employment to more than 500 people.

The announcement was made at the SelectUSA Investment Summit in Washington with Department of Commerce Secretary Gina Raimondo, and the Governor of Michigan, Gretchen Whitmer.

“We’re bringing up to $400 million in investment from Nel Hydrogen creating more than 500 good-paying, clean energy jobs right here in Michigan,” says Governor of Michigan, Gretchen Whitmer.

Nel has assessed a wide range of states for the location of its new manufacturing facility, and the company has concluded that Michigan is the best option.

“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,” says Nel’s CEO, Hakon Volldal.

The short distance to General Motors, headquartered in Detroit, has played a role in the choice of state. The two companies collaborate to develop and improve Nel’s PEM electrolyser technology.

“Having Nel’s facility close to our home base of HYDROTEC development, in  southeastern Michigan, will help us more quickly accelerate our electrolyzer collaboration,” says GM executive director of HYDROTEC Charlie Freese.

The Michigan facility will have a production capacity of up to 4GW of Alkaline and PEM electrolysers. Nel will build on its fully automated Alkaline manufacturing concept invented at Heroya in Norway. Similarly, the company’s expansion of the facility in Wallingford will play a critical role in creating a blueprint for scaling up the production of PEM electrolysers.