Ceres Power Holdings plc, Weichai Power and Robert Bosch GmbH have signed plans for three-way collaboration to access opportunities for fuel cell technologies in China.
The addition of Bosch to the existing Weichai and Ceres partnership, and an increase in scope to include stationary power applications, significantly strengthens the planned joint venture.
The plan is to form two separate Joint Ventures in Shandong Province. A three-way system JV will be set up to develop and manufacture solid oxide fuel cell (SOFC) systems. Bosch and Ceres will licence their respective SOFC system IP to the JV for mobile and stationary applications in China and share royalties from product sales.
Weichai will be the majority shareholder. Ceres will hold a maximum of 10% share with Board representation and the investment to reach over time around £20 million.
Separately, a stack manufacturing JV will be established to supply fuel cell stacks to the system JV and potentially other third parties. The Stack JV would be the second manufacturing facility for Bosch and is planned to follow its initial 200 MW facility in Germany, where production is anticipated for 2024. Bosch and Weichai intend to form the JV with Bosch as the majority shareholder. Ceres will not be a shareholder in this JV but will provide the SOFC technology by extending Bosch’s existing manufacturing licence to supply the Chinese market. Ceres will receive royalties from this JV on the sale of stacks.
License fees of £30 million from the System JV and Stack JV to Ceres are expected over the next three years in line with those agreed in the original Weichai-Ceres agreement in 2018.
Linde and BASF hydrogen agreement
Linde signed a long-term agreement with BASF (a chemical company) to supply hydrogen and steam.
Linde will design, build, own and operate a new hydrogen production facility at Chalampé, France, effectively doubling Linde’s current capacity in the Chalampé chemical park where it already has one production facility.
This second plant will supply BASF’s new hexamethylenediamine (HMD) manufacturing facility and will also help meet the increasing demand from Linde’s local merchant customers for hydrogen. The plant is expected onstream in the first half of 2024.
Veerle Slenders, President at Linde, said, “Linde’s hydrogen production technology, developed over several decades, ensures we can safely and reliably supply our customers and support their operations.”