ITM Power formally awarded DESNZ grant for "superior" Chronos project
ITM Power PLC on Thursday announced that the UK government has formally awarded a planned £46.5 million grant, with its chief executive pledging to make Sheffield "just as famous for hydrogen" as it is for steel.
In response, shares in ITM opened 9.2% higher in London on Thursday. They were trading 2.7% higher at 116.10 pence early in the afternoon.
The Sheffield, England-based designer and manufacturer of electrolyser systems said that the £46.5 million from the Department for Energy Security & Net Zero, alongside a £40 million equity investment from Great British Energy, provides significant support for the manufacturing of its new 'Chronos' electrolyser stack.
ITM intends to build the Chronos manufacturing line in its existing Sheffield facilities, saying this will reduce execution risk and enable a scalable, high-throughput platform.
It said the project focuses on bespoke, automated production equipment, including targeted investment in catalyst-coated membrane production, electrode welding, specialist coating applications, and stack assembly lines. This, ITM said, will be essential to reach 1 gigawatt of annual production capacity.
"Delivering superior energy efficiency and materially lower cost, Chronos is expected to strengthen our competitive position, expand our addressable market, accelerate the industrial adoption of green hydrogen and support our pathway to sustainable, profitable growth," the company stated.
ITM added that in-house production of modular test systems, as well as acquiring the necessary validation materials to enable a robust and efficient manufacturing ramp-up, will underpin the project's operational readiness and product quality.
"We are delighted that the DESNZ grant has now been formally awarded, enabling us to build our next-generation Chronos manufacturing line in Sheffield," ITM CEO Dennis Schulz commented. "Combined with the strategic equity investment from Great British Energy, this marks a pivotal step in establishing us at the centre of the UK's hydrogen economy and firmly positions us as a natural partner for projects in the UK.
"Sheffield is recognised as the historic home of steelmaking. We will make it just as famous for hydrogen."
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