HD Hyundai makes a Strategic Investment in Elcogen

24.10.2023

OCTOBER 11, 2023
HD Hyundai makes a Strategic Investment in Elcogen
Korea Shipbuilding & Offshore Engineering, a member of HD Hyundai Group, invests €45m in Elcogen’s Solid Oxide technology to further deepen the collaboration on emission-free power generation systems as well as green hydrogen production.

Elcogen (“the Company”), the European manufacturer of technology that enables delivery of efficient, affordable green hydrogen and emission-free electricity, is pleased to announce that Korea Shipbuilding & Offshore Engineering Co., Ltd. (“KSOE”), a company incorporated in the Republic of Korea and a member of HD Hyundai Group (“HD Hyundai”) has signed a strategic investment in Elcogen of €45m with closing subject to, amongst other things, Elcogen obtaining the approval of its shareholders to the issue of the new shares to KSOE.

HD Hyundai’s investment follows an extensive period of testing the full range of technology available in the market, following which an R&D collaboration agreement was signed with Elcogen in January 2023, which was focused on further testing of Elcogen’s technology and development of systems.

Following this investment, HD Hyundai and Elcogen intend to further strengthen their collaboration with a focus on marine propulsion systems and stationary power generation based on Elcogen’s proprietary solid oxide fuel cell (“SOFC”) and green hydrogen production based Elcogen’s solid oxide electrolyser cell (“SOEC”) technology. This investment will be used to expand Elcogen’s manufacturing capacity as it continues to build the Company’s new factory facility in Tallinn, Estonia, with a manufacturing capacity of up to 360MW to meet increasing demand for its products.

This is an important development for HD Hyundai as it forms another critical step in realising its vision for the next generation of marine propulsion. As part of HD Hyundai’s “Ocean Transformation” vision which it announced in January of this year, Kisun Chung, CEO of HD Hyundai and HD KSOE, described four key visions, one of which was Ocean Mobility targeting next-generation digital ships that are eco-friendly as an answer to ocean sustainability. This part of HD Hyundai’s vision is led by KSOE. Shortly after that announcement, KSOE concluded its MOU with Elcogen which sets out how the Companies will work together to design and prototype test large-capacity SOFC systems for use in ships and power generation. KSOE and Elcogen also intend to work together to manufacture systems in South Korea, and further strengthen the companies collaboration in SOFC and SOEC technology.

HD Hyundai have chosen Elcogen’s SOFC and SOEC technology because:

  • of its flexibility to produce electrical energy from a variety of fuels such as hydrogen, natural gas, ammonia, methanol, and biofuel;

  •  its suitability for ship engines and cogeneration as it is highly energy efficient and can use waste heat generated from high-temperature operation (600~1000℃); and

  • it is considered the most advanced among all fuel cells developed to date.

This investment forms part of a larger investment by KSOE, demonstrating its commitment to delivering its Ocean Transformation strategy. As part of HD Hyundai’s progress towards marine propulsion, its SOFC systems will initially target providing auxiliary power on-board vessels before scaling up to provide propulsion.


Chris Nash, Chairman of Elcogen, said: “We are delighted to welcome HD Hyundai as a close working partner and now as a shareholder. I believe this is a vote of confidence in our technology from a world leader in industrial innovation and shipbuilding. We look forward to building on this relationship as we continue working together.”

Enn Õunpuu, CEO of Elcogen: “There is a huge amount of pressure for heavy industries to decarbonise and meet net zero targets, not least maritime transport. We are delighted that HD Hyundai has built upon our strategic partnership to invest directly into Elcogen, recognising the key role our proprietary Solid Oxide technology will have in leading the world to net zero, providing a clear and external validationof Elcogen.


Kisun Chung, CEO of HD Hyundai/KSOE: “We expect this investment, and the strategic collaboration HD Hyundai and Elcogen will build together, will lay the cornerstone for realising the sustainable future energy ecosystem HD Hyundai envisions, which includes developing next generation clean energy technologies and expanding the value chain capabilities of future core energy sources, including hydrogen.”


Elcogen was advised by Arrowpoint Advisory (part of Rothschild & Co).



For more information please contact:
Elcogen AS 


Enn Õunpuu


CEO
via Tavistock


Tavistock

Nick Elwes


Rebecca Hislaire


Charles Baister

elcogen[at]tavistock.co.uk 


+44 (0)20 7920 3150



Archive

2023
24.10.2023HD Hyundai makes a Strategic Investment in Elcogen
26.09.2023SolydEra and Convion to jointly address growth in fuel-cell and hydrogen market
04.05.2023Convion And Shell Form Partnership To Commercialise Solid Oxide Electrolysers (SOEC)
04.05.2023Norsepower secures €28 million from investors
2022
13.12.2022Octopus Energy Group’s Kraken acquires Power Fund III investee Depsys
18.08.2022Norsepower signs agreement with Dalian Shipbuilding Industry Co. Ltd. to install Rotor Sails onboard two newbuild CO2 carrier vessels
10.05.2022Elcogen receives €24 million investment from HydrogenOne
2021
21.07.2021Merus Power Oyj:n First North -listautumisanti on ylimerkitty, yhtiölle noin 8 000 uutta osakkeenomistajaa – kaupankäynti alkaa arviolta 8.6.2021
15.05.2021Kestävän ja energiatehokkaan tulevaisuuden mahdollistava teknologiayhtiö Merus Power suunnittelee listautumista First North - markkinapaikalle
01.05.2021Cority Acquires Power Fund III Investee WeSustain
2020
18.12.2020Half of the Top 10 "most sustainable companies in Germany" rely on WeSustain as software partner
21.01.2020Test of wind propulsion on Maersk Pelican completed: Norsepower Rotor Sails confirmed savings of 8.2% fuel and associated CO2 on Maersk Pelican
21.01.2020OGCI Climate investments leads MEUR8 investment in Norsepower
21.01.2020Elcogen Named Winner of Innovation at European Business Awards 2019
2019
01.10.2019Introducing WeSustain’s ESG Management
02.09.2019Swiss smart grid expert opens subsidiary in Singapore
12.02.2019CHF 13.2 million: Successful financing round strengthens DEPsys in Smart Grid growth market
12.02.2019#InnovFin: EUR 12 million loan from EU to Estonian clean tech company Elcogen
2018
31.10.2018Cajo Technologies Oy voitti Kasvu Open 2018 kilpailun
31.10.2018Cajo Technologies Oy is the winner of Growth Open (in Finnish: Kasvu Open) 2018 competition
08.02.2018Wello to export Wave Energy Converters to China
08.02.2018New clean energy system to make Finnish business district self-sufficient
18.01.2018Swiss Smart Grid Solution Company DEPsys Raises Additional CHF 2 Million of Funding
2017
09.11.2017Convion SOFC generates zero emission electricity and heat from biogas in Italy
02.11.2017Power Fund II investee Visedo sold
21.09.2017Visedo CEO, Kimmo Rauma, Takes Electric Message to the World
30.05.2017Maersk Tankers in wind power project
11.05.2017DEPsys has been selected for global energy startup accelerator program Free Electrons
11.05.2017Superb performance with renewable biogas
06.03.2017Application test of innovative off-grid power supply
02.03.2017Norsepower Rotor Sail Solution to be installed onboard Viking line cruise ferry vessel
2016
19.12.2016Visedo is ready to take a global lead in providing smart and high performance electric drivetrain systems
07.09.2016WeSustain develops reporting software for the partnership for sustainable textiles
13.06.2016Swiss Smart Grid Solution Company DEPsys Raises CHF 3 Million of Financing
22.03.2016Finnish Laser Marking Machine Provider Cajo Technologies heads to US markets
29.01.2016Performance monitoring and verification drives orders and investment for Norsepower
11.01.2016Visedo joins forces with Dutch marine electric system expert Electric Power Conversion B.V.
2015
03.11.2015Sustainability Management 2.0“ – WeSustain receives top marks
30.10.2015WeSustain becomes a SASB Enterprise Resource Platform (ERP) Partner
11.06.2015Visedo’s electric drive trains to equip world’s largest electric ferryboat
14.01.2015Merus Power wins its biggest contract ever
2014
14.12.2014Growth capital for WeSustain (Series B)
21.10.2014Self-Sufficient and Emission-Free Energy to Go
2013
21.10.2013Fuel cell company Siqens receives funding from Finnish investor VNT Management Oy and German KfW Bank
11.10.2013Mobilemarking Gets Nearly
€1 Million in Funding for Internationalization
10.09.2013Wello’s Wave Energy Converter Producing Clean Energy
06.05.2013GASEK Oy, CCM-Power Oy and Asmacon Oy to combine their business
31.01.2013Final Closing of Power Fund III
16.01.2013Valopaa Receives a Significant Capital Investment from VNT Management