US-based turnkey hydrogen solutions provider Plug Power Inc (NASDAQ:PLUG) and SK E&S have set up an Asian joint venture with plans to build a “Gigafactory” in a key metropolitan area in South Korea by 2024.
The purpose of the new JV is to provide hydrogen fuel cell systems, hydrogen fueling stations, electrolysers and green hydrogen to Korean and certain overseas markets in Asia. Over time, the joint company will also start distributing liquefied hydrogen produced by SK E&S to around 100 charging stations nationwide.
The Korean firm will hold a 51% stake in the JV, while Plug Power will have the remaining shares. The two have been working together since early 2021 when the parent of SK E&S -- South Korean industrial conglomerate SK Group -- made a USD-1.6-billion (EUR 1.4bn) capital investment in Plug Power.
South Korea has set a few ambitious objectives to be achieved by 2040, including more than 5 million tonnes of hydrogen per year, over 6 million fuel cell electric vehicles (EVs), about 1,200 refilling stations and 15 GW of fuel cell power generation. The government also expects that the cumulative economic value of the nation’s hydrogen economy will reach USD 40 billion by that year.
(USD 1.0 = EUR 0.862)
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