ITM Power (AIM: ITM), the energy storage and clean fuel company, is pleased to announce that it has signed an agreement (“the Agreement”) to lease new premises in Sheffield for its global manufacturing headquarters and has made a senior production appointment to support the transition to the new facilities.
The Agreement is for ITM Power to lease a new build development of 134,000 square feet in Sheffield, UK, at PLP Bessemer Park. The manufacturing facility will have an electrolyser manufacturing capacity of up to 1GW (1,000MW) per annum, the largest in the world. PLP Bessemer Park is being developed by PLP. The Agreement commits ITM Power and PLP to enter into a lease at completion of the building, expected in Q4 2019.
PLP Bessemer Park is a new 50-acre development at a strategic location next to junction 34 of the M1 and in close proximity to the Company’s existing facilities. ITM Power expects to occupy the building from March 2020 and complete its own technical and industrial fit out and transition the majority of its operations into PLP Bessemer Park by Summer 2020.
The requirement to expand ITM Power’s production capacity has been led by the continued growth in the Company’s order pipeline. The new headquarters will see ITM Power co-locate into a single building and gain access to a five-fold increase in production space. Key to the selection of the building was the proximity of the grid connection to provide the substantial power supply required for ITM Power’s needs, using existing infrastructure near to the location.
ITM Power has been able to take advantage of a new build development in construction that will meet its needs for capacity and production at speed. The new development will include capacity for 140 office-based staff and will accommodate a large production and after sales support workforce. It has the advantage of excellent public transport connections in addition to substantial parking facilities for staff and visitors.
Key to the Company’s development strategy is reducing the cost of its product offering through standardisation, process development and production volume. Central to this is the adoption of semi-automated manufacturing equipment for repeat components. These special purpose machines have required significant upfront engineering and verification work as part of an integrated manufacturing system. The planning behind this important step for ITM Power has been underway for some time and has worked in parallel to the search for the right premises. Key to maximising product throughput is the increase in mains power connection available at PLP Bessemer Park. The substantial power connection will enable parallel testing of larger products prior to dispatch.
The Company is also delighted to announce a senior production appointment. Grant Teagle is appointed as Master Production Scheduler and brings significant experience in manufacturing including change management and driving complex projects in production.
Dr Graham Cooley, CEO, ITM Power plc commented: “The move to larger premises and the design of our new manufacturing and testing process has taken some time. I am delighted to be able to announce this key milestone in the project and I do so with confidence that ITM Power and its advisors have done a thorough job in selecting the right premises. The detailed planning that has taken place will pay dividends as we transition our activities to PLP Bessemer Park from the New Year.”
Neil Dickinson, Chief Investment Officer at PLP said: “This leasing deal with ITM Power is another example of PLP’s capability in delivering high quality industrial units in strategic locations across the UK. We are looking forward to welcoming ITM Power to PLP Bessemer Park.”
For further information, please visit www.itm-power.com or contact:
ITM Power plc
Graham Cooley, CEO
Investec Bank plc (Nominated Adviser and Broker) Jeremy Ellis / Chris Sim
Tavistock (Financial PR and IR)
Simon Hudson / Nick Elwes / Barney Hayward
About ITM Power
ITM Power plc manufactures integrated hydrogen energy solutions for grid balancing, energy storage and the production of green hydrogen for transport, renewable heat and chemicals. ITM Power plc was admitted to the AIM market of the London Stock Exchange in 2004. In September 2017, the Company announced the completion of a £29.4m working capital fundraise. The Company signed a forecourt siting agreement with Shell for hydrogen refuelling stations in September 2015, which was extended in May 2019 to include buses, trucks, trains and ships, and subsequently a deal to deploy a 10MW electrolyser at Shell’s Rhineland refinery. The Company entered into a Strategic Partnership Agreement with Sumitomo Corporation in July 2018 for the development of multi-megawatt projects in Japan. Additional customers and partners include Ørsted, National Grid, Cadent, Northern Gas Networks, Gasunie, RWE, Engie, BOC Linde, Toyota, Honda, Hyundai, Anglo American among others.
Established in 2015, PLP is a specialist UK logistics and industrial property business. The full service platform develops, manages and owns prime-grade UK logistics real estate with in-house management expertise across all key capabilities including acquisitions and sourcing, development, leasing and asset management. The PLP platform is owned by MIRA Real Estate, Peel Group, Ivanhoé Cambridge and its senior management team.
Completion of the British Columbia Renewable Hydrogen Feasibility Study ITM Power, Mitsui, Chiyoda and BC Hydro in 300MW Power-to-Gas study
ITM Power (AIM: ITM), the energy storage and clean fuel company, is pleased to announce the completion of a techno-economic feasibility study for the large-scale centralised production of renewable hydrogen in the Province of British Columbia (“BC”). The project, “Feasibility Study and Assessment of Centralized Renewable Hydrogen Production in BC followed by a Pilot Plant Development”, was led by ITM Power with support from G&S Budd Consulting Ltd. and partners Mitsui & Co., Chiyoda Corporation and BC Hydro. It was funded by the BC Government.
The study commenced in April 2018 with the aim of examining the potential for large-scale production of renewable hydrogen in BC, which could be used domestically and for export to California and Japan. BC brings a number of competitive advantages to the establishment of a first-of-its-kind large renewable hydrogen industry including the availability of renewable electricity, the abundance of freshwater and the proximity of numerous production sites to deep water harbours for the export of hydrogen to markets in the United States and Asia. The study was based on using ITM Power’s state of the art PEM electrolyser technology and Chiyoda Corporation’s newly developed liquid organic hydrogen carrier, SPERA Hydrogen.
The study analysed over 10 potential BC Hydro grid and private wire connected locations for the practical installation and operational business cases for up to 300MW of electrolysis paired with the liquid organic hydrogen carrier technology. Demand for hydrogen was analysed for the domestic market, to help BC meet the goals of a new zero emission vehicle policy, and international markets including large scale export to California and Japan.
The study highlighted a number of attractive opportunities which provide the basis for BC to leverage its vast renewable electricity generation capacity to become a world leader in the production and export of renewable electrolytic hydrogen whilst providing socio-economic benefits including business development and job growth for local communities including the First Nations people.
The results of the study will be used by ITM Power, Mitsui & Co. and Chiyoda Corporation to consider the installation of a facility in BC which has the potential to be the world’s largest hydrogen production facility.
Steve Jones, MD of ITM Power Inc. commented: “ITM Power is pleased with the results of this feasibility study which highlights the BC region as one of the world’s best locations for the generation and export of large-scale renewable hydrogen. The demand for renewable hydrogen is growing around the world and we look forward to continuing discussions on real world deployments.”
Hon. Michelle Mungall, British Columbia Minister for Energy, Mines and Petroleum Resources, added: “Government is taking bold action to meet the climate targets set out in our world-leading CleanBC plan. Producing and exporting made-in-BC hydrogen power is an exciting opportunity to reduce greenhouse gas emissions, boost our economy and create good clean energy jobs.”
Hon. Bruce Ralston, British Columbia Minister for Jobs, Trade and Technology, added: “Clean energy solutions like the possibility of BC generated hydrogen, will help protect the global environment while advancing our clean export priorities, which are crucial to driving strong economic activity.”
Mitsui & Co. commented: “Mitsui is increasingly interested in the hydrogen industry particularly the opportunity to use hydrogen as an alternative fuel suitable for export and import”
Chiyoda Corporation commented: “Transporting hydrogen using our SPERA technology is simple and has the potential to scale to the enormous volumes required for the global energy transition.”
For further information please visit www.itm-power.com or contact:
ITM Power plc Andy Allen, Finance Director
+44 (0)114 244 5111
Investec Bank plc (Nominated Adviser and Broker) Chris Sim / Jeremy Ellis
+44 (0)20 7597 5970
Tavistock (Financial PR and IR) Simon Hudson / Nick Elwes / Barney Hayward
+44 (0)20 7920 3150
About ITM Power plc: ITM Power plc manufactures integrated hydrogen energy solutions for grid balancing, energy storage and the production of green hydrogen for transport, renewable heat and chemicals. ITM Power plc was admitted to the AIM market of the London Stock Exchange in 2004. In September 2017, the Company announced the completion of a £29.4m working capital fundraise. The Company signed a forecourt siting agreement with Shell for hydrogen refuelling stations in September 2015, which was extended in May 2019 to include buses, trucks, trains and ships, and subsequently a deal to deploy a 10MW electrolyser at Shell’s Rhineland refinery. The Company entered into a Strategic Partnership Agreement with Sumitomo Corporation in July 2018 for the development of multi-megawatt projects in Japan. Additional customers and partners include Ørsted, National Grid, Cadent, Northern Gas Networks, Gasunie, RWE, Engie, BOC Linde, Toyota, Honda, Hyundai, Anglo American among others.