MOSCOW (MRC) -- Cummins Enze, headquartered in Foshan, Guangdong Province, China, would initially invest USD47 mln (RMB 300 mln) in the establishment of a production facility for proton exchange membrane (PEM) electrolyzers, said the company.
After completion in 2023, the plant’s initial manufacturing capacity of 500 megawatts of electrolyzers per year will be gradually increased to one gigawatt per year over the next five years.
Cummins Enze will also offer a range of hydrogen generating system options to fulfill the needs of a diverse range of applications. This will comprise electrolyzers for both small-scale hydrogen production, such as a hydrogen fueling system for on-site hydrogen generation, and large-scale hydrogen generation facilities capable of 100 megawatts or more.
Sinopec is one of China’s leading hydrogen energy suppliers, with yearly hydrogen output reaching 3.5 million tons, accounting for 14% of the country’s total. Sinopec established the ambition of becoming the world’s leading chemical company focused on clean energy last year and designated the entire hydrogen industry chain as the primary business for its new power strategy. Sinopec has stepped up its efforts to convert gray hydrogen to decarbonized hydrogen, with the goal of becoming “China’s largest hydrogen energy firm.” Commercializing renewable hydrogen in China is expected to benefit not only green sectors, but also reduce hydrogen supply bottlenecks, hence accelerating fuel cell car adoption.
Sinopec has a solid industrial foundation and an integrated value chain as a significant industrial resource for hydrogen energy. Sinopec develops the complete service capability of oil, gas, hydrogen, and electricity and seeks consumer-oriented breakthroughs to accelerate the energy revolution of the industry chain. As Sinopec’s inaugural fund, the Enze Fund will also use Sinopec’s supply chain optimization, sales and marketing network to expedite the joint venture’s future commercial growth.
The joint venture’s new factory will be built in Foshan, China, which is a national ecological basis for the hydrogen energy industry. It boasts a mature hydrogen energy industry chain as a pioneer of the hydrogen economy. Additionally, it is one of the first regions identified by China’s central government for support in order to test and build the hydrogen sector.
As per MRC, Sinopec has set up a separate company to work on alternative energy projects. The authorized capital of the company, named Zhongshihua Xiongan Xinnenyuan (Zhongshihua Xiongan Xinnenyuan), amounted to 100 million yuan (USD15.7 mln). The scope of the company's activities will include work on projects in such areas as technologies based on hydrogen energy, the sale of equipment related to the storage and use of hydrogen energy, the promotion and implementation of services in the field of new energy technologies, as well as the sale of chargers for electric vehicles.
Earlier it was reported that SIBUR, the largest petrochemical complex in Russia and Eastern Europe, and the Chinese petrochemical giant - Sinopec - raised project financing for the Amur Gas Chemical Complex (GCC) from a syndicate of international, Chinese and Russian banks totaling USD9.1 bn.
Sinopec Corp. is one of the world's largest integrated energy and chemical companies. Business Sinopec Corp. includes oil and gas exploration, production and transportation of oil and gas, oil refining, petrochemical production, production of mineral fertilizers and other chemical products. In terms of refining capacity, Sinopec Corp. ranks second in the world, fourth in terms of ethylene capacity.