ITM Power inks capacity reservation with utility provider

16th Jul 2024 15:12

(Sharecast News) - ITM Power announced the signing of a capacity reservation agreement with a large utility company on Tuesday, securing future production capacity for its NEPTUNE II units.

The AIM-traded firm said the agreement would involve the production of four NEPTUNE II units, scheduled to be manufactured during the 2025 and 2026 calendar years for a project based in the UK.

It described the NEPTUNE II as a 2 MW containerised plug-and-play electrolyser system, featuring ITM's TRIDENT stack platform.

ITM said the technology was designed to provide efficient and reliable hydrogen production capabilities.

The project had already secured funding through the Hydrogen Allocation Round 1 (HAR1), with a final investment decision (FID) from the utility company expected in 2025.

That decision, ITM explained, would determine the project's advancement and the deployment of the NEPTUNE II units.

"This capacity reservation is the result of an intense qualification process by a large industrial player who is keen to buy a safe, reliable and cost-competitive solution," said chief executive officer Dennis Schulz.

"Data gathered from plants in operation were a key differentiator."

At 1454 BST, shares in ITM Power were up 1.14% at 62.25p.

Reporting by Josh White for Sharecast.com.