Nel ASA has taken the final investment decision to construct up to 1 GW of production capacity for its Next Generation Pressurized Alkaline hydrogen platform at the Herøya facility in Norway, following successful prototype testing and start-up. The project is supported by the EU Innovation Fund.

Development of the pressurized alkaline system began in 2018, and full-scale prototype testing at Herøya validated market-leading efficiency. Commercial launch is expected in the first half of 2026, with large-scale delivery from 2027.

The platform’s modular, skid-based design allows pre-fabrication and factory testing, reducing engineering, logistics, and installation complexity while eliminating the need for dedicated buildings. This innovation dramatically lowers system CAPEX and energy costs, improving the levelized cost of hydrogen and unlocking new business cases.

Nel has secured up to EUR 135 million from the EU Innovation Fund, covering up to 60% of CAPEX and operational costs, supporting a total annual output of 4 GW. The initial 1 GW investment is estimated at NOK 300 million before grants, with milestone-based payments expected to unlock over EUR 10 million.

The industrialization of this platform positions Nel as a leader in cost-efficient, scalable hydrogen production and sets the stage for evaluating the future of two 500 MW atmospheric alkaline production lines at Herøya.