HD KSOE to invest $48 mn in European fuel cell company

HD Korea Shipbuilding & Offshore Engineering (KSOE) announced on Wednesday that it plans to invest 45 million euros ($47.7 million) in the European fuel cell company Elcogen AS.

Elcogen, established in Estonia in 2001, is a global leader in the production of core components and stacks for solid oxide fuel cells (SOFCs). The company's SOFCs are currently rated as the best in terms of operating temperature and power density.

HD KSOE plans to enhance large-scale SOFC systems through this investment. It aims to enter various areas, including onshore power generation, ship power and propulsion systems, and the commercialization of electrolysis technology for green hydrogen production.

The company is also considering establishing a joint venture with Elcogen for fuel cell production in South Korea. Solid oxide fuel cells, which are used in buildings, factories and power plants, offer higher power efficiency compared to conventional fuel cells.

"The latest investment agreement will be a foundation for realizing a sustainable future energy ecosystem," CEO of HD Hyundai Co. Chung Ki-sun said. 

Write to Hyung-Kyu Kim at khk@hankyung.com