Nel lands a $12 million Collins Aerospace order to build electrolyzer stacks for U.S. Navy submarines, taking hydrogen technology beneath the waves
The United States continues to be among the all-round clean energy-producing powerhouses in the world. As the year is coming to an end, companies are looking to execute projects that will ensure that they meet the objectives that they had set for themselves at the beginning of the year. Countries’ governments are also playing a massive role in ensuring that this becomes a smooth-sailing process, considering that they too have clean energy targets that they must reach. As of late, it was unveiled that Nel landed a $12 million Collins Aerospace order to build electrolyzer stacks for U.S. Navy submarines, taking hydrogen technology beneath the waves.
Understanding how Nel ASA has contributed to the United States’ hydrogen sector
Because of Norway’s position as a hydrogen-producing leader, there are numerous companies that are competing to be the recognized leader of the nation. Nel ASA has a history tracing back to 1927 and is today seen as a leading pure-play hydrogen technology company with a global presence.
Companies that are able to survive multiple generations of the quickly evolving energy sector must have the ability to adapt to the contemporary methods of project execution instead of remaining stuck in the old-school way of doing things. Nel ASA specializes in PEM and alkaline electrolyzer technology for the production of renewable hydrogen and is headquartered in Oslo, Norway.
The company’s product offerings are seen as key enablers for a green hydrogen economy, making it possible to decarbonize various industries such as transportation, refining, steel, and ammonia. Nel ASA specializes in renewable hydrogen production using water electrolysis. In June 2024, Nel spun off its fueling division into Cavendish Hydrogen ASA in order to focus exclusively on electrolyzer manufacturing.
Nel lands a $12 million Collins Aerospace order to build electrolyzer stacks for U.S. Navy
A press release from Nel Hydrogen revealed that the company has received a new purchase order for Collins Aerospace for PEM electrolyzer stacks. The equipment is set to be used to generate oxygen for life-support systems that are used on U.S. submarines. Overall, the purchase has a value of an estimated USD 12 million.
According to reports, the United States produces and consumes approximately 11 to 14 million metric tons (MMT) of hydrogen per year, with over 77% of current demand connected to petroleum refining, ammonia production, and methanol manufacturing. Over 92% of existing U.S. hydrogen production depends on natural gas (gray hydrogen) via steam methane reforming, generating approximately 100 MMT of annual CO2-equivalent emissions.
Delving deeper into the importance of hydrogen during the clean energy transition
Because there are various ways to produce hydrogen and there are different types of hydrogen, the energy source is quickly becoming important during the clean energy transition. The U.S. National Clean Hydrogen Strategy and Roadmap outlines a whole-of-government approach to scale clean hydrogen production, storage, and distribution.
The industry seeks to satisfy up to 14% of U.S. final energy demand by 2050, supporting heavy-duty transport, industrial decarbonization, and grid storage.
Looking ahead: What does a Norwegian company’s entrance to the U.S. signal?
Industry experts have been calling for local representation in the energy sector, but the United States continues to depend on companies that are able to deliver what is required. Following the announcement of this particular initiative, Todd Cartwright, who is Nel’s Chief Commercial Officer, stated the following:
“We are pleased to receive another order from Collins Aerospace. It extends a long-standing cooperation built around reliable oxygen generation for demanding submarine applications. Our Wallingford team has supplied this specialized application over many years. This order confirms the continued relevance of our PEM technology and manufacturing capabilities.”
The integration of technology and the advancement of science has led to the energy industry becoming more sophisticated, as companies now have the ability to either experiment or successfully execute groundbreaking projects that would not have been possible in the past. Texas, Louisiana, and California account for over 60% of national hydrogen production.
Prince is a versatile writer focused on energy, automotive, environmental, and general news topics. He makes complex technical and policy issues clear, engaging, and accessible for a broad audience.
