Hanwha Solutions to Supply Tanks for Shell Hydrogen Refueling Station in California, USA

Completion of Alabama Plant in Second Half of Year... Annual Production of 4,000 High-Pressure Tanks

[Asia Economy Reporter Oh Hyung-gil] Hanwha Solutions is participating in the hydrogen refueling station network construction project in California, USA, led by the global energy company Shell.

Hanwha Cimarron, Hanwha Solutions' US subsidiary, announced on the 21st that it will supply Shell with 'Neptune,' a hydrogen tank for transportation. Neptune is a tank made of carbon fiber-based composite materials, capable of storing up to 2000 liters of hydrogen, making it an ultra-large capacity hydrogen tank.

Among Type 4 tanks, it can store hydrogen at the highest pressure in the world (517 bar), and features technology to prevent tank deformation. Even if 100% of the hydrogen is extracted from the tank, the tank does not get damaged. Typical Type 4 tanks may shrink if hydrogen is completely extracted, so about 10% of hydrogen must be left inside, reducing transportation efficiency.

Shell plans to build a hydrogen refueling station network in California using Hanwha Cimarron's hydrogen tanks. California is the center of the US hydrogen industry, with 52 out of 66 hydrogen refueling stations in North America already installed, and plans to increase the number of hydrogen refueling stations to 1,000 by 2030.

Hanwha Cimarron, acquired by Hanwha Solutions in 2020, is currently investing approximately $51 million (about 60 billion KRW) in Opelika, Alabama, USA, to build a high-pressure tank factory equipped with the latest facilities. Once the Alabama factory is completed in the second half of this year, it will be able to produce about 4,000 high-pressure tanks annually.

Last year, Hanwha Solutions signed a supply contract worth $260 million (about 305 billion KRW) with Texas energy company Sunbridge for tube trailers capable of transporting hydrogen and compressed natural gas (CNG).

Ryu Doo-hyung, head of Hanwha Solutions' Advanced Materials Division, said, "We are strengthening hydrogen tank sales to acquire new customers in Europe, including Germany," adding, "With continuous investment, we aim to become the global number one company in the hydrogen tank sector by 2030."