AFC deal to help Speedy hydrogen venture
17 November 2023
AFC Energy, which earlier this week confirmed its creation of a 50:50 joint venture company with Speedy to hire hydrogen powered generators, has announced it has purchased certain UK mobile hydrogen storage and distribution assets from Octopus Hydrogen, part of the Octopus Energy Group.
It says this will help in establishing a local distributed hydrogen supply logistics capability that supports the deployment of H-Power Generators across the UK, including those that will be offered through the new Speedy Hydrogen Solutions activity, as reported earlier on the blog.
AFC says that through its investment into ammonia cracking and now hydrogen storage and logistics assets, it can offer a fuelling proposition that supports industry's transition to zero emission off-grid power.
The acquired Octopus assets can accept hydrogen sourced from third party electrolysers, both in the UK and Europe, as well as from AFC Energy's ammonia crackers, enabling it to deliver end-to-end hydrogen fuelling solutions to its customers.
The equipment comprises two 350bar 420kg NanoSun Pioneer mobile hydrogen refuelling stations with mobile trailers and a hydrogen compressor for refilling. At full capacity, each unit could support the fuelling needs of a fleet of H-Power generators at full load, says AFC.
The company says it does not intend to become a capital intensive hydrogen logistics provider, but that early investment in well priced storage and distribution assets will support the maturing of the hydrogen power generator market, whilst affording an opportunity to derive incremental revenue through the provision of hydrogen fuel logistics, at a reasonable scale, to customers in the UK and Ireland.
Adam Bond, Chief Executive at AFC Energy, said: "We are pleased to announce AFC Energy's first investment into the distribution and storage of hydrogen to support and complement our UK off-grid power business. Complemented by our hydrogen generation capability through ammonia cracking and methanol reforming, the logistics of distributing hydrogen is the next stage in our ambition to commercially demonstrate the viability of hydrogen as a displacement to diesel in off-grid power environments."
