HD KSOE expands investments in next-generation energy tech
HD Hyundai CEO Chung Ki-sun, left, poses with Elcogen founder and CEO Enn Ounpuu, after signing a tech investment contract worth 64 billion won ($47.77 million) at Seoul Square, Wednesday. Courtesy of HD Hyundai
HD Korea Shipbuilding & Offshore Engineering (KSOE) has decided to invest 64 billion won ($47.77 million) to build an eco-friendly energy ecosystem by forming ties with a European clean energy tech firm, the Korean company said Wednesday.
Under the partnership with Elcogen AS, the affiliate of HD Hyundai plans to advance its solid oxide fuel cell (SOFC) system technology, which the company said will serve as a stepping stone for the production of green hydrogen.
HD KSOE and the Estonia-based company plan to deepen their strategic partnership down the road, with both sides considering establishing a joint venture producing green fuel cells in Korea.
“The bilateral tie will help expand a value chain for the next-generation core energy sector,” HD Hyundai CEO Chung Ki-sun said. “The latest investment contract is expected to be a cornerstone for us to establish the sustainable future energy ecosystem.”
Elcogen founder and CEO Enn Ounpuu and Estonian President Alar Karis also joined the event in Seoul to celebrate the partnership.
“Elcogen’s unmatched SOFC technology will play a significant role in boosting HD Hyundai’s drive for green ocean transformation and carbon neutrality,” the Elcogen leader said.
The SOFC technology provided by Elcogen is used to produce electricity and heat from a variety of fuels, such as hydrogen, biogas and diesel, according to the company. It is considered a next-generation eco-friendly energy source due to its high energy efficiency.
Elcogen was established in 2001 and is a relatively lesser-known company manufacturing core SOFC components, such as cells and stacks.
This is not the first time HD KSOE has invested in the green energy industry. Last November, the company invested $30 million in TerraPower, a U.S.-based nuclear energy firm known for designing small modular reactors (SMR). The Korean firm also established an independent SMR research team, with a view to accelerating its technological prowess for developing nuclear-powered ships.