FuelCell Energy and Gyeonggi Green Energy Announce Fuel Cell Module Purchase Agreement and Service Agreement for the World’s Largest Fuel Cell Power Platform

DANBURY, Conn. and HWASEONG-SI, Korea, May 28, 2024 (GLOBE NEWSWIRE) — FuelCell Energy, Inc. (Nasdaq: FCEL) and Gyeonggi Green Energy Co., Ltd. (GGE) today announced that, pursuant to a long-term service agreement, GGE has agreed to purchase 42 1.4 MW upgraded carbonate fuel cell modules from FuelCell Energy to replace existing fuel cell modules at the Hwaseong Baran Industrial Complex fuel cell power platform, the world’s largest fuel cell power platform, located in Hwaseong–si.

The agreement, which represents a significant milestone in the delivery of clean baseload energy to the Korean market, also includes a new seven-year service agreement under which FuelCell Energy will service the fuel cell modules. Under the terms of the agreement, the Company expects to achieve revenues of approximately $160 million over the term of the agreement.

The Hwaseong Baran Industrial Complex fuel cell energy platform, established in 2013 with FuelCell Energy’s design and technology, is capable of producing 58.8 megawatts of electricity from 42 fuel cell modules, which can provide power for approximately 135,000 homes and generate approximately 250 billion kilocalories of hot water to heat approximately 20,000 homes per year.

Fuel cell energy in South Korea

In 2019, Korea announced its Hydrogen Economy Action Plan, which includes a goal of providing 15 gigawatts of fuel cell power by 2040. The zero-emission fuel cells support the country’s efforts to alleviate the nationwide problem of fine dust or particulate matter in the atmosphere from transportation exhaust, industry and jet stream.

With this agreement, GGE joins Noeul Green Energy Co., Ltd. and Korea Southern Power Company Ltd. in benefiting from premium service from FuelCell Energy, whose technology is used throughout South Korea, producing over 100 megawatts of clean electricity without combustion fuel.

FuelCell Energy President and CEO Jason Few commented: “Our new agreement with GGE reinforces our commitment to providing clean, efficient and reliable energy solutions to the Korean market. Our partnership with GGE is a testament to our shared vision of a sustainable future and our commitment to innovation and excellence in the energy sector.

Few added: “It is an honor to support the world’s largest fuel cell power platform and contribute to Korea’s Hydrogen Economy Roadmap by setting a global standard for low- or zero-carbon power generation. We look forward to bringing additional platforms to the country, such as our nearby biogas power plant and our highly efficient and efficient solid oxide fuel cells for power and electrolysis.

GGE CEO Kim Dae Young commented: “We are proud to play a role in Korea’s efforts to create a cleaner environment for our citizens. By working with FuelCell Energy, we ensure that we will be able to continue to offer Korea clean baseload energy to hundreds of thousands of households.”

Comprehensive clean energy solutions from FuelCell Energy

FuelCell Energy is working to increase its market share in Korea by focusing on establishing new long-term service relationships and negotiating and executing long-term service agreements. The company’s range of clean energy solutions can contribute to Korea’s clean energy goals by providing products that reduce carbon dioxide emissions during power generation and produce hydrogen based on two electrochemical platforms: carbonate and solid oxide.

• Energy production: Carbonate and solid oxide platforms support power generation and combined heat and power applications and are fuel flexible using a variety of fuels including hydrogen, hydrogen-natural gas blends, biogas, renewable natural gas and natural gas. For example, the company recently announced a new biogas project at a California wastewater treatment plant in which carbonate fuel cell technology will convert wastewater gas into electricity on-site. The fuel cells used in these platforms respond to fuel electrochemically, without combustion. FuelCell Energy platforms are also scalable, and the company has deployed the largest fuel cell parks in the world. Servicing GGE’s 58.8 MW carbonate power platform will further demonstrate FuelCell Energy’s ability to support large-scale applications, including large data center power and cooling needs.
  
• Distributed hydrogen and energy production: FuelCell Energy’s recently announced Tri-gen system, ordered by Toyota Motor North America and operated and serviced by FuelCell Energy, is fueled by directed biogas from California and powers the largest automotive company port facility in North America.
  
• Carbon capture: FuelCell Energy’s carbon fuel cells are the only carbon capture technology on the market that can capture CO2 emissions directly while producing electricity and hydrogen. FuelCell Energy is working with ExxonMobil on the next generation of this technology for use in large industrial plants.
  
• Electrolysis: The company’s solid oxide fuel cells power our electrolyzer, which can deliver hydrogen at 100% efficiency.

In June, the company will host existing and potential customers in Korea to showcase the wide range of its clean energy offerings that can help meet the goals of the Hydrogen Economy Action Plan.

About fuel cell energy
FuelCell Energy, Inc. is a global leader in sustainable clean energy technologies that solve some of the world’s most important challenges related to energy, security and global urbanization. As the world’s leading manufacturer of proprietary fuel cell technology platforms, FuelCell Energy is uniquely positioned to serve customers, including enterprises, utilities, governments and municipalities, with sustainable products and solutions. The company’s solutions aim to enable a world powered by clean energy, improving the quality of life of people around the world. For more information, visit Fuelcellenergy.com.

About Gyeonggi’s green energy
Gyeonggi Green Energy is an energy-focused company affiliated with Korea Hydro & Nuclear Power. Since 2013, it has operated the world’s largest energy platform with coal fuel cells with a capacity of 58.8 MW. This environmentally friendly energy platform uses clean fuel and liquefied natural gas to produce and deliver electricity and heat using fuel cells. The platform’s impressive capabilities include CO technology2 a reduction effect of approximately 220,000 tonnes and an oil import substitution effect of approximately 120,000 TOE (tonnes of oil equivalent), making it the largest single-type fuel cell (MCFC) solution of its kind in the world. Moreover, Gyeonggi Green Energy aims to play a forward-looking role and make determined efforts as an environmentally friendly decentralized energy source in line with Korea’s internal situation.

press contact
Fuel cell energy
Kathleen Blomquist
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Contact for investor relations
Fuel cell energy
Tom Gelston
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A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/5834c178-815e-4cb4-89da-df3b6f5cfcd4

GGE’s Hwaseong Baran Industrial Complex

The Hwaseong Baran Industrial Complex fuel cell power platform, established in 2013 with FuelCell Energy design and technology, is capable of producing 58.8 megawatts of electricity from 42 fuel cell modules