CPH2 has engaged into a Technology Cooperation Agreement with Bentec, a Kenera Energy Solutions operating corporate unit (Kenera).
Kenera is a recently formed business unit under the KCA Deutag Group, an industry leader in drilling, engineering, and technology. Kenera was established as the foundation from which the KCA Deutag Group will expand its presence in the hydrocarbon and energy transition markets, and it is a major investor in CPH2.
• In accordance with the conditions of the Agreement, Kenera will produce up to 30 MFE220 units for CPH2 at its German manufacturing plant.
• Furthermore, CPH2 has awarded Kenera a non-exclusive right to market and produce CPH2 goods in Germany, Scotland, Azerbaijan, Denmark, and Norway, up to an annual maximum of 150 MFE units.
• CPH2 has granted Kenera an exclusive license to produce and sell CPH2 products in the Middle East up to a maximum of 2GW (including Oman, Saudi Arabia, United Arab Emirates, Qatar, Kuwait and Iraq).
The Agreement combines CPH2’s unique MFE technology, which utilizes cryogenics to separate oxygen from hydrogen, with Kenera’s global clientele and industry-leading manufacturing capabilities.
The production arrangements outlined in the Agreement will expedite the rollout of the Company’s technology as the hydrogen industry expands rapidly.
The licensing agreements are a validation of the company’s intellectual property strategy, which allows CPH2 to supply unique technology to industrial partners and results in a low-cost business model geared to facilitate efficient market penetration.
The conclusion of the discussions with Kenera is the culmination of various workstreams that began prior to the successful IPO of the company in February 2022. KCA Deutag chose to participate in the Company at its IPO, and their collaboration since then has positioned both parties to capitalize on the rapidly expanding hydrogen sector, which is projected to require up to €10 trillion in global investment by 2050.
The Agreement stipulates continued collaboration and assistance between CPH2 and Kenera, including the provision of training and extra resources as needed, cost and profit-sharing arrangements, and minimum sales quotas in exclusive regions.
Jon Duffy, CEO of CPH2 said:
“We are delighted to enter into this agreement with Kenera, whose parent company, KCA Deutag, is not only an investor in CPH2, but is also one of the leading energy sector manufacturing businesses in the world, adding valuable and immediate manufacturing capacity. I am particularly pleased to have additionally signed two sales licensing sub-agreements, which are a capital efficient production method for CPH2, and will enable a much faster scale up and market penetration of our innovative and disruptive hydrogen electrolyser technology. Interest in this technology continues to grow and our pipeline of opportunities is constantly developing.”
Ally Hogg, Head of Commercial for Kenera, commented:
“This collaboration follows our investment into this exciting and ambitious high growth hydrogen business. The relationship with CPH2 adds to our clean energy portfolio and we look forward to actively collaborating with their team as we expand our business in the energy transition space and create value for our stakeholders by delivering our innovative technological solutions, manufacturing and after-sales expertise.”