Ceres Power Holdings plc (Ceres) has signed an agreement with Shell to deliver a megawatt scale solid oxide electrolyser (SOEC) demonstrator in 2023.
Shell and Ceres are building this partnership to utilise SOEC technology to deliver high-efficiency, low-cost green hydrogen; now widely viewed as a credible route to decarbonise hard-to-abate parts of the energy system that rely on fossil fuels.
Shell is targeting to become a net-zero energy business by 2050, by reducing emissions from its operations and from the fuels and other energy products it sells to its customers. Ceres aims to produce hydrogen at efficiencies around 20% greater than other technologies, in the range of mid-80s to 90% efficiency where it is possible to make use of waste heat in industrial processes to drive high efficiency.
Ceres has committed GBP 100M for the development of its SOEC technology – with the aim of achieving a market-leading levelised cost of hydrogen of $1.5/kg by 2025. The agreement with Shell aligns with Ceres’ business strategy and provides a pathway to the commercialisation and development of new markets.
The system will be installed at Shell’s research and development technology centre in Bangalore, India, where the hydrogen will be used in industrial processes on site. The testing programme is intended to run for at least three years, forming the first stage of a collaborative relationship. The Bangalore technology centre is a key part of Shell’s focus on innovation and technology with the potential to provide cleaner energy solutions.