Ballard Power Systems (TSX, NASDAQ: BLDP) is receiving grants from the U.S. Department of Energy (DOE) to build a new $216 million fuel cell factory in Rockwell, Texas.
Ballard today announced that the DOE has recommended approval of grants to Ballard totalling $54 million (US$40 million) for its planned fuel cell manufacturing plant in Rockwell Texas.
Ballard said phase one of the project is a $216 million investment (US$160 million). Ballard said it expects to make a final investment decision on the new plant later this year.
The new plant – the Ballard Rockwell Giga 1 plant – is to be located on 22 acres of industrial land at the Rockwell Technology Park in Texas.
It will have an annual production capacity of 8 million membrane electrode assemblies, 8 million bipolar plates, 20,000 fuel cell stacks, and up to 20,000 fuel cell engines per year.
“Future phases are expected to further increase production scaling and capacity expansion with much lower capital requirements," Ballard said in a press release.
"We are grateful for the strong support of the DOE's hydrogen policies that position the U.S. for future scaling of hydrogen and fuel cells,” said Ballard CEO Randy MacEwen.
“This is particularly important as the U.S. accelerates a path towards environmental sustainability and energy security, while continuing to boost domestic manufacturing and bolster critical supply chains.”
As for why Ballard is choosing to set up its new plant in Texas, the company said it had gotten “considerable support from the Rockwall Economic Development Corporation (REDC), which owns and manages the Rockwall Technology Park.”