Topsoe unveils plans for 1-GW-plus SOEC factory in Virginia

Denmark-based carbon emission reduction technologies specialist Topsoe today unveiled plans to build a factory for the production of Solid Oxide Electrolyser Cells (SOEC) with a capacity of more than 1 GW in Chesterfield, Virginia.

The announcement comes after Topsoe was allocated almost USD 136 million (EUR 128m) in federal Section 48C tax credits from the Inflation Reduction Act.

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The investment of USD 400 million, which is subject to final investment decision, will be Topsoe’s largest investment in the US so far. Together with the company’s SOEC factory in Herning, Denmark, it will make Topsoe the largest SOEC manufacturer globally, according to the announcement.

“Through legislation like the Inflation Reduction Act and strong support from individual states such as Virginia, the US government is helping to accelerate the clean energy transition,” said Topsoe chief executive Roeland Baan.

The cells will be used to produce clean hydrogen. The company says its technology increases electrolyser efficiency up to 30% compared to other electrolysis technologies, resulting in higher yield of hydrogen per power input.

“With this new facility, we will help drive down the cost of clean hydrogen by employing our innovative SOEC technology which is up to 30% more efficient than competing technologies,” remarked Kim Hedegaard, CEO at Power-to-X at Topsoe.

The US Department of Energy (DOE) on Friday released details for 35 projects that received a total of USD 1.93 billion in allocations of the Qualifying Advanced Energy Project Credit (48C) funded by the Inflation Reduction Act.

(USD 1 = EUR 0.939)