VANCOUVER, CANADA AND SHANGHAI, CHINA – Ballard Energy Programs (NASDAQ: BLDP; TSX: BLDP) introduced at present its technique ‘native for native’ the place it plans to deepen its international manufacturing footprint in Europe, the USA and China to assist international market demand development by way of 2030. As a part of this technique, Ballard has entered into an funding settlement with the Authorities of Anting in Shanghai’s Jiading District to ascertain its new China headquarters, membrane electrode meeting (MEA) manufacturing facility and R&D heart at a web site strategically situated on the Jiading Hydrogen Port, situated in considered one of China’s main automotive business clusters.
Ballard plans to speculate roughly $130 million over the subsequent three years, which is able to allow annual manufacturing capability on the new MEA manufacturing facility of roughly 13 million MEAs, which is able to provide roughly 20,000 engines. Ballard expects to have the ability to obtain vital capability enlargement of this facility in future phases with a lot decrease capital necessities. The ability may also embrace house to assemble roughly 600 engines yearly to assist the manufacturing and sale of Ballard engines within the rail, marine, off-road and stationary markets in China, in addition to for sure export markets.
In 2021, Ballard accomplished its MEA manufacturing enlargement in Canada, which is essential because the MEA is the core expertise and limiting issue for Ballard’s international gasoline cell engine manufacturing capabilities. With the brand new MEA capability coming on-line in China, Ballard now expects its international MEA capability to assist complete demand necessities by way of the second half of the last decade.
This funding is anticipated to scale back MEA manufacturing prices, align with China’s gasoline cell worth chain localization coverage, and place Ballard extra strongly within the hydrogen gasoline cell demonstration cluster areas and for the post-subsidy market.
The ability is deliberate to be in operation in 2025 to satisfy anticipated market demand in China, together with from the Weichai-Ballard Joint Enterprise (WBJV) for the bus, truck and forklift markets, in addition to different alternatives outdoors the WBJV scope. The annual manufacturing capability of the Weichai-Ballard three way partnership facility situated in Weifang, Shandong is roughly 40,000 stacks and 20,000 engines.
“Our international manufacturing imaginative and prescient for 2030 is to have scaled ‘native for native’ manufacturing of main gasoline cell engines and elements in our core regional markets of Europe, North America and China to assist future business development patterns and volumes throughout our verticals. Within the case of China, we have already got quantity manufacturing capability for gasoline cell engines, bipolar plates and stack meeting at our WBJV. With our continued excessive conviction on long-term scaled adoption in China of gasoline cell electrical autos for medium- and heavy-duty motive purposes, we at the moment are addressing long-term capability in that marketplace for our proprietary MEAs,” stated Randy MacEwen, Ballard’s Chief Govt Officer. “We imagine China is a market headed for a major demand break-out as hydrogen infrastructure scales over the approaching years and as our new MEA manufacturing facility comes on-line.”
“To be aggressive in China requires funding in China,” commented Alfred Wong, Ballard China CEO. “This new MEA manufacturing facility will considerably scale back MEA manufacturing prices, enhance China market entry and meet long-term market demand, together with offering MEA provide to our Weichai-Ballard JV. We’re thrilled to be partnering with Anting, Jiading District, which has shortly turn out to be a key hydrogen expertise hub in China.”
Ballard may also be establishing an R&D and innovation heart on the similar web site. The middle might be centered on MEA analysis to attain key company technical developments, assist price discount initiatives, and have interaction the rising China native provide chain for gasoline cell supplies and elements.
Ballard additionally introduced at present that it has signed a non-binding memorandum of understanding with Weichai Energy whereby Weichai Energy plans to make an fairness funding for two% of Ballard’s new MEA manufacturing firm.
About Ballard Energy Programs
Ballard Energy Programs’ (NASDAQ: BLDP; TSX: BLDP) imaginative and prescient is to ship gasoline cell energy for a sustainable planet. Ballard zero-emission PEM gasoline cells are enabling electrification of mobility, together with buses, business vehicles, trains, marine vessels, and stationary energy. To study extra about Ballard, please go to www.ballard.com.
This launch accommodates forward-looking statements regarding deliberate operations enlargement in China, associated investments, product price and market impacts, and anticipated implementation timeline. These forward-looking statements mirror Ballard’s present expectations as contemplated beneath part 27A of the Securities Act of 1933, as amended, and Part 21E of the Securities Alternate Act of 1934, as amended. Any such forward-looking statements are based mostly on Ballard’s assumptions referring to its monetary forecasts and expectations relating to its product improvement efforts, manufacturing capability, and market demand.
These statements contain dangers and uncertainties which will trigger Ballard’s precise outcomes to be materially completely different, together with normal financial and regulatory modifications, detrimental reliance on third events, efficiently attaining our enterprise plans and attaining and sustaining profitability. For an in depth dialogue of those and different threat components that would have an effect on Ballard’s future efficiency, please check with Ballard’s most up-to-date Annual Data Kind. Readers mustn’t place undue reliance on Ballard’s forward-looking statements and Ballard assumes no obligation to replace or launch any revisions to those forward-looking statements, apart from as required beneath relevant laws.
Additional Data
Ballard Energy Programs:
Kate Charlton – VP Company Finance & Investor Relations +1.604.453.3939 or traders@ballard.com
