Loop Energy, a designer and producer of commercial hydrogen fuel cells, has announced plans to expand into the United Kingdom.

As seen on Motor Transport, Loop Energy’s newest factory will be situated in Grays, Essex, east of London, near a group of companies also trying to decarbonise road transportation, including existing client Tevva Motors, the hydrogen and electric truck OEM.

Loopenergy_fuelcell2

Loopenergy_fuelcell2

Expansion has been a direct response to rising customer demand for Loop Energy’s fuel cells in continental Europe and the United Kingdom. As diesel and gasoline vehicles will be banned beginning by 2030, this demand is only expected to grow.

Ben Nyland, president and chief executive officer (CEO) at Loop Energy, said: “We are excited to open a new facility in the UK, where both the private and public sector is quickly growing around decarbonising commercial vehicles. We were pleased to see the UK government’s recent commitment to the hydrogen sector, with the business secretary’s pledge to unlock £9bn investment needed to make hydrogen a cornerstone of the UK’s greener future.

“Our investment commitment for the UK market is strategic to serve both UK and the rest of Europe.  We expect to service a truck and bus market size upwards of US $15b over the next two to three years, and our UK facility is established as the localised support centre for these vehicles. We also believe that the UK’s strong pool of manufacturing and design talent will help take Loop to the next level in its growth story.”

Headquartered in Canada, Loop Energy stated it is focusing on the commercial vehicle market, which includes buses and HGVs. The fuel cell manufacturer made the statement after signing a multi-year fuel cell supply arrangement with UK-based Tevva that includes delivery commitments in excess of $12 million through 2023.

“Hydrogen is likely to be crucial to decreasing emissions across some of our major types of commercial transport - from buses to HGVs,” said Lord Callanan, UK business minister. “As the globe turns to cleaner transportation, it is important that we establish a UK supply chain capable of capitalising on the economic potential presented by hydrogen technology. Loop Energy’s expansion in Essex is fantastic news for the region, bringing green jobs and growth, while adding to the UK’s reputation as a leader in hydrogen and fuel cell research.”