Dynelectro raises €11M to develop and deploy 1 MW SOE electrolyser in Denmark

• Dynelectro raises €11 million to develop and deploy their innovative 1-MW Dynamic Electrolyser Unit (DEU) at European Energy’s Danish renewable energy facility.
• The investment round is led by prominent early-stage investors, including Export & Import Fund of Denmark (EIFO), Yara Growth Ventures, Vsquared Ventures, PSV Deeptech, The Footprint Firm and the European Innovation Council (EIC) Fund.
• Dynelectro has additionally secured €9 million in grants through collaborations, including Shell, which underscores the robust support for sustainable energy solutions.

Copenhagen, Denmark [July 11, 2024] – Dynelectro, a pioneering company in sustainable energy solutions, announces the successful closing of an €11 million investment round. This funding will enable the company to build its innovative 1-MW Dynamic Electrolyser Unit (DEU) technology, facilitating broader deployment into the green hydrogen market. Complemented by €9 million in grants from the European Innovation Council (EIC) and the Danish Energy Technology Development and Demonstration Program (EUDP), plus other regional programs, Dynelectro will utilise the funds for the development of DEUs from 150-kW prototypes to the commercial-scale fully modular 1-MW units.

Dynelectro’s technology focuses on next-generation solid-oxide electrolysis (SOE) and offers unparalleled system performance and longevity. SOE aids decarbonisation in hard-to-abate sectors by efficiently producing hydrogen and utilising industrial waste heat. It supports heavy industries and chemical production by providing on-site hydrogen, reducing emissions, and generating synthetic fuels and enabling the green energy transition in these sectors. SOE is poised to revolutionise the energy sector by enhancing energy efficiency, reducing costs and to facilitate broader renewable integration.

“Dynelectro is an exemplary example of a company that has developed sustainable solutions with venture capital that we need both in Denmark and worldwide. We are pleased that a Danish company has cracked the code to make electrolysis more profitable, and how Dynelectro strengthens Europe’s position as a pioneer in Power-to-X,” says Christian Winther, Partner, Tech & Industry, EIFO Investment.

Upscaling and Future Plans

“We are excited to reach this pivotal stage in our growth,” said Sune Lilbaek, Chief Executive Officer of Dynelectro. “This investment round not only validates our technology but also sets the stage for our growth and significant advancements in sustainable energy in general.”  The addition of the industrial giant, Yara, is significant as it demonstrates market interest for the technology. Yara operates the largest global ammonia network and leads the green transition in the fertiliser industry.

Benefit of SOE

Current electrolysis technologies waste 25-50% of input electricity, limiting their commercial and sustainability potential. Solid oxide electrolysis (SOE) offers the highest conversion efficiency but has been hindered by short lifespan, making it cost-prohibitive. Dynelectro’s innovative AC:DC technology addresses this issue, extending SOE lifespan from 2 years to 10 years, thereby aligning it with other electrolyser technologies. This advancement reduces costs and enables quick production adjustments, aiding in grid balancing through ancillary services. Consequently, Dynelectro becomes a crucial partner for Power-to-X developers striving to lower green hydrogen costs.

The completion of the first 1-MW unit installation at European Energy’s renewable energy facility in Denmark is scheduled for the first half of 2025, demonstrating the practical applications and benefits of this advanced energy solution.

Market Validation

Eva Nielsen, Global PTX Advisor, Ramboll Group, says: “Dynelectro has made inventions and holds rights to several significant patents that have the potential to lead to a significant breakthrough for hydrogen technology and Power-to-X.”

According to the European Innovation Council technical evaluation, “[the technology] may significantly transform and strongly accelerate a major new market. It therefore justifies a breakthrough characterisation. It supports the adoption of hydrogen as a major clean energy carrier and strongly contributes to the EU’s Green Deal.” The European Investment Bank’s involvement in this round marks a step change in our maturity, transitioning our investor profile toward industrial investors.

About Dynelectro:

Founded in 2018, Dynelectro is at the forefront of developing advanced, sustainable energy solutions. Utilising cutting-edge solid-oxide electrolysis technology, Dynelectro achieves unprecedented system performance and lifespan. Their innovations enable operators to seamlessly adjust production based on the availability of cost-effective renewable energy. The company commercialises MW-scale Dynamic Electrolyser Units (DEUs), delivering clean hydrogen to unlock syngas and e-fuel production.

dynelectro.dk

Contact us:

Sune Lilbæk
CEO, Dynelectro
sune@dynelectro.dk

#Innovation #GreenHydrogen #BuildingACleanFuture #CleanAffordableEnergy #SOE