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Sunfire Accelerates Hydrogen Industrialization – Test Facility at BASF in Schwarzheide and New 50-MW Electrolysis System

Dresden / Schwarzheide (Germany) - The Dresden-based electrolysis specialist Sunfire is driving the industrial scaling of the hydrogen economy with two additional projects.

Alongside the construction of a new high-temperature electrolysis (SOEC) test facility at the BASF site in Schwarzheide, the company is launching a new 50-MW pressurized alkaline electrolysis system for large-scale hydrogen projects. Both initiatives aim to reduce the costs of hydrogen production and accelerate the expansion of industrial applications.

Lausitz Industrial Park: SOEC test facility for long-term industrial validation

At the Lausitz Industrial Park in Schwarzheide, Sunfire is building a test facility to further validate its high-temperature electrolysis technology (SOEC). Commissioning is planned for the end of 2026. The goal is to gather additional operational experience under real industrial conditions for deployment in large-scale hydrogen projects.

The SOEC technology operates at temperatures of around 850 degrees Celsius and achieves efficiencies of up to 89 percent (LHV, AC), according to Sunfire. By utilizing process heat, the technology is considered potentially particularly efficient for energy-intensive industries.

The development of the technology was advanced within the framework of the government-funded hydrogen flagship project H2Giga and is additionally supported by the European Investment Bank. Sunfire CTO Christian von Olshausen stated: “High-temperature electrolysis offers energy-intensive industries enormous efficiency advantages for decarbonization.” The test facility will enable realistic long-term tests under industrial conditions and provide important insights for future large projects.

New 50-MW system aims to reduce costs of large-scale hydrogen projects by up to 50 percent

In parallel, Sunfire is launching the “HyLink® Alkaline 23,” a new 50-MW pressurized alkaline electrolysis system. The outdoor-capable module targets industrial hydrogen projects in the triple-digit megawatt range and, according to the company, is expected to reduce total plant costs by up to 50 percent.

At the core of the system is an advanced 30-bar pressurized alkaline stack, already in use in European industrial projects. The higher operating pressure reduces the effort required for downstream hydrogen compression.

Sunfire emphasizes a modular and largely pre-fabricated design for the new system. Several previously separate components have been integrated, and the outdoor design eliminates the need for separate electrolysis buildings. In a 100-MW project, this reduces the number of required modules from ten to two.

Christian von Olshausen emphasized: “With the new system, we are applying five key levers for greater cost-efficiency.” The combination of higher module power, standardized design, and reduced installation effort is intended to significantly lower hydrogen costs at an industrial scale.

Sunfire focuses on industrial applications and european hydrogen production

With both projects, Sunfire primarily targets energy-intensive industries such as refineries, chemical, and ammonia production. Hydrogen production is intended to move closer to industrial consumers in the future and replace fossil hydrogen sources.

Sunfire CEO Nils Aldag explained that in recent years the company has implemented projects ranging from kilowatt to triple-digit megawatt scales and has specifically tailored its systems to the requirements of industrial applications. The current large-scale projects are increasingly follow-up orders from existing customers.

By combining industrial test infrastructure, scalable electrolysis systems, and more standardized plant concepts, Sunfire is increasingly positioning itself as a technology provider for the industrial scale-up of the European hydrogen economy.



Source: IWR Online, 13 May 2026

 


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