Nel Realigns PEM Production Strategy — Core Technology from the U.S., Regional System Integration in Global Markets

Oslo/Aberdeen — Norwegian electrolyser manufacturer Nel ASA is expanding its European production and supply structure for PEM electrolysers. The company has signed a framework agreement with UK-based system provider Hydrasun covering the assembly and integration of its modular MC Series. Under the agreement, Hydrasun will build up system integration capacity at its Aberdeen site.

Nel is moving toward a clear division of labor in its PEM technology, separating core technology production from regional system integration. PEM stacks will continue to be manufactured at Nel's U.S. plant in Wallingford, while partners integrate the stacks into complete electrolyser systems in their respective markets.

PEM Stacks from the U.S. — System Integration Also Planned for Aberdeen

Hydrasun will build production capacity in Aberdeen for the assembly and integration of the containerized MC Series, a platform currently offered in modular configurations of 1.25 MW and 2.5 MW. Hydrasun will handle procurement, manufacturing and integration of the balance-of-plant systems around the electrolyser stacks supplied by Nel. Financial details of the framework agreement were not disclosed.

For Nel, the Aberdeen site adds to its existing integration structure in the United States. This increases manufacturing flexibility and brings system integration closer to the European sales market, while production of the core technology component remains concentrated in Wallingford. The U.S. plant has an annual production capacity of 500 MW for PEM stacks.

PEM technology currently plays a central role for Nel. In the second quarter of 2026, PEM accounted for 96 percent of total order intake of NOK 230 million. The PEM order backlog rose by NOK 147 million quarter-on-quarter to NOK 990 million.

Scotland Backs Build-Up of Electrolyser Manufacturing in Aberdeen

Hydrasun is investing in upgrading its Aberdeen facilities to support the new manufacturing capacity. The project is backed by the Scottish government's Just Transition Fund. Hydrasun's "Electrolyser Manufacturing Capability" project is set to receive GBP 1.97 million in funding for the period 2026 to 2029. According to the company, the investment could create up to twelve new jobs and secure a further eleven existing positions.

The build-up of electrolyser integration capacity forms part of the wider industrial transition underway in northeast Scotland. The Just Transition Fund, worth a total of GBP 500 million, is designed to support new economic activity and jobs over a ten-year period, particularly in Aberdeen, Aberdeenshire and Moray, as the region shifts from oil and gas toward cleaner technologies.

For Nel, Aberdeen represents the European component of a more regionalized production structure. Core PEM stack production remains concentrated in the United States, while system integration takes place closer to each sales market — an approach intended to make supply chains more flexible and support the scaling of standardized, modular PEM electrolysers across different markets.

Source: IWR Online, 16 Sep 2026