Greenko, John Cockerill announce tie-up, but vague on details

Several newspapers in India have reported, based on a press release, that the Hyderabad-based renewable energy company, Greenko, has tied up with John Cockerill of Belgium “for electrolysers”. 

The news reports speak of a joint venture, but it is not clear what the JV is meant to do. The press release quoted says that Greenko ZeroC of the Greenko group, and John Cockerill, will “combine their strengths to collaborate in all spheres of market evolution for green hydrogen electrolyzers.” 

                                                    Electrolyser unit at John Cockerill

The Mint newspaper says that "Belgium-based maker of high-capacity alkaline electrolyzers will supply them exclusively to Greenko ZeroC." The paper says that Greenko intends to build a 1 mtpa ammonia plant, which will require 2GW of electrolyzer capacity.

The Economic Times newspaper reports that Greenko will set up a 50:50 JV with John Cockerill for setting up "a giga factory for electrolysers". Economic Times too mentions Greenko's plans to set up 1 mtpa ammonia plant.

The press release is not there in either John Cockerill's or Greenko's website, which is very odd. The reports also don't figure among the 'In the news' section of the websites. However, the news reports have quoted both Greenko and John Cockerill officials from the press release.

"John Cockerill is currently working on the development of larger capacity electrolyser," notes the company's website.

Comment

Since the news reports are sketchy on the details of the proposed joint venture, it is not clear what exactly the plans are. It appears that it is a sale agreement, under which John Cockerill will supply some electrolysers to Greenko, for its use to produce green hydrogen to feed its proposed ammonia plant.

Further, some industry observers that this blog spoke to have commented that John Cockerill manufactures pressurised alkaline stack electrolysers that have run out of fashion today, because of safety concerns. There was an accident in a submarine involving one such electrolyser. 

All this gives birth to a view that John Cockerill, which has said it is working on developing a "larger capacity electrolyser", might be selling its electrolysers cheap and Greenko has probably fallen for the price.

We will have to wait and see how things unfold.