Temasek, Nanofilm enter $140m hydrogen venture agreement

The two firms will establish Sydrogen to develop solutions using hydrogen.

Temasek and Nanofilm Technologies International Limited entered a definitive agreement to establish Sydrogen Energy Pte. Ltd. to develop new components and solutions in the use of hydrogen as a source of energy.

Under the joint venture agreement, total initial investment in Sydrogen is about S$140m, S$21m will be by Nanofilm and the transfer of its hydrogen energy business and the Group’s intellectual property relating to the business for a 65% shareholding. The remainder of the cash contribution will be by Temasek.

Nanofilm said on Monday proceeds will be used for research and development, and the construction of production capacity.

Sydrogen will execute all hydrogen energy businesses of Nanofilm. Sydrogen, as a deep tech venture, will also base its core research and development activities in Singapore and “build up a Centre of Excellence to support its development and production roadmap in multiple targeted sites located close to customers and value chains of interests.”

It also sees China as an “attractive market” with its government policies that strongly support the development of a hydrogen economy starting with fuel cell electric vehicles, Nanofilm said.

The energy firm also plans to invest in catalysts and hydrogen storage. It also entered a technology collaboration with Nanyang Technological University to license NTU’s fuel cell associated intellectual property for the research and development of “novel catalysts and membrane-electrode-assembly for Proton Exchange Membrane Fuel Cell systems.”

Shi Xu, founder and executive chairman of Nanofilm, said the joint venture will tackle “the global climate change crisis through technological solutions that enable the hydrogen economy.”

“The combination of Nanofilm’s technologies and Temasek’s global network will help Sydrogen bring its advanced solutions to the hydrogen economy quickly and effectively,” he added.