Bloom Energy (NYSE: BE), a leading energy company, and SK ecoplant, an affiliate of South Korean conglomerate SK Group, today announced the companies are expanding their existing partnership to fortify their market leadership in power generation and to establish market leadership in the hydrogen economy. The partnership includes purchasing a minimum of 500 megawatts (MW) from Bloom Energy, representing a $4.5 billion revenue commitment; co-creating two hydrogen innovation centers; and targeting an equity investment of approximately $500 million.
Video Synopsis
Bloom Energy & SK ecoplant Expand Power Generation Partnership. Establish Hydrogen Market Leadership
Video length: 2:41
Speakers
- KR Sridhar, Founder and Chairman, Chief Executive Officer, Bloom Energy
- Kyung-il Park, CEO and President, SK ecoplant
Transcript
Narrator:
Bloom Energy and SK ecoplant are pleased to announce that SK ecoplant has signed a contract to deploy a minimum of 500 megawatts of power from Bloom Energy through 2024 at an estimated $4.5 billion in equipment and service revenue. Since the start of their strategic partnership three years ago, the companies have transacted nearly 200 megawatts of projects together, totaling more than 1.8 billion of equipment and expected service revenue. These projects have eliminated 300,000 tons of carbon emissions equivalent to the emissions from 63,000 passenger vehicles.
During one year Bloom Energy and SK ecoplant will create hydrogen innovation centers in the United States and South Korea. The intent of these centers is to significantly accelerate the market expansion for Bloom Energy’s hydrogen fuel cell and electrolyzer products. SK ecoplant will invest approximately $500 million in Bloom Energy Bloom intends to use the proceeds for market growth and the rapid commercialization of hydrogen solutions.
KR Sridhar:
Three years ago. Our two companies started this journey together hoping to make a successful business, a profitable business, and more importantly, something that also is of significance to the world.
Kyung-il Park:
The synergy between the world’s best Bloom Energy’s technology and SK apprentice engineering based total solution provide capability will be unparalleled through the fuel cell and hydrogen market.
KR Sridhar:
I look forward to working with all of you to be able to not only grow our business, our core business to great new heights, but I’m super excited by the fact that together we are going to do the hydrogen innovation center, and just like we did with power generation, we are going to be leaders in this field together.
Narrator:
We’re looking forward to speaking with you all on November 4th for our scheduled third quarter earnings call.