FuelCell Energy received an order from its South Korean partner, POSCO Energy, for 121.8 MW of fuel cell kits and services to be manufactured at the FuelCell Energy production facility in Torrington, Conn. The estimated value of the multi-year contract is approximately $181 million.
POSCO Energy, the independent power producer in South Korea, is a subsidiary of POSCO, a global steel producer. POSCO Energy recently signed a contract to build a 58.8 MW fuel cell park in South Korea with construction expected to commence this year. The electricity will be sold to the power grid and the heat from the fuel cells will be supplied to a district heating system. The order to FuelCell Energy for 121.8 MW will help POSCO Energy meet demand in South Korea as well as other Asian countries.
As an additional indicator of demand for stationary fuel cell power plants, Korea Hydro & Nuclear Power executed a memorandum of understanding with Seoul City in September for the joint development of new and renewable power generation, including 120 MW of stationary fuel cell power plants. Expected fuel cell applications include the Seoul City subway, municipal water treatment facilities and resource collection facilities. The fuel cell power plants are expected to be configured for combined heat and power (CHP).