Nel ASA Approaches Commercial Launch with New Electrolyzer Platform

Nel ASA NO0010081235

The Norwegian hydrogen technology firm Nel ASA is entering a pivotal period. As the company prepares for the commercial rollout of its latest product line, attention turns to its upcoming quarterly results for confirmation that recent technical achievements are translating into concrete business growth.

On March 4, Nel will release its financial figures for the final quarter of 2025. Market observers are keenly awaiting these results, looking for signs of sustained order growth following the company's technological advancements. In the preceding quarter, the firm surpassed revenue expectations, reporting 349 million NOK.

The broader industry continues to face headwinds from elevated production expenses and underdeveloped infrastructure. Nel's strategic response centers on its next-generation technology, which aims to address these challenges through reduced system costs and superior energy efficiency. The coming months are critical for determining whether this approach will resonate with customers and be reflected in a stronger order book.

Major Contract Win Highlights Demand

A significant boost came in November 2025 when Nel secured a substantial PEM electrolyzer order. The contract, valued at over 50 million USD, is for the HyFuel and Kaupanes projects in Norway. This award represents the second-largest firm order in the company's history and its single biggest for PEM technology to date.

Furthermore, Nel was selected as the technology partner for the GreenH hydrogen initiatives located in Kristiansund and Slagentangen. These recent commercial successes suggest a resurgence in market demand, indicating the sector may be emerging from a challenging phase.

Final Investment Decision Unlocks Industrial Scale

A cornerstone development occurred on December 12, 2025, when Nel's board gave the final investment decision for industrializing its Next Generation Pressurized Alkaline platform. The manufacturing will be based at Herøya, Norway. This move culminates a seven-year development program that included successful prototype testing.

The project has secured substantial backing from the EU Innovation Fund, which is providing support of up to 135 million euros. This grant covers as much as 60 percent of the relevant investment and operational expenditures. For the initial 1 GW production capacity, Nel estimates costs of approximately 300 million NOK before accounting for the grant funding.

Key Details of the New Platform:

• A fully modular design based on containerized units
• Capable of outdoor operation without dedicated building infrastructure
• Primary goal: Significant reduction in the levelized cost of hydrogen (LCOH)
• Commercial launch targeted for the first half of 2026
• Scaled deliveries anticipated to begin from 2027 onward