European energy services: Green hydrogen 150 times bigger in 10 years - Barclays

Mcphy Energy SA

30/03/2021 07:56

** According to Barclays a 150-fold increase in the size of
the annual electrolyser market is required for green hydrogen to
meet 15% of global hydrogen demand by 2030
    ** As the industry scales up, costs have the potential to
halve by 2025, enabling green hydrogen to become
cost-competitive with 'grey' hydrogen, the dominant but highly
polluting alternative, it adds
    ** The brokerage estimates a total addressable market for
the electrolyser manufacturers of EUR 15 billion ($17.65
billion) per year by 2030
    ** Barclays believes ITM Power  ITM.L , McPhy Energy
 MCPHY.PA  and Nel  NEL.OL  have financial resources to
manufacture at scale and deliver units for use in the first wave
of 100MW+ green hydrogen projects
    ** It initiates ITM Power and Nel with "overweight", and
McPhy with "equal weight", saying all three stocks should
reflect the growth potential of the green hydrogen industry over
the next decade
    ** However, its preference for ITM and Nel is based on
higher potential, which it believes is justified by the exposure
of these names to proton exchange membrane (PEM) technology and
their early moves to expand capacity


($1 = 0.8501 euros)

 ((joanna.wodzicka@tr.com))