On May 20, Chart Industries, Inc. (CSA CSM), a leading global manufacturer of liquefaction and cryogenic equipment serving multiple applications in the energy and industrial gas end markets, including hydrogen, announced the completion of a minority investment in Cryomotive GmbH (“Cryomotive”) for the amount of Euro 6.5 million and offers an in-kind contribution to develop Cryomotive’s cryogenic storage and refueling technology.
Cryomotive is a leading green-tech mobility startup in Germany developing a disruptive clean hydrogen storage and refueling technology platform focused on compressed cold hydrogen and cryogenic high-pressure storage. Cryomotive’s proprietary CcH2 CRYOGAS technology aims to decarbonize long-haul commercial vehicles while keeping the range and fueling times similar to diesel powered vehicles and reaching parity in costs of ownership before 2030. The market for fuel cell powered long-haul commercial vehicles is expected to rapidly grow to more than 700,000 units by 2035 in Europe and China alone, and this does not include additional application areas such as coach buses, trains, ships and aircraft.
Cryomotive and Chart have entered a strategic partnership (the first for Cryomotive), including Chart’s minority investment and in-kind contribution, as well as a commercial agreement. The development and supply partnership will enable Cryomotive to leverage its proprietary technology jointly with Chart’s established position in the refueling and hydrogen station market. As the options for heavy duty hydrogen fueling continue to be analyzed by the end users, this supply partnership provides another option for Chart’s customers, as Chart is now offering both liquid hydrogen, as well as CcH2 cryogenic high-pressure refueling and storage.
“This investment in and commercial agreement with Cryomotive adds another option for our customers looking at renewable fuel sources and another near-term application for our liquid hydrogen pump,” stated Jill Evanko, Chart’s CEO and President. “Cryomotive’s strong hydrogen commercial relationships in Germany, Japan and China, in particular, with vehicle manufacturers, brings us access to more commercial opportunities for our hydrogen equipment. As the first strategic partner for Cryomotive, we are excited to support them as they develop, grow and bring on more strategic partners this year.”
As the result of this investment and agreement, Chart is increasing its hydrogen addressable market by $100 million to include the application of the liquid hydrogen pump, hydrogen storage tanks and transportation systems specifically on Cryomotive applications in the next five years.
Winston & Strawn LLP and CMS Hasche Sigle Partnerschaft von Rechtsanwälten und Steuerberatern mbB served as legal advisors to Chart on the Cryomotive transaction.