Bloom Energy Corporation ( BE Quick Quote BE - Free Report) has announced collaboration plans with Xcel Energy ( XEL Quick Quote XEL - Free Report) to install a 240-kW electrolyzer at XEL’s Prairie Island nuclear plant in Welch, MN. The initiative will result in producing low-cost, clean hydrogen by electrolysis while increasing value for the operators of zero-carbon nuclear plants. As the global demand for hydrogen is projected to increase manifold, there is a need to produce it in larger quantities from low and zero-carbon sources. Hence, this collaboration of Bloom Energy's solid oxide platform for converting water into hydrogen and Xcel Energy's nuclear energy infrastructure will provide the efficiency and reliability to accomplish the common goal of a cost-efficient, zero-carbon future through hydrogen generation. Insights of the Collaboration
Bloom Energy’s leading solid oxide platform for generating electricity and hydrogen is changing the future of energy production. Fortune 100 companies worldwide turn to BE as a trusted partner to deliver lower-carbon energy today and lead to a net-zero future.
This latest collaboration will serve the purpose of producing zero-carbon hydrogen in a nuclear plant facility, thereby boosting the utility of nuclear power facilities. Bloom Energy anticipates that combining its solid oxide platform with XEL's Prairie Island nuclear facility will enable it to produce zero-carbon hydrogen more efficiently than low-temperature electrolysis alternatives. These include polymer electrolyte membranes or alkaline, which require nearly 40% more electricity to produce hydrogen. This will drag down the cost of hydrogen production. Bloom Energy plans to begin the construction of the electrolyzer in late 2023 and have it operational by early 2024. Peer Moves
In this context, a few companies from the
Oil-Energy sector that are taking significant measures to promote hydrogen as a sustainable tool for meeting decarbonization challenges are as follows: In June 2022, Constellation Energy Corporation ( CEG Quick Quote CEG - Free Report) laid out its vision for a clean energy transition by pursuing multiple technologies to help customers lower emissions. CEG received the U.S. Department of Energy’s permission to test the benefits of using nuclear energy to produce hydrogen at its Nine Mile Nuclear Station in Oswego, NY. The company is installing a proton exchange membrane electrolyzer that will separate hydrogen and oxygen molecules in water, resulting in carbon-free hydrogen. Constellation Energy Corporation’s long-term (three to five years) earnings growth rate is projected at 36%. In June 2022, TotalEnergies SE ( TTE Quick Quote TTE - Free Report) entered into an agreement with Adani Enterprises Limited to acquire a 25% interest in Adani New Industries Limited. For the production and commercialization of green hydrogen in India, Adani New Industries Limited will be the exclusive platform of Adani Enterprises Limited and TotalEnergies. TotalEnergies’ long-term earnings growth rate is projected at 7.8%. Also, in June 2022, FuelCell Energy Inc. ( FCEL Quick Quote FCEL - Free Report) collaborated with TuNur Ltd. to advance and deliver low-carbon electricity and hydrogen to North Africa and Europe. The Zacks Consensus Estimate for FCEL’s 2023 earnings indicates an improvement of 31.4% over the prior-year reported figure. Zacks Rank & Price Performance
Currently, Bloom Energy carries a Zacks Rank #3 (Hold). In the past year, shares of BE have rallied 35.4% compared with the
industry’s growth of 4.2%. You can see . the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here Image Source: Zacks Investment Research