Hydrogen technology firm Logan Energy has secured a £1 million investment from Kelvin Capital to support the launch of an international collaboration with Chinese manufacturer Henan Lanxing Power Equipment.
The partnership, which is due to start in 2020, will see the Edinburgh-based company further develop its hydrogen technology and expand its operations in the Chinese market. Logan Energy will carry out similar business functions in China to its current hydrogen tech activities throughout the UK and Europe.
Lanxing is hoping to benefit from the firm’s hydrogen integration expertise to develop the hydrogen market in China.
The joint venture comes as the Chinese Government looks to develop a ‘hydrogen society’, which is driving hydrogen and fuel cell development.
A desire to meet its climate and pollution goals, along with reducing the country’s reliance on imported fuel, is pushing China towards hydrogen energy solutions. China hopes hydrogen will account for 10% of its energy system by 2040.
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Bill Ireland, CEO of Logan Energy, said: “We’re absolutely delighted that Lanxing has invested in Logan Energy. This demonstrates our standing in the industry and specifically the need for competent integration specialists in the rapidly expanding global hydrogen market.
“We have grown organically over the past 10 years but this initial investment is crucial to supporting the expansion of Logan Energy to meet the growing demand for our clean energy solutions.
“We are currently expanding into new areas and markets, and are excited to work with Lanxing to deliver innovative hydrogen technology solutions in China and further afield.”
John McNicol, investment director of Kelvin Capital, said: “Renewable energy is at the forefront globally and Kelvin Capital are delighted to have been able to support this fantastic opportunity for Logan Energy, an established company who offer full service fuel cell and hydrogen technologies.
“It perfectly demonstrates the growing international investor base of Kelvin Capital in what has been a record year of investment. We will look forward to supporting Logan’s ambitious plans and introducing them to our extensive network of contacts in the UK and China to maximise the great potential that they have in this marketplace.”
Over the coming 12 months, the company plans to focus on reinforcing its core team, as well as continuing to develop its product offerings and expanding its operations on a regional, national and international level.
As well as supporting the partnership with Lanxing, the funding will be used to create eight new jobs across the design, production, servicing and business development departments.