VANCOUVER, BC, June 12,
2023 /PRNewswire/ - Ballard Power Systems
(NASDAQ: BLDP) (TSX: BLDP) announced today its plan to materially
reduce the costs and scale production capacity of next generation,
proprietary graphite bipolar plates, including the introduction of
disruptive manufacturing technology.
This project is the logical progression after Ballard completed
two important milestones – the development of next generation, thin
flexible graphite bipolar plates, and an expansion of membrane
electrode assembly (MEA) manufacturing capacity in Canada as part of Ballard's "3 by 3" stack
cost reduction program. Bipolar plates are the next largest cost
item in a fuel cell stack after MEAs, and Ballard expects the
implementation of this project, including next generation plate
manufacturing processes and the introduction of new lower cost
material suppliers, to result in cost savings of up to 70%,
following commissioning expected in late 2025.
Ballard's next generation, thin flexible graphite bipolar plates
significantly reduce plate materials while enabling high power
density stacks, which are critical for certain market applications.
Graphite bipolar plates are the optimal choice for Ballard's
heavy-duty mobility markets as they offer long durability,
re-usability at stack end-of-life, and high power density, while
also offering the lowest plate cost at current and scaled
volumes.
Beyond product cost savings, the project will increase Ballard's
plate manufacturing capacity by approximately 10 times while
significantly improving graphite and resin material yield and
reducing production takt times. Ballard has also developed several
novel manufacturing processes that enable full automation of the
bipolar plate production processes, resulting in substantially
improved quality throughput, reduced energy demand, and the
elimination of water consumption from plate manufacturing. These
innovations are expected to be replicable in any future expansion
of Ballard's global bipolar plate production footprint.
"We're thrilled to announce a project that delivers economic and
environmental value for Ballard. Not only will we be able to reduce
the cost of our bipolar plates and improve customer economics, but
we will also consume far less energy, water, and material resources
in the process," said Mark Biznek, Ballard's Chief Operating
Officer. "This investment proves Ballard's innovation in
manufacturing technology, in addition to our demonstrated
excellence in fuel cell technology innovation and commitment to ESG
initiatives."
Lee Sweetland, Vice President of
Transformational Projects added, "Our 3 by 3 stack cost reduction
has already validated a lower cost and higher quality flexible
graphite that enables a 35% reduction in plate thickness and a 45%
reduction in raw materials. With stack power densities for our
flexible graphite stacks now achieving over 4 kW/L, further
investment in next-gen manufacturing processes is forecasted to
drive an additional 70% cost reduction for our proprietary bipolar
plates, and a clear path towards the US Department of Energy's cost
target of $5/kW for the bipolar
plate."
Ballard expects to invest approximately $18 million in bipolar plate manufacturing from
2023 through 2025. Expected spending for this project in 2023 was
included in Ballard's capital allocation plan for the period, and
does not change guidance on planned capital expenditure for
2023.
About Ballard Power
Systems
Ballard Power Systems' (NASDAQ: BLDP; TSX: BLDP) vision is to
deliver fuel cell power for a sustainable planet. Ballard
zero-emission PEM fuel cells are enabling electrification of
mobility, including buses, commercial trucks, trains, marine
vessels, and stationary power. To learn more about Ballard, please
visit www.ballard.com.
This release contains forward-looking statements concerning
planned operations expansion in China, related investments, product cost and
market impacts, and anticipated implementation timeline. These
forward-looking statements reflect Ballard's current expectations
as contemplated under section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. Any such forward-looking statements are based on Ballard's
assumptions relating to its financial forecasts and expectations
regarding its product development efforts, manufacturing capacity,
and market demand.
These statements involve risks and uncertainties that may cause
Ballard's actual results to be materially different, including
general economic and regulatory changes, detrimental reliance on
third parties, successfully achieving our business plans and
achieving and sustaining profitability. For a detailed discussion
of these and other risk factors that could affect Ballard's future
performance, please refer to Ballard's most recent Annual
Information Form. Readers should not place undue reliance on
Ballard's forward-looking statements and Ballard assumes no
obligation to update or release any revisions to these
forward-looking statements, other than as required under applicable
legislation.
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SOURCE Ballard Power Systems Inc.