Sparc Hydrogen and SunHydrogen enter into an agreement for technology integration
Sparc Technology is pleased to announce that Sparc Hydrogen Pty Ltd, a joint venture company between Sparc Technologies, Fortescue Ltd and Adelaide University, has entered into a Technology Collaboration and Intellectual Property Protection Agreement (Collaboration Agreement) with SunHydrogen Inc.
Execution of the Collaboration Agreement follows highly encouraging results from the preliminary testing of SunHydrogen modules in Sparc Hydrogen’s laboratories demonstrating solar-to-hydrogen (STH) efficiencies of above 10%. Preliminary testing has also demonstrated that SunHydrogen’s modules are capable of operating under higher solar fluxes at moderate solar concentrations, supporting higher hydrogen production rates. Double-digit STH efficiency represents a significant performance milestone for direct solar water-splitting technologies and supports the potential for further scale-up and commercial development.
Sparc Hydrogen CEO Ms Alana Barlow commented:
“Sparc Hydrogen’s strategy is to work with the world’s leading developers of photocatalyst and photoelectrochemical materials, and this collaboration with SunHydrogen reflects that approach. We’ve seen solar-to-hydrogen efficiencies above 10% in the lab, and evidence that higher solar concentration increases hydrogen yield, the core benefits our technology is built to deliver. This agreement sets a clear, milestone-driven path to prove that out to pilot-scale, on terms that open a route to commercialisation”.
SunHydrogen President & CEO Mr Tim Young commented:
“Seeing our modules tested above 10% solar-to-hydrogen efficiency, and produce more hydrogen as sunlight is concentrated, is exactly the kind of outside validation our shareholders want to see. It is an honour to work alongside Professor Greg Metha, whose pioneering work in concentrated-light photocatalysis underpins Sparc Hydrogen’s reactor. This collaboration lets us prove our modules in a system built by specialists in the field, while we stay focused on our core mission of low-cost, decentralised hydrogen from sunlight and water. It gives both companies a clear, milestone-driven path from the lab to pilot scale.”
Sparc Technologies Managing Director Mr Nick O’Loughlin commented:
“We are very encouraged by this emerging work between two of the clear global leaders in the development of direct solar to hydrogen production technologies. As well as validation of Sparc Hydrogen’s credentials and partnership driven model, this agreement provides a clear pathway to commercialisation of its patented concentrated solar based reactor technology.”
The purpose of the collaboration will be to assess the technical and economic feasibility of integrating SunHydrogen’s photoelectrochemical (PEC) and integrated PV-electrolysis (IPV-E) modules with Sparc Hydrogen’s reactors operating under concentrated sunlight. The collaboration will initially involve laboratory testing at increasing solar concentrations before progressing to on-sun testing at the SHARP pilot plant at Roseworthy for real-world validation. Results from this testwork will form the basis for a jointly funded techno-economic assessment (TEA) to be based on an agreed methodology for levelised cost of hydrogen (LCOH) calculation and cost reduction
potential. The parties are aligned in a common goal for the collaboration which is to jointly achieve a meaningful reduction in the LCOH via integration of their compatible technology platforms.
Sparc Hydrogen’s key responsibilities, as outlined in the Collaboration Agreement, include providing its concentrated solar reactor system and SHARP testing facility, undertaking laboratory and pilot-scale testing, optimising its reactor and system for integration with SunHydrogen’s technology where required, participating in joint technical reviews and a techno-economic analysis, protecting SunHydrogen’s confidential information and intellectual property, and bearing its own agreed project costs.
The collaboration is overseen by a joint steering committee, with progression through each phase subject to the achievement of agreed technical milestones and go/no-go decision points.
The agreement includes customary intellectual property protections, with each party retaining ownership of its existing intellectual property while improvements to each party’s technology remain with that party. Any jointly developed intellectual property is subject to agreed ownership and licensing arrangements designed to support future commercialisation outcomes.
The term of the Collaboration Agreement is 24 months, unless terminated earlier. The agreement provides Sparc Hydrogen with exclusive rights during the term (with a 12-month post-termination non-compete in certain circumstances) in relation to the application of SunHydrogen’s technology in concentrated-light applications above an agreed solar concentration threshold, reinforcing Sparc Hydrogen’s strategic position in this field.
Subject to successful completion of the collaboration, Sparc Hydrogen also has an irrevocable option, exercisable for 18 months, to negotiate either a long-term commercial supply agreement or a manufacturing licence for SunHydrogen’s modules for integration into its reactors, together with a right of first offer over competing third-party arrangements during the option period.
Within the terms, Sparc Hydrogen has provided an acknowledgement that, as of the Effective Date, it is not developing its own photocatalysts or photoelectrochemical materials and is not working in SunHydrogen’s field of single-sun photocatalytic water splitting.
While the financial impact of the Collaboration Agreement is not expected to be material to Sparc Hydrogen in the near term, the agreement is strategically significant as it marks a key milestone in advancing Sparc Hydrogen’s technology both technically and commercially and sets the parameters for the commencement of further testwork and economic analysis.