ITM Power announces big expansion to Sheffield facility

3rd Apr 2023 12:26

(Sharecast News) - ITM Power announced a major expansion of its facilities at Bessemer Park in Sheffield on Monday.

The AIM-traded firm said the decision followed its recent announcement of a planned increase in its power supply at the site by 300% to 30 megavolt amperes by the end of 2024.

It said the expansion would involve the lease of additional factory and office space, and the creation of a dedicated research and development and product validation centre.

The new facility would include science laboratories and testing facilities for future technology developments, as well as expanding ITM's factory testing capabilities.

That, the board said, would allow the company to "debottleneck" its fabrication, testing and product validation, and to use the existing fabrication space at Bessemer Park more effectively for higher volume output.

ITM currently operates from several locations in Sheffield, but the intention was to consolidate all of its workforce and operations at Bessemer Park, including the new unit announced on Monday.

The move would allow the firm to work together more effectively, the directors explained.

ITM said the initial lease period was for 15 years, covering more than 83,000 square feet.

The fitting out of the laboratories and validation areas would start towards the end of the year, with ITM set to occupy the facility early next year.

"We are well on track on delivering against our 12-month plan laid out in January," said chief executive officer Dennis Schulz.

"One of our priorities was the need for ITM to strengthen product validation and to debottleneck factory space and product testing.

"Today's announcement is not only a critically important step on our journey to scale up manufacturing, but it will also enable the focussed development of future technologies."

At 1207 BST, shares in ITM Power were down 0.24% at 84.74p.

Reporting by Josh White for Sharecast.com.