ErreDue (EGM: RDUE), a company active in the engineering and production of highly innovative and customised solutions for the on-site production, mixing and purification of technical gases
(hydrogen produced through the electrolysis of water, nitrogen, oxygen), announces that, today, the purchase of the new headquarters has been finalised, which will see the construction of a Gigafactory in the site located in Via dell’Artigianato, 64 in Livorno, in which part of the ErreDue production line will be relocated.
Enrico D’Angelo, President and CEO of ErreDue, commented: “This Gigafactory will be a decisive step in the development and production of large-scale electrolysers, which are essential for the use of green hydrogen in ambitious projects in the field of energy transition, decarbonisation of industry, and heavy mobility. We will soon have an industrial line able to produce a wide range of electrolysers on a continental scale, which will be a further confirmation of ErreDue’s key leadership role in the electrolysis sector in Europe. This is an ambitious project for the entire ErreDue team, our desire is to implement the highest standards of industrial performance in this plant, through an ambitious social and environmental development project. Moreover, this operation represents a decisive step towards the growth path that we chose to take 38 years ago and which led us to listing on the stock exchange on 6 December 2022. Investing in the construction of a new production site is fully part of our efficiency and internationalisation strategy’.
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STRATEGY OF THE OPERATION
The purchase transaction is part of the national and international growth strategy, already declared by the company during the IPO, which aims to increase from the current capacity of 8 MW to a capacity of at a minimum 60 MW per year to meet the needs of the power-to-gas, sustainable fuel cell mobility and synthetic fuel markets.
The upgrading of the new site will start soon, with a gradual acceleration to reach an annual production capacity of at a minimum 60MW. ErreDue will increase its annual production capacity and operational efficiency thanks to the new space obtained and the personnel trained this year who are ready to also be employed in this new market segment.
The ‘Giga Factory’ will be built on 16,000 square metres in the Picchianti area next to the company’s current headquarters – previously home to the presses of the popular local newspaper Il Tirreno.
The company’s objective is to rationalise all activities, creating a new production hub capable of meeting the growing demand for large-scale supplies and installations, increasing research and development resources and strengthening the design and service teams.
With the realisation of the Gigafactory, the following objectives are to be pursued:
– Innovation: through the development of new-generation alkaline electrolysers of 1 MW and above (currently in the testing phase) to which the production of PEM cells of the same capacity will be added. From Q2 2023, the research phase on the design of PEM cells for large plants has begun.
ErreDue is planning to invest in R&D to optimise the production of innovative catalysts, based on proprietary technology, capable of lowering generator production costs, allowing ErreDue to maintain high margins;
– Sustainability: with large-scale production that meets the needs of the European market in particular, to contribute to the decarbonisation of industry, mobility and energy;
– Partnership: with numerous players in the sector for the diffusion of knowledge with players in the academic, industrial and research worlds.
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VALUE AND FINANCING OF THE OPERATION
The purchase value of the warehouse, where the new production site will be built, is €2.8 million and will be financed with an 8-year loan taken out with Banca BPM at a variable 3-month Euribor rate with a spread of 0.75.
In addition, €4.0 million in renovation work will be carried out and €3.0 million and €2.0 million in costs will be incurred for the construction of plant and the purchase of machinery, respectively, financed partly through a 15-year low-interest mortgage and partly with non-repayable co-financing from the Green New Deal, for which the dossier has been prepared.
NEW LAYOUT AFTER THE CONSTRUCTION OF THE NEW PRODUCTION HUB
With a view to rationalising space, the headquarters will have the following layout:
– Headquarters: will remain at the Via Gozzano site, while the administrative and departmental offices
will go to the new plant;
– Laboratory and PEM Division: will be added to the headquarters, and will have a dedicated area of 2000 square metres;
– R&D Division: will also be located in a building already owned by the company of 850 square metres and which
will be completely dedicated to the sector;
– Medical Solutions Division: will be housed in a 700 square metre site already owned by the company;
– Large H-MW (Giga Factory) and On-Site Industrial Plant Division: these will be located in the new plant together with the Mechanical Workshop for the construction of manufactured goods and components inside the machines and warehouse.