IP Group invests in Australian electrolyser company Hysata

24 Jun 2021

UK-headquartered IP Group and the Clean Energy Finance Corporation (CEFC) have invested in Hysata, a new Australian company spun out of the University of Wollongong.

Hysata is developing a hydrogen electrolyser that has the potential to bring the Australian Government's $2/kg target for green hydrogen within reach. Electrolysers use electricity to split water into hydrogen and oxygen. It is a key technology for producing green hydrogen.

The Hysata technology has been proven at lab-scale. The company, which has strong scientific, engineering and commercialisation experience, is now focused on developing and commercialising a full-scale system.

' We have been looking globally for new technology that can unlock the trillion-dollar opportunity in hydrogen,' says Michael Molinari, IP Group Australia Managing Director.

'The Hysata technology is truly world-leading, and we're very excited to help the team in their mission to make green hydrogen a reality for Australia and the world.

'This company is a great example of the tremendous economic opportunities that can be unlocked by the research being done at our universities.'

IP Group entered Australia in 2017. Its Australian team works in close partnership with Australia's Group of 8 universities to identify ground-breaking technologies, rooted in hard science, which have the most promising commercial potential.

First hydrogen-related investment by the CEFC

Hysata is the CEFC's first hydrogen-related commitment. It was made through the Clean Energy Innovation Fund, created to invest $200 million in early-stage clean technology companies.

' Hysata's advanced electrolyser technology has the potential to significantly improve the efficiency of hydrogen production, an important step in making it a more economic source of clean energy,' says Ben Gust, Clean Energy Innovation Fund Executive Director.

'Australian researchers are known for their innovative solutions to big challenges. Bringing down the cost of hydrogen production will accelerate the development of this exciting industry, similar to the pathway we have seen with large-scale solar, where Australia is now a world leader.'

Leading-edge Australian research

The Hysata technology was developed by researchers at the University of Wollongong Australian Institute for Innovative Materials. The institute is a purpose-built facility that focuses on commercialising multi-functional materials research.

The research team is led by chemical catalysis and characterisation expert Professor Gerry Swiegers. Professor Swiegers has founded six spin-off companies and licensed out three new technologies in the past 15 years. His work has attracted an estimated $100 million in private investment. He has also won numerous awards, including two DuPont Innovation awards for taking ideas to market.

Australia's commitment to hydrogen

Australia is committed to growing an innovative, safe and competitive hydrogen industry, as set out in its National Hydrogen Strategy . The Australian Government has committed A$370 million to advancing Australia's hydrogen industry since the release of the strategy.

Australia has also released its first Low Emissions Technology Statement. The Statement identifies four priority technology categories:

  • Priority low emissions technologies
  • Emerging and enabling technologies
  • Watching brief technologies
  • Mature technologies.

Priority low emissions technologies have high potential to reduce emissions both domestically and internationally across multiple sectors and applications. They are aligned with Australia's comparative advantages. These technologies will be the focus of new public investment.

The Government will strive to remove barriers to the development of these technologies. The priority low emissions technologies identified in the Statement include clean hydrogen (and three others).

Investors can refer to HyResource for the latest information on key hydrogen-related organisations, policies and projects in Australia.

Find out more about investing in Australia , benefits and support to stimulate Australia's early stage venture capital sector or contact Austrade for more information.