MTU Announces Strategic Investment by RWE AG

July 20, 2003 by Jeff Shepard

FuelCell Energy Inc. (Danbury, CT) announced that RWE AG (Germany) will establish a joint venture with MTU Friedrichshafen (Germany), a DaimlerChrysler AG (Auburn Hills, MI) company and FuelCell Energy's European technology and distribution partner, to market carbonate fuel cells to a broad European market.

Under the terms of the agreement, RWE Fuel Cells GmbH will hold a 25.1% stake in the new company. The joint venture, MTU CFC Solutions GmbH, will seek to develop a leading market position for high-temperature stationary fuel cells. Under the agreement, MTU said it will contribute its lead in technology for stationary fuel cells, while RWE will provide the corresponding market access, ensuring the broad-based introduction of the fuel cell.

MTU has been operating a 250kW combined-heat-and-power fuel cell power plant at an energy park operated by RWE. The fuel cells were manufactured by FuelCell Energy and shipped to MTU for incorporation into their power plant known as the Hot Module. Other MTU fuel cell power plants are operating in Germany at a Michelin tire plant in Karlsruhe, a Deutsche Telecom telecommunications center in Munich, a university medical clinic in Magdeburg, a hospital in Bad Neustadt/Saale, and a shipbuilding facility in Cartagena, Spain.