3M (NYSE: MMM) has recently made a strategic investment in Ohmium International, a company that develops electrolyzer systems for green hydrogen production. This investment is in line with 3M’s push to expand into emerging climate technologies and its dedication to advancing technologies that aid the transition to a low-carbon economy. It may also assist 3M in further decarbonizing its own operations.
“Our investment in Ohmium demonstrates 3M’s dedication to fostering innovative technologies that can lead to a more sustainable future,” said Mark Copman, senior vice president, 3M New Growth Ventures. “We see significant potential for collaboration in areas such as advanced materials, which can further enhance the efficiency and scalability of green hydrogen production.”
The investment is in line with 3M’s strategic growth platform in climate tech and its vision to use 3M’s deep technological expertise in material science to support the Department of Energy’s “Hydrogen Energy Earthshot” and the industry’s goal of reducing the cost of green hydrogen production to $1 per kilogram.
Ohmium is well-known for the efficiency of its Proton Exchange Membrane (PEM) electrolyzers, which are designed to maximize PEM’s industry-leading performance when paired with renewables to produce green hydrogen. Green hydrogen is a fossil-free energy source that is crucial for decarbonizing hard-to-abate industrial sectors such as steel manufacturing and fertilizer production. Ohmium’s proprietary power electronics, hyper-modular design, and standardized manufacturing approach have established the company as a leader in cost-competitive, efficient, and high-output green hydrogen production.
“We’re very pleased to partner with an industry leader like 3M and look forward to collaborating with them on continued innovation in catalysts and other electrolyzer materials,” said Arne Ballantine, Ohmium CEO. “Their investment in Ohmium is another testament to the strength of our technology and our track record in deployment.”
In April 2023, Ohmium secured $250 million in its Series C funding round, with TPG Rise Climate leading the investment. 3M is one of almost 30 leading companies that invested in the first TPG Rise Climate fund and joined its TPG Rise Climate Coalition. The Rise Climate Coalition is part of a specialized climate solutions ecosystem that meets regularly to facilitate knowledge sharing, create new investment opportunities, and exchange best practices.
Electrolysis is the primary segment of the rapidly growing hydrogen generation market, driven by increased investments in fossil-free green hydrogen production. The global electrolyzers market is projected to increase from US$ 0.5 billion in 2023 to over US$ 57 billion by 2030. In addition, the overall global hydrogen generation market is expected to grow by over 60% to almost US$ 260 billion by 2028. This rapid expansion provides a significant opportunity for 3M to apply its materials science expertise to support the scaling of hydrogen as a clean energy source.