Leading hydrogen production materials company secures Series A financing led by NIO Capital, founded by a team from the University of Science and Technology of China, with expected order volume to double again
Yingke has discovered that Anhui Shenshui New Energy Technology Co., Ltd. (hereinafter referred to as “Shenshui Technology”) has accomplished a Series A financing of over 100 million yuan. Yundao Capital serves as the lengthy – time period unique monetary advisor. The following are the most important details about this spherical of financing and the company:
Financing Amount and Investment Institutions
Financing Round: Series A
Financing Scale: Over 100 million yuan
Investors: NIO Capital leads the funding, adopted by Legend Capital and Zhong’an Capital, and Hefei Innovation Investment makes a comply with – up funding.
Use of Funds: It is especially used for the supply of giant orders, growing R & D reserves, constructing new factories, and each day operations to promote the integration and upgrading of the industrial chain.
Basic Company Information
Establishment Time: 2019
Registered Address: Hefei, Anhui Province
Enterprise Positioning: Shenshui Technology is a full – chain answer supplier specializing in key hydrogen vitality materials and core elements. Centering on home substitution and price discount by way of know-how, the company focuses on the R & D and production of key materials similar to catalysts, proton change membranes, and membrane electrodes required for PEM/AEM water electrolysis hydrogen production, in addition to testing gear. It is dedicated to opening up the industrial chain of core hydrogen vitality materials, offering environment friendly and dependable enterprise assist for downstream electrolyzer clients, and selling the giant – scale and financial implementation of inexperienced hydrogen.
Technical Highlights: Shenshui Technology has constructed a full – chain self – developed system of “catalyst + proton exchange membrane + membrane electrode”.
In phrases of skinny – movie know-how, the company has taken the lead in attaining mass production of 50μm membrane electrodes and is selling the R & D of 25μm extremely – skinny membrane electrodes. Combined with the self – designed useful layer, it successfully solves business ache factors similar to tough management of hydrogen focus in oxygen and poor stability induced by skinny – movie know-how, attaining speedy price discount of PEM electrolyzers. At the similar time, with an revolutionary core – shell construction design, it has developed a low – iridium catalyst SS – IrTi – 4001, lowering the iridium loading to under 0.6mg/cm², and lowering clients’ dependence on valuable metals and capital expenditure on electrolyzers.
Relying on its materials benefits, Shenshui Technology’s membrane electrodes have glorious complete efficiency. Using the fourth – technology hydrogen – in – oxygen management know-how, it may function stably at 1.8V@4A/cm² and a differential stress of 3MPa, with the hydrogen focus in oxygen under 0.3%, a present effectivity of over 97%, and an working decay fee of solely 2.8μV/hr after 8500 hours, combining excessive stability and lengthy service life.
Combined with the self – developed three – technology megawatt – stage PEM take a look at cell, the company has the full capability from key materials to system integration, forming an ecological closed – loop protecting “electrolyzer design consultation, product matrix such as membrane electrodes, and membrane electrode recycling”, and offering an built-in answer of service – product – recycling.
Market Size
The “Global Hydrogen Energy Guide 2025” of the International Hydrogen Energy Commission exhibits that the complete funding dedication for present world clear hydrogen (together with inexperienced hydrogen and blue hydrogen) tasks has exceeded 110 billion US {dollars}, a yr – on – yr improve of 24.1%, and over 1700 related tasks have been introduced. By 2025, the world newly added working clear hydrogen production capability will attain 1 million tons, of which inexperienced hydrogen accounts for 30%.
Team Background
Wang Xinlei, the founder and CEO, holds a doctoral diploma in Energy and Power from the University of Science and Technology of China. He has a few years of technical R & D capability and wealthy industrialization expertise in the fields of core hydrogen vitality materials and new vitality.
The core technical team depends on the University of Science and Technology of China and the Chinese Academy of Sciences, together with high exterior mind consultants similar to Professor Liang Haiwei, a National Outstanding Youth, and Professor Wang Gongming of the Ten – Thousand – Talent Program. Many affiliate professors who’ve been deeply concerned in the R & D discipline of hydrogen vitality materials have additionally joined full – time, respectively liable for the company’s strategic planning implementation and each day operation administration, product R & D and course of optimization of membrane electrodes and catalysts, and have mature expertise in know-how transformation, production capability ramping up, and provide chain integration.
Business Progress
Shenshui Technology has reached cooperation with a whole lot of home and international enterprises, together with Fortune Global 500 corporations and world new vitality main enterprises, protecting most home PEM electrolyzer clients, with a cumulative supply of over 40,000 membrane electrode assemblies. In 2026, the company will cooperate with clients to set up a hydrogen production plant with a capability of tens of megawatts. According to the buyer mannequin, the worth of exported inexperienced hydrogen from this plant is expected to be decrease than that of blue hydrogen.
In phrases of production capability, the annual production capability of the catalyst production line in Hefei is 600 kilograms, and the annual production capability of the membrane electrode manufacturing facility in Lingang, Shanghai is 40,000 sq. meters, with the capability to assist 1GW tasks. Currently, its worldwide enterprise heart in Singapore has been put into operation.
The company’s income has been rising at a excessive – velocity. It was almost 100 million yuan in 2025, and it’s expected that the new orders will proceed to double in the subsequent two years. At the similar time, the company plans to launch a Series A+ financing this yr for buyer growth, batch supply, and know-how iteration.
Founder’s Thoughts
Yingke: What are the most important benefits of water electrolysis hydrogen production know-how in particular situation functions?
Wang Xinlei: From the perspective of vitality safety, China’s western areas are wealthy in wind and photo voltaic sources, however the energy technology is very intermittent and far from the japanese energy consumption facilities. It should depend on environment friendly vitality storage media for cross – time and house regulation. Hydrogen is the key to fixing this contradiction: it may obtain giant – scale vitality storage and transportation throughout seasons and areas, with no month-to-month self – discharge loss, and is extra appropriate for lengthy – time period and lengthy – cycle vitality storage and regulation than lithium – ion batteries.
Currently, China is the world’s largest hydrogen shopper, with an annual consumption of about 36 million tons, primarily concentrated in the chemical and metallurgical fields. A great amount of hydrogen comes from gray hydrogen produced by coal cracking. Although the price is comparatively low, it’s accompanied by excessive carbon emissions and air pollution. Green hydrogen is produced by water electrolysis, with zero carbon emissions all through the course of, and is actually clear hydrogen vitality.
Currently, the frequent aim of nationwide hydrogen vitality methods is to cut back the price of inexperienced hydrogen to about 1 US greenback per kilogram. By then, inexperienced hydrogen won’t solely have environmental benefits however might also obtain assist from carbon tax insurance policies, and its financial effectivity shall be comprehensively higher than that of gray hydrogen and blue hydrogen. Therefore, whether or not from the perspective of vitality safety or the “dual – carbon” aim, inexperienced hydrogen will change into an indispensable half.
Yingke: The price of membrane electrodes accounts for greater than 50% of the complete price of PEM electrolyzers. What are the most important technical ache factors on this discipline presently?
Wang Xinlei: The price proportion of membrane electrodes in electrolyzers is certainly very excessive, and with the pattern of additional thinning of the membrane layer, this proportion is expected to exceed 50%, which has been confirmed in our mannequin.
In the course of of the evolution of proton membranes from thick to skinny, similar to from 50 microns to even thinner, there are primarily two core challenges. The first is the tremendous administration and warmth and mass switch issues of the three – section interface inside the membrane electrode, that’s, electrons, protons, and water vapor. A skinny membrane means increased present density and effectivity, but it surely additionally leads to a sharp improve in water move and warmth technology. This requires the design of the porous layer and the move channel to be extraordinarily environment friendly, succesful of taking away extra warmth in time and guaranteeing the easy passage of water and gasoline with out blockage or bubble accumulation.
The second is the security downside of “hydrogen in oxygen” and efficiency degradation induced by hydrogen permeation. In a pressurized setting, small hydrogen molecules can simply penetrate the skinny membrane to the anode facet and combine with oxygen, bringing security dangers and lowering effectivity. The conventional answer is to add a “hydrogen elimination layer” on the anode facet, utilizing valuable metallic catalysts to recombine hydrogen and oxygen into water. However, this can trigger new warmth administration issues on the skinny membrane due to extreme response warmth.
In response to these business ache factors, we’ve made basic improvements and pioneered the addition of a “hydrogen – blocking layer”, often known as the “Xiange layer”, on the cathode facet globally. This know-how can successfully block the permeation of hydrogen to the reverse facet, considerably lowering the mutual penetration of hydrogen and oxygen at the supply. Combined with the optimized hydrogen elimination design on the anode facet, it systematically solves the warmth technology and security issues in skinny – movie functions.
Yingke: The price of PEM hydrogen production is dropping quickly. Where are the subsequent business breakthrough factors?
Wang Xinlei: Currently, based mostly on our self – developed 50 – micron PEM membrane electrodes, we’ve diminished the price of PEM hydrogen production gear from almost 10 million yuan per megawatt in the early stage to 1.177 million yuan per megawatt.
There are three clear instructions subsequent. First, the skinny – movie know-how shall be additional superior, and the technical issues associated to membrane electrodes and electrolyzers based mostly on 25 – micron PEM proton change membranes will proceed to be overcome. The worth of PEM electrolyzers could be additional diminished to 700,000 yuan per megawatt.
Second, break by way of in the autonomy of core materials. Shenshui Technology has efficiently achieved giant – scale mass production of proton change membranes in the accomplice’s manufacturing facility. Its efficiency design has distinctive benefits, which is expected to break the lengthy – time period monopoly of abroad producers on this discipline and really clear up the “choke – point” downside.
Third, construct a closed – loop for valuable metallic recycling. Through the self – developed recycling know-how, the residual worth fee of PEM electrolyzers can attain 40% to 45%. This not solely considerably reduces the full – life – cycle price of the gear but additionally essentially resolves the business’s anxiousness about the dependence on scarce valuable metals similar to iridium.
I’ve all the time believed that PEM hydrogen production isn’t solely the most fitted technical path for the volatility of wind, photo voltaic, and hydroelectric energy but additionally will present final competitiveness in the levelized price of hydrogen (LCOH). Just as DeepSeek broke by way of in the extremely aggressive computing energy market by way of the reconstruction of the underlying algorithm, what Shenshui Technology is doing is the “material reconstruction” in the discipline of hydrogen vitality, utilizing the closed – loop capability of the absolutely unbiased industrial chain to pave the final part of the highway for the period of inexpensive inexperienced hydrogen.
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Leading hydrogen production materials company secures Series A financing led by NIO Capital, founded by a team from the University of Science and Technology of China, with expected order volume to double again, source