Restructuring Gameplan as Doosan Pivots Towards Hydrogen Leadership

Doosan Corporation Advances Hydrogen Technology Through Business Consolidation

Doosan Corporation, a global industrial leader, has recently unveiled plans to consolidate its hydrogen technology efforts. This step is part of a broader strategy to position itself as a significant player in the hydrogen energy sector, responding to the growing global focus on clean energy. By acquiring the hydrogen fuel cell division of Doosan Mobility Innovation, the company aims to integrate its expertise and resources for streamlined operations and enhanced competitiveness in the hydrogen market.

Business Consolidation Efforts

On December 20, 2024, Doosan Corporation announced its decision to acquire Doosan Fuel Cell Power, a subsidiary specializing in developing hydrogen fuel cells for buildings. This acquisition is expected to alleviate financial pressures on Doosan Mobility Innovation (DMI), which has faced persistent losses in recent years. DMI also plans to raise 134 billion won in capital to facilitate this transition, with the deal slated to close by February 2025.

This consolidation aligns with Doosan’s vision of more efficient management and innovation in polymer electrolyte membrane fuel cell (PEMFC) technologies. Both entities are engaged in PEMFC development, making the merger a natural step towards unifying efforts and bolstering their hydrogen-related capabilities.

Technological Advancements

Doosan is making strides in hydrogen technology across various fields, including green hydrogen, liquefied hydrogen, and infrastructure development. Under Doosan Enerbility’s wing, the company has been involved in significant projects like Korea’s first hydrogen liquefaction plant. Operational since 2023, the plant has the capacity to produce 5 tons of liquefied hydrogen daily, primarily for bus charging stations.

Additionally, DMI has achieved global recognition by delivering the world’s first commercial hydrogen drone. Leveraging compact hydrogen fuel cells, these drones are capable of extended flight times and rapid refueling compared to battery-powered alternatives. With advancements seen in carbon fiber hydrogen tanks and scaled-down fuel cells, DMI’s expertise enriches the company’s hydrogen ecosystem.

The company is a multifaceted conglomerate offering a broad spectrum of products and services across various industries:

Energy and Power

• Hydrogen Fuel Cells: They provide solutions for both stationary and mobility applications, including advanced fuel cells and electrolyzers for green hydrogen production.
• Nuclear and Thermal Power Plants: Doosan develops and manufactures components for small modular reactors and other power plant technologies.
• Desalination Plants: They offer technologies for different desalination processes, including multi-stage flash and reverse osmosis.

Construction and Heavy Equipment

• Construction Machinery: Doosan Bobcat produces a range of construction equipment, including electric skid-steer loaders and autonomous mowers.
• Industrial Vehicles: They manufacture forklifts and other logistics equipment.

Robotics and Automation

• Collaborative Robots (Cobots): Doosan Robotics offers AI-powered cobots for various industries, including manufacturing and logistics.

Mobility and Drones

• Hydrogen-Powered Drones: Doosan Mobility Innovation provides drones equipped with hydrogen fuel cell powerpacks for extended flight times.

Electronics and Materials

• Electro-Materials: They supply materials for electronics, including components for OLEDs and other electronic materials.

Consumer and Retail

• Retail: Doosan Tower is a major shopping destination in Seoul, featuring numerous fashion stores.

Media and Entertainment

• Doosan Bears: The company owns a professional baseball team in Korea.
• Doosan Magazine: They publish well-known fashion magazines in Korea.

Doosan’s diverse product range underscores their commitment to innovation and sustainability across multiple sectors, from clean energy solutions to advanced robotics and consumer goods.

Recent Developments

The company’s recent achievements include the rollout of Korea’s first hydrogen-powered forklift by Doosan Bobcat. This 3-ton forklift, featuring a 20-kilowatt hydrogen fuel cell, is designed for industrial applications and marks a significant step toward expanding hydrogen mobility. Doosan also has ongoing collaborations to diversify into other hydrogen-powered machinery, exploring options like skid-steer loaders and larger forklifts.

Doosan Fuel Cell has also been a pioneer of stationary hydrogen fuel cells for residential and commercial energy. These systems generate electricity and heat through hydrogen-oxygen reactions and are widely recognized for their zero-emission outputs. Recently, the company demonstrated hydrogen fuel cell models at international trade events, showcasing their marine hydrogen fuel cells and exploring potential in shipping applications as early as 2025.

Importance and Timelines

The global push for carbon neutrality and reduced reliance on fossil fuels underpins Doosan’s focus on hydrogen energy. Hydrogen, as a clean and abundant energy source, is critical for achieving long-term sustainability goals. From stationary fuel cells for grid support to mobility applications like forklifts and drones, hydrogen has numerous uses that align with the evolving demands of industrial and emerging green economies.

Doosan’s timelines reflect a sense of urgency. The acquisition of DMI’s business is scheduled to close by February 2025, and projects like their hydrogen forklift aim to reach commercial deployment within the next year. Meanwhile, long-term efforts in green hydrogen production and marine fuel cells anticipate broader implementation and demand by the mid-2020s.

Understanding Doosan’s Hydrogen Technology

The company’s hydrogen technology primarily focuses on PEMFC and stationary fuel cells. These systems convert hydrogen into electricity via a chemical reaction, releasing only water and heat as by-products. For building energy use, devices like the M400 model operate efficiently 24/7, serving both electricity and heating demands.

For transportation and mobility, compact hydrogen fuel cells provide quick refueling and longer operational durations compared to electric batteries. Applications such as drones and forklifts highlight their practical utility in various industry settings. The hydrogen is typically stored in advanced carbon fiber tanks, designed for durability and safety.

Their commitment to green hydrogen further expands its scope. This method produces hydrogen through water electrolysis powered by renewable energy, offering an entirely carbon-free energy cycle. They’re also exploring nuclear-based hydrogen production, which supports large-scale, CO2-free operations and supplements renewable energy gaps.

Conclusion

The advancements in hydrogen technology described here illuminate a significant shift in energy innovation. Whether through stationary energy systems, hydrogen-powered machinery, or compact tech for drones, the technology offers immediate applications in sectors like logistics, construction, and heavy equipment. Hydrogen forklifts, for example, can improve efficiency and sustainability on factory floors, while hydrogen-powered drones could revolutionize industries such as agriculture and surveillance.

Future projections suggest vast scalability. By 2030, hydrogen could become a mainstream energy carrier, addressing challenges in energy storage and mobility while cutting carbon emissions worldwide. As policies and economies adapt, hydrogen’s role in achieving global environmental goals will undoubtedly grow, making these developments not just timely but essential.