SK E&S Co., the natural gas power unit of South Korea’s SK Group, announced on Tuesday that it signed a memorandum of understanding (MoU) with the Korea Water Resources Corp. (K-Water), Plug Power Inc., and SK Plug Hyverse Co. Ltd. to expand the supply of green hydrogen and revitalize the industry.

Under the agreement, the four companies will strengthen cooperation to lead the emerging green hydrogen era by utilizing their respective capabilities.

They will specifically work together to make the domestic green hydrogen industry more competitive by building national green hydrogen production facilities and securing operational technologies, as well as expanding domestic and overseas green hydrogen businesses and discovering new businesses.

To this end, SK Plug Hyverse, a joint venture between SK E&S and Plug Power, will supply and maintain polymer electrolyte membrane (PEM) water electrolysis facilities for domestic and international green hydrogen projects.

Water electrolysis facilities produce hydrogen by electrolyzing water and are key to expanding the use of green hydrogen produced from renewable sources.

The parties have also agreed to localize PEM electrolysis technology, a key technology for green hydrogen production.

“We will do our best to boost the green hydrogen industry by spurring the development of next-generation technologies such as water electrolysis technology based on cooperation between companies,” Jang Byung-hoon, head of the water environment division at K-Water, said.

“The localization of PEM water electrolysis technology will not only reduce carbon emissions but also contribute to securing the global competitiveness of the domestic clean energy industry,” added Lee Ji-young, who heads SK E&S’s global hydrogen business.