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Ceres Power Holdings PLC on Wednesday said it has signed a new manufacturing licence agreement with Chinese engine maker Weichai Power Co Ltd, expanding their long-standing partnership. Shares in Ceres were up 21% at 377.60 pence in London on Wednesday morning. The Horsham, England-based clean energy technology developer said the deal allows Weichai to manufacture Ceres’ solid oxide fuel cell, or SOFC, technology for use in stationary power systems, including AI data centres, commercial buildings and industrial applications. Ceres said the agreement supersedes previous deals with Weichai and will see the Chinese firm establish a local manufacturing facility in Shandong province to produce fuel cells and stacks, supported by components which Ceres will supply. The new agreement adds a fourth manufacturing partner to Ceres’ global network and is expected to generate ‘significant’ licence fees, milestone payments and royalties, in line with previous licensing deals, the company said. However, Ceres expects revenue recognition from the Weichai deal in the 2026 financial year, meaning its guidance for 2025 remains unchanged. Chief Executive Officer Phil Caldwell said: ‘We are excited to extend our relationship with Weichai with a manufacturing licence to produce Ceres-based products in China, further expanding the ecosystem for our technology.’ He added that the partnership marked ‘an endorsement of Ceres technology and a significant business opportunity for both companies,’ noting that demand for efficient, on-site power generation was rising rapidly. ‘There is now an acute need for power systems to service AI data centres, industrial power needs, grid reinforcement and commercial buildings. Adding Ceres’ high-efficiency SOFC that can be deployed where the power is needed at pace represents a multi-billion market opportunity,’ Caldwell said. Ceres said the SOFC systems produced under licence would complement Weichai’s existing power generation portfolio, which includes gas engines and powertrains. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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