Under the agreement, McPhy Energy will manufacture two full size magnesium hydride storage prototypes, for CEA Liten (Laboratory of Innovation for New Energy Technologies and Nanomaterials) to test on an industrial scale. During the test campaign, they will be coupled to an electrolyzer and a fuel cell, to simulate a real-world renewable energy storage application.

The first storage tank, with a hydrogen capacity of 1 kg, was delivered to CEA Liten at the end of March. Under the agreement a second, larger system (storing 15 kg of hydrogen) will be installed and tested during the second half of 2010.

Such a system coupled to a hydrogen production device using renewable energy is seen as a solution to the intermittent nature of such energy sources. The targeted applications are electricity production in isolated sites, or peak shaving of electrical networks, with improved safety and no release of CO₂ or waste heat.