Fuel cell parts factory to open in Willoughby;

BYLINE: John Funk, Plain Dealer Reporter

A California-based fuel cell research and development company is opening a parts factory on Hamman Parkway in Willoughby, using technology licensed from SGL Carbon of Wiesbaden, Germany.

Pacific Fuel Cell Corp.'s top officers say they chose Ohio after they went to fuel cell conferences here sponsored by the Ohio Department of Development and realized the state was laying the groundwork to make fuel cell production a major industry.

The only tax break Pacific Fuel Cell will get on this initial project is a brief rebate of employee payroll taxes from Willoughby. The company has not approached the state, said a Department of Development spokesman.

Fuel cells generate electricity through an electrochemical process that essentially combines hydrogen with oxygen in the presence of a catalyst to produce electrons, water and heat. Some fuel cells are made of ceramics and metals, others of carbon and polymers.

Pacific Fuel Cells is focusing on the carbon-polymer type, particularly on the small fuel cells to power cell phones, laptop computers and other electronics.

The 24,0000-square-foot facility it is leasing in Willoughby is expected to begin production in a couple of weeks and to initially employ about a dozen people. At first, it will make bipolar plates using the German technology for fuel cell manufacturers in the United States and Canada.

The plant's 800-ton presses and other equipment being installed this week will be able to produce $100 million worth of components annually, said Chief Executive George Suzuki.

Eventually, the company hopes to make whole fuel cells on its own, said legal counsel Stephen Godwin.

To reach this Plain Dealer reporter: jfunk@plaind.com, 216-999-4138