Shares of Sheffield-based energy storage and clean fuel company ITM Power rose more than 10% on Monday amid news that it signed an agreement for a new global manufacturing headquarters in the city amid a surge in orders.

The new HQ will have the largest electrolyser manufacturing capacity in the world.

“The agreement is for ITM Power to lease a new build development of 134,000 square feet in Sheffield, UK, at PLP Bessemer Park,” said ITM Power.

“The manufacturing facility will have an electrolyser manufacturing capacity of up to 1GW (1,000MW) per annum, the largest in the world.

“PLP Bessemer Park is being developed by PLP.

“The agreement commits ITM Power and PLP to enter into a lease at completion of the building, expected in Q4 2019.”

PLP Bessemer Park is a new 50-acre development at a strategic location next to junction 34 of the M1 and in close proximity to the company’s existing facilities.

“The requirement to expand ITM Power’s production capacity has been led by the continued growth in the company’s order pipeline,” said ITM Power.

“The new headquarters will see ITM Power co-locate into a single building and gain access to a five-fold increase in production space.

“Key to the selection of the building was the proximity of the grid connection to provide the substantial power supply required for ITM Power’s needs, using existing infrastructure near to the location.”

ITM Power CEO Graham Cooley: “The move to larger premises and the design of our new manufacturing and testing process has taken some time.

“I am delighted to be able to announce this key milestone in the project and I do so with confidence that ITM Power and its advisors have done a thorough job in selecting the right premises.

“The detailed planning that has taken place will pay dividends as we transition our activities to PLP Bessemer Park from the New Year.”

Neil Dickinson, chief investment officer at PLP, said: “This leasing deal with ITM Power is another example of PLP’s capability in delivering high quality industrial units in strategic locations across the UK.”