A really cool tech story
How innovative cooling technology can significantly reduce energy demand in data centres, the fast-expanding computing power behind artificial intelligence.
On September 23, 2025
In a low-rise building near the River Elbe in an industrial part of Hamburg, Germany, a team of scientists is pioneering innovative approaches to a growing challenge: cooling data centres, the specialist servers, storage and other IT equipment that are vital to artificial intelligence − and today’s wider digital economy.
Challenging the reliance on traditional systems like chillers, fans, and air conditioning to keep this kind of hardware cool, the team at Shell’s Technology Centre in Hamburg have developed advanced immersion cooling fluids – special liquids that absorb and dissipate heat – to efficiently manage the significant heat generated by densely packed computer systems.
And with good reason. “Our fluids can reduce energy use in data centres by nearly 50% compared to traditional cooling systems,” says Volker Null, Technology Manager for Thermal and Specialty Fluids at Shell, and one of the scientists in Hamburg. “This is a game changer at a time when artificial intelligence is driving an unprecedented surge in computing demand and, with it, the energy consumption of data centres.”
The numbers are striking: today, data centres consume 1.5% of global electricity according to the International Energy Agency (IEA). But with the rapid rise of artificial intelligence – powering everything from online shopping to medical breakthroughs – energy demand from data centres could more than double over the next five years, according to the IEA. By 2030, their energy consumption could rival that of Japan today.
Less energy, lower costs, smaller footprint
Immersion cooling works by submerging data centre equipment in specially engineered fluids with extremely low electrical conductivity. This can be more than 1,000 times more efficient than traditional air cooling − comparable to a marathon runner diving into a cold pool to cool down rather than standing in front of a fan. By requiring less energy, immersion cooling can also lower costs. “Switching to immersion cooling can reduce data centre operating expenses by up to one third,” says Cameron Cross, Business Development Manager for Shell’s global cooling fluids business out of Houston, USA. “With a reduced need for bulky chillers, fans or evaporative cooling systems, this approach can also significantly shrink the physical footprint of data centres.”
“Our fluids represent the culmination of nearly 50 years of Shell’s expertise in gas-to-liquids (GTL) technology,” says Volker, a chemist who joined Shell more than three decades ago. Shell’s GTL technology converts natural gas into synthetic fuels and lubricating base oils free from the impurities – such as sulphur and heavy metals – typically found in crude oil. This purity makes GTL-based immersion cooling fluids more effective at transferring heat and reduces the risk of damage to sensitive computer hardware.
“We continually test the purity and consistency of our GTL-based fluids to ensure they dissipate heat in a constant way and are stable when used in data centres,” says JanElsa Carty, Senior Project Leader in Thermal Fluids at Shell’s Technology Center in Houston. “This means that we can provide a high level of assurance to data centre operators that our fluids can be used safely and effectively.”
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Industry first
That reliability is gaining recognition. In May, Shell’s immersion cooling fluids became the first to receive official certification from a major chip manufacturer following two years of rigorous testing by US company Intel.
Since then, Shell’s team has launched a solution designed to cool the most heat-intensive components in data centres, such as central processing units and graphics processing units. The new product is designed for direct liquid cooling, or direct-to-chip cooling; rather than submerging components in cooling fluids, a cold plate placed on the components allows the fluid to pass directly next to the heat source. “This can reduce the energy use of the most heat-intensive components by up to 27% compared to traditional air cooling,” says Volker.
Shell has also used its immersion cooling expertise to create high-performance thermal management fluids for electric vehicle batteries. These support the trend toward smaller and lighter batteries, helping to pave the way for electric vehicle charging in under 10 minutes.
Helping to reduce Shell’s own energy use
The cooling products are not just for customers. Shell has been using its immersion cooling fluids in its own IT operations since 2022. “We most recently deployed the fluids in our high-performance computing cluster in Bangalore in India,” says Sujith Nair, Innovation Programme Manager at Shell. “The fluids significantly boost the energy efficiency of the cluster, which is critical in supporting large-scale artificial intelligence computing for Shell’s global research and development hubs in Amsterdam, Bangalore, Houston, and London.”
“Immersion cooling is still an emerging technology,” says Cameron. “But with the growing demand for high-performance computing, advanced technologies such as immersion cooling fluids will be critical.”
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