Hydro-Gen was an independent research facility funded by the CONSENT government.
While Mark Curran was excavating the ocean floor in a MMS-DS209 Guppy, a CAF CCMS-03 Bugu crashes into the ocean from orbit, and Mark goes to rescue him, despite the Guppy not being suited to the depth. Mark is able to rescue the pilot and brings him to Hydro-Gen, but the rig is soon stormed by CONSENT troops led by Jack Halle. Intruders soon enter the rig, where they are confronted by Mark and the CAF soldiers who followed him. The intruders had obtained the facility's schematics on the black market.
Following Mark's supposed defection, the CAF took over the facility and announced to the media the research done at Hydro-Gen was fruitless. All remaining members of Hydro-Gen were arrested shortly after, and Hydro-Gen was converted into a CAF facility.