Business
Agreement signed with Waste2T
Agreement signed with Waste2T.
About this update from H-power Plc
[{"type":"text","content":"\n RNS Number : 7486M AFC Energy Plc 04 February 2009 \n \n4th February 2009\n\nAFC Energy plc \n('AFC Energy' or the 'Company')\n\nAgreement signed with Waste2Tricity Ltd for hydrogen fuel cells\n\nAFC Energy PLC, the low-cost fuel cell company, is pleased to announce that it has entered into an agreement with Waste2Tricity Ltd ('W2T') to supply AFC fuel cells to W2T for integration into its system for the conversion of Municipal Solid Waste ('MSW') to energy. \nIn conjunction with leading waste management and treatment companies, W2T is setting out to combine AFC Energy's new generation alkaline fuel cells with proven technologies including plasma gasification with the aim of providing the most efficient technology for the conversion of MSW into electricity.\nWithin the next 6 months, W2T hopes to fund and commence the construction of a pilot plant with a 50,000 tonne capacity with the aim of commencing operation in 3 years time. The first stage will use internal combustion engines to generate electricity whilst the second stage should generate sufficient hydrogen to use up to 12MW of AFC's fuel cells, depending upon successful demonstration.\nKey terms of the agreement are:\n\n\nAFC Energy will receive a £1 million licence fee in return for granting W2T exclusivity for its fuel cells in the UK waste to energy market. This payment will be conditional upon W2T successfully raising the initial capital for its pilot plant;\n\n\nOnce AFC Energy's fuel cells are integrated in W2T's gasification system, AFC Energy will also receive follow-on royalty payments;\n\n\nAFC Energy will make a short-term, interest-bearing loan to W2T of up to £150,000 which is fully repayable by December 2010;\n\n\nAFC Energy has the option to acquire 25% of the equity of W2T;\n\n\nAFC Energy has the right to maintain two directors on board of W2T.\n\n\nCommenting on these developments, Ian Balchin, AFC Energy's Managing Director says,\n'We are delighted to announce this step in our journey towards commercialisation. The local gasification of municipal solid waste into hydrogen and its conversion into electricity is another excellent application for AFC Energy's fuel cell technology. It has the prospect of ...