Business
Letter of Intent
Letter of Intent.
About this update from H-power Plc
[{"type":"text","content":"\n RNS Number : 7642T AFC Energy Plc 04 October 2010 \n \n\nRNS Announcement 04 October 2010\n \nLetter of intent to deploy fuel cell power stations\n \nAFC Energy PLC\n('AFC Energy', 'AFC' or the 'Company')\n \nAFC Energy Plc (AIM: AFC), a world leading developer of low cost alkaline fuel cell technology, is pleased to announce that it has signed a binding letter of intent (LOI) with Powerfuel Power Ltd (\"Powerfuel\") and B9 Coal Ltd (\"B9 Coal\") concerning high efficiency fuel cell power stations in the UK fuelled with hydrogen derived from surface coal gasification and/or natural gas. These power stations will include low-cost carbon capture and storage (CCS) with the first demonstration power station expected to be located at the Hatfield Colliery site near Doncaster, South Yorkshire.\n \nThe LOI provides for B9 Coal to be responsible for financing the building and operation of the demonstration fuel cell power station which would be built in stages up to 300 megawatts (\"MW\") at the Hatfield site adjacent to Powerfuel's planned integrated gasification combined cycle (\"IGCC\") power station, which is currently at an advanced stage of planning and awaiting project financing. The Board of AFC anticipate that a successful demonstration at the Hatfield site is likely to lead to a joint venture between Powerfuel and B9 Coal to roll-out turnkey power stations based on the demonstration power station. The Board expects that, should this prove to be the case, then the new power stations will continue to use the Hatfield model and will combine AFC's fuel cell system with fuel processing and CCS technologies via Powerfuel. The LOI provides an option for Powerfuel to acquire exclusive rights to incorporate AFC's fuel cell systems into power stations of 50MW and greater in other territories upon payment of signif...