New purchase order from additional customer

RNS Number : 3653F

Clean Power Hydrogen

21 March 2022

 

The information communicated within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 which is part of UK law by virtue of the European Union (withdrawal) Act 2018. Upon the publication of this announcement, this inside information is now considered to be in the public domain.

21 March 2022

Clean Power Hydrogen Plc

("CPH2", the "Company" or the "Group")

New purchase order from additional customer

CPH2, the UK-based green hydrogen technology and manufacturing company that has developed the IP-protected Membrane-Free Electrolyser ("MFE"), is pleased to announce that it has entered into a purchase order with ATOME Energy plc ("ATOME") for the sale of a 1MW MFE220 electrolyser unit to be delivered at the end of this year and deployed in ATOME's Paraguay mobility project. In addition, CPH2 and ATOME have entered into non-binding letters of intent confirming the parties' mutual intentions to collaborate in respect of potential future orders of electrolyser units for ATOME's international hydrogen and  ammonia projects and to investigate and discuss a potential joint venture for the future production of electrolysers in country to serve the Latin American market using CPH2's technology and know-how. ATOME has confirmed that it expects that further orders will follow in due course.

CPH2's MFE220 product runs with 1MW of input power and is capable of producing 450kg/day of high purity green hydrogen. The MFE220 is designed around the principle of being simple to build, operate and maintain. The Company's MFE440 product, which is in the final stages of concept design and layout, will operate on 2MW of input power and will be capable of producing 900kg/day of green hydrogen. The MFE electrolyser unit is designed to be 'plug and play' with any end user required only to provide the relevant hard standing pad, electricity and water supply.

CPH2's MFE technology has many benefits including increased uptime and efficiency, reducing risk of failure and downtime for maintenance and reduces production costs. Other benefits include cryogenic separation of the gasses, absence of rare materials, and the use of potable water as its feed product, removing the requirement for any pre-treatment. The MFE also uses a simplified stack which enables a simple and shortened production process, reducing cost, parts and maintenance, offering a 25-year warranty on the stack. The MFE is scalable, easily transported and assembled in the required scale and specification for the end customer.

ATOME, a fellow Yorkshire headquartered company, which listed on the AIM market of the London Stock Exchange in 2021, is an international company focused on green hydrogen and ammonia production with advanced plans for 350-megawatt projects in Paraguay and Iceland. ATOME  has commenced operational planning, sourcing and negotiations with EPC contractors, green electricity suppliers, equipment providers and offtake partners, including signed memoranda of understanding and cooperation agreements in place with national power companies, as well as other key parties. All sites identified by ATOME are located close to  power and water sources and export facilities to serve significant domestic and  international demand.

This first unit for ATOME's Mobility Division will be based within the region of Asuncion, the capital of Paraguay, with commencement of production planned before the end of Q1 2023,and which is anticipated to be the first commercial production of hydrogen for transport in Paraguay.  

Jon Duffy, Chief Executive Officer of CPH2, commented:

"I am delighted to announce positive commercial momentum at CPH2 so soon after we listed on the AIM market of the London Stock Exchange. The addition of a new international customer to our order book is further validation of the technology that CPH2 has developed. Our Membrane-Free Electrolyser has many benefits, it being low-cost, scalable, flexible, safe, and reliable, and can produce green hydrogen anywhere in the world. We very much look forward to working with the ATOME team in delivering the first commercial production of green hydrogen for transport in Paraguay and to an ongoing partnership in the South America region.

Olivier Mussat, CEO of ATOME, commented:

"After a lengthy procurement process we have chosen to work with CPH2 because the product perfectly fits our requirements and we are very impressed with its simple yet effective technology as well as the expertise and transparency of the management of CPH2.  We can produce green hydrogen from an electrolyser which is easy and quick to install, safe, durable, flexible, scalable and which releases no waste water.

"We likewise look forward to an ongoing partnership with CPH2 in the South America region."

For more information, please contact:

Clean Power Hydrogen Plc	via Camarco
Jon Duffy, Chief Executive Officer
Cenkos Securities plc - NOMAD & Broker
Neil McDonald	[phone]
Peter Lynch	[phone]
Adam Rae	[phone]
Camarco PR	+ 44(0) 20 3 757 4980
Billy Clegg
Owen Roberts
Monique Perks

To find out more, please visit: https://www.cph2.com

Overview of CPH2

CPH2 is the holding company of Clean Power Hydrogen Group Limited ("CleanPower") which has almost a decade of dedicated research and product development experience. This experience has resulted in the creation of simple, safe and sustainable technology which is designed to deliver a modular solution to the hydrogen production market in a cost-effective, scalable, reliable and long-lasting manner. The Group's strategic objective is to deliver the lowest LCOH in the market in relation to the production of green hydrogen. The Group's MFE technology is already commercially available and demonstrating cost efficiencies and technological advantages. CPH2 is listed on the AIM market and trades under the ticker LON:CPH2.

Overview of Atome

Atome Energy Plc is an AIM listed company targeting green hydrogen and ammonia production with up to 350-megawatt projects in Paraguay and Iceland, through its subsidiaries Atome Paraguay, which is wholly owned, and Green Fuel ehf, in which Atome holds a 75 per cent interest, respectively.

Atome has commenced operational planning, sourcing and negotiations with green electricity suppliers, equipment providers and offtake partners, including signed memoranda of understanding and cooperation agreements in place with key parties including national power companies, to use electricity generated from existing geothermal sources in Iceland and hydroelectric power in Paraguay. Both sites are located close to the power and water sources and export facilities to serve significant domestic and then international demand.

Atome has a green-focused Board which is supported by major shareholders including  Peter Levine, Trafigura, one of the world's leading commodity and logistics company, and Schroders, a leading fund manager.

 

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