AFC Energy renews collaboration with hydrogen producer Air Products

AFC Energy, the Cranleigh-based hydrogen power generation technologies company, told investors it has renewed its collaboration with Air Products, the world's largest producer of hydrogen, with a five year hydrogen supply agreement and a site lease in Germany.

The company said it will now repurpose of AFC's existing hydrogen fuel cell facility in Stade, northern Germany.

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The site, originally constructed in 2015 by AFC Energy to house the EU co-funded 'Power-Up' programme, will now be repurposed to provide factory acceptance testing (FAT) of AFC Energy's H-Power Generator series of fuel cell systems.

With the site's existing hydrogen supply infrastructure and grid connection, this will require nominal investment, said AFC Energy.

The move confirms AFC Energy's commitment to the European hydrogen market, notably in Germany, which continues to see "sizeable growth in market size and hydrogen availability", the company said.

Adam Bond, AFC Energy's CEO, said: "The repurposing of our Stade facility creates a solid footprint within Germany and the wider EU hydrogen market whilst providing a cost effective path for our H-Power Generator factory acceptance testing programme.

"The market for zero emission off-grid power generation continues to grow internationally with our Stade facility now set to become a further catalyst in the delivery of H-Power Generators within one of the world's fastest growing hydrogen markets."

AFC Energy also noted that Germany was "seeing materially lower cost hydrogen available for commercial and facility based usage", making the decision to position AFC Energy's FAT in Germany not only a sound strategic decision, but also one expected to provide substantial savings to the company over the life of the hydrogen supply agreement.

"As a consequence of this decision, AFC Energy is also commissioning a study into the potential co-location of development and large scale contract manufacturing facilities in Germany to support the growth in system deployments," the company added.

AFC Energy is commercialising scalable 'flex fuel' fuel cell systems to provide clean electricity for on and off grid applications.

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