http://www.afcenergy.com/

Dawnay, Day Corporate Broking Research Note

Aim Admission Document

GM i don't quite follow you with regards to the HAZOP,my understanding is it's a
safety clearence cert? Which if you consider the dangerous enviroment at Bittenberg,perfetcly correct and would expect nothing less.

From an earlier RNS.
The Company remains on track to deliver its commercial, Beta System, to AkzoNobel once the hazard and operability study (HAZOP) to permit its operation at the AkzoNobel site is complete.

Gm,by the way an excellent uodate and now considering buying back in?

Niceonecyril,

Sorry but don't follow you re you not following me (am I missing something).
I agree that the safety certificate is perfectly correct and I do not expect nothing less.
All I said, was that it "should be a formality".

GM thanks for clarifing that ,clearly crossed wires.

Niceonecyril,

No Prob. I often think I know what I mean't to say.

On a serious note, I don't, know if this will help, but on an alternative sight many have been asking questions re the importance of Hazop.
So I posted the following.

I also now little of Hazop, but have some knowledge of the enforcement (not the application) of Hazchem which is a similar system, IE a Hazop is completed prior to a Hazchem issue. What I do know is that 'all' such systems before the Bhopal incident in India 1984, were fairly lax. Since that incident, procedures have been greatly tightened up in all Hazchem and Hazop areas.
Believe it or not, a tanker carrying the same chemical as the Bhopal incident was stopped in Hull in 1985 where the driver had no safety instructions, no relative vehicle markers re emergency procedures, not the equipment required re dealing with any incident.
The driver did not even know what he was carrying.
The driver and vehicle operators received 'a caution'.
If you look at the Bhopal incident you will see how catastrophic it was.

If the same occurred now, the driver would have lost his Hazchem Authority and the company would have lost it's operators license. Both would have received fines, with a huge fine to the company.
The above may be a bit irrelevant to this thread, but it does go to show how strict things in the Hazardous Chemical business are in todays more risky world.

Greek.

GM cheers,one can only try to imagine what would be the result of an incident in the hydrogen rich enviroment?

On a more positive note,approval of and delivery of thenew bigger Beta system
would be a massive boost for the company and it's tech.

Finally some good news on a day that is heading for generally bad.
Will be interesting to see what the sp opens at and more importantly its closing price.
The big question is will investors see his as a time to buy, or keep selling due to the general market turmoil.
I can't see this being anything but a buying opportunity, although many may watch and wait just that bit longer, remembering that most expected the HAZOP to be received.

GM yes excellent news and very temptung at this SP,due to present market sentimen i've decided to hold onto cash at present,but good luck.

Hi Niceonecyril,

Same here re the cash, although if the sp stays the same or drops might just add to my holdings. The 10% plus spread will have to narrow though.
Amazing how the FTSE100 has moved this morning, from well down to up. Some will have made a killing.

Although i think cercunstances are different this time,a banking manager friend makes the point,that markets are run up and down to suit some.At least twice a year a crisis happens only to disappear once they've filled rheir boots?

It was the same following the last agreement to the Greek bailout which was supposed to steady the markets, but mot sensible people saw that it was just delaying the inevitable. same will occur this time after the agreement to buy Spanish and Portuguese bonds.
Its all papering over the cracks.

As to AFC, looks like I missed a buying opportunity, as the shares are now up. So still watching/waiting.

That makes a refreshing change.

Must be a first....Nice to see an RNS for Arsenal that refers to AFC Energy instead of the other way round.

Fear can knock the best shares.

This does in a roundabout way refer to AFC.

This morning one of the shares in my portfolio received awaited, expected news that resulted in an sp increase of around 39%.
This share as of late has been gradually reducing even though todays news was expected.
Due to the catastrophic financial and market crash, this share has been taking knocks following on from almost every achieved milestone. In fact the sp of this share was untill today lower than before they had achieved any of the last dozen or so good news bulletins.

Sounds like AFC doesn't it!

Even with the latest good news RNS, it has still not reached anywhere near to it's highs.
This company is well run and also has sufficient funding to see it through to profitability.

Sounds even more like AFC!

Many holders of this share, allowed the panic of the markets to influence them to sell, usually at a very low value price.

Sounds identical to AFC!

As this company's future, although in an entirely different field to AFC, is almost assured, I can see nothing but parallels with AFC.

So when the markets settle down to at last a smidgen of normality, and the awaited full field test result and first orders come in, AFC will be back to at 'least' the 75p mark where it belongs.

Like the example of my other share, it is nothing to do with the company that has resulted in the sp downgrade of AFC, but purely the general market sentiment, and like that other share it's day will come, and that day is not too far away.

So keep your nerve, and hold on in there!

Greek.

Holding so tightly it hurts! :o)

AFC Energy plc
Tim Yeo, Chairman

Ian Balchin, Deputy Chairman
David Marson, Finance Director

+44 (0)1483 276726

Allenby Capital Limited
Brian Stockbridge
Dan Robinson


+44 (0)20 3328 5656



Threadneedle Communications

John Coles

Fiona Conroy

+44 (0)20 7653 9850

About AFC Energy

AFC Energy is a world leading developer of low-cost alkaline fuel cell systems that use hydrogen to produce clean electricity, heat and water. AFC Energy's technology is focused on large-scale industrial applications and the objective of producing the lowest possible unit cost electricity. Please visit our website at www.afcenergy.com.



High efficiency levels: using readily available hydrogen and air as the source of oxygen, electrical efficiency is up to 60%, which compares to around 30% for conventional electricity generating technology.

Low cost production: fabricating with low cost materials combined with industrially proven production processes.

Low temperature and pressure: operating at less than 100 degrees Celsius enables us to use polymer mouldings for many parts.

Hydrogen sealing: operating at low pressure, hydrogen is readily sealed within the system.

Thermal management: a circulating liquid electrolyte simplifies the thermal management of the system.

Balance of plant: the majority of components are off-the-shelf and mass manufactured for other uses enabling us to benefit from these economies of scale.

Value engineered for assembly: the component count has significantly reduced and commercial units are designed for easy assembly.

AFC Energy has significantly reduced the cost of its technology to make its fuel cell system a commercially compelling proposition.

AFC and The Fuel Cell Stakes.

I often use a racing analogy to compare many things in life.

Several years ago I looked at AFC like I would a horse in the parade ring. This horse was with others all looking to attract attention, but it was difficult to pick out a winner, but AFC had a good jokey and stable team. It looked fairly good and worth gambling a few quid.
As it left the stalls it appeared to be quite slow approaching the first fence, it had no form to go on, this being its maiden race, but confidence increased as the first few fences were cleared.
As it approached the 5th fence it appeared to stumble a bit (the slight delay in shipping date to Germany) but after clipping the top it started to increase speed.
Several fences on, it was looking very good as it cleared each the next few fences with a bit to spare.
Although a long shot, it was now out in front, leaving the others in its wake.
The hesitant crowd was now starting to believe, some had put money on it as it left the parade ring and some as it went down to the start. But this race had strange rules, where you could bet money and even take your bet off during the race which some have done, but as it approached the last fence the opportunity to make BIG money was slipping away. With no other horse coming up on the rails the bookies were reluctant to take bets, although you could sell your betting slip easily.

AFC was now over the last hurdle and was only a few strides from the finishing post.
Yes, it could still stumble, but no one in their right mind would bet against it not being a clear winner.

Sorry for the rambling, I just thought the analogy fitted todays announcement.

AFC will be the winner in the 'Fuel Cell Stake.

Do you have your money on yet!

New CEO, great news.
If you wanted someone to fit into AFC's future, looking at Ian Williamson's CV you would be hard pushed to find what looks like a better ideal candidate.
I doubt that with his experience he would have considered coming to AFC unless he was 100% confident that they are heading for success.
The 1 Million share option would obviously be a nice little earner, but I have no problem with that.
I would like to see the option conditions, but no doubt they will have to be set at a position where all end up (including the shareholders) in benefit.
Not as good a news as we could have got, IE contracts, proven field test, but still very satisfying.
A company without a CEO tends to look a bit like a ship without a rudder.

Not totally relevant, but - Is hydrogen the future of motoring?

Probably, that is until solar energy is sufficiently harnessed.
I did read that the hydrogen car of the future is 10 to 20 years away from taking over from oil based fuels.
But with our modern world, who knows what is round the corner.

If you look at technology, there are many things that are now practical and in use, that were Star Trek and Jame Bond imagination from 20 to 30 years ago. So bearing that in mind, how far are we from warp speed, Mr Spock.

Warp 1 = 299792 kilometers per second.1 times C (the speed of light),
Warp 2 = 2997925 kilometers per second.10 times C (the speed of light),
Warp 3 = 11691906 kilometers per second.39 times C (the speed of light),
Warp 4 = 30578831 kilometers per second.102 times C (the speed of light).
Warp 5 = 64155586 kilometers per second.214 times C (the speed of light),
Warp 6 = 117518644 kilometers per second.392 times C (the speed of light),
Warp 7 = 196663852 kilometers per second.656 times C (the speed of light),
Warp 8 = 306987477 kilometers per second.1024 times C (the speed of light).
Warp 9 = 454485366 kilometers per second.1516 times C (the speed of light).

Hope that helps :-)