Soon to be in mass production...the technology works like no other

RNS Number:0376N Ceres Power Holdings plc 01 December 2006


Ceres Power Holdings plc
('Ceres', 'Ceres Power' or the 'Company')



Technical Update: Key Performance and Durability Targets Achieved


Ceres Power, the AIM-quoted fuel cell group, is today providing an update on the progress achieved in the development of its unique patented fuel cell technology. Ceres' continued focus is to utilise its technology to deliver a set of commercially viable products that can be mass manufactured and meet a clear market need.

Rigorous testing of the fuel cell stacks has demonstrated that the required levels of durability and performance can be delivered for the market applications it is targeting, namely domestic combined heat and power (CHP) boilers, off-grid generators and auxiliary power units (APUs).


SUCCESSFUL COMPLETION TO DATE OF MORE THAN 7,500 HOURS OF FUEL CELL STACK testing, reflecting the unique design and the use of well-proven manufacturing techniques

TESTING OF MORE THAN 50 STACKS OF UP TO 1KW POWER OUTPUT WITH REPEATED THERMAL cycling (on/off) between room temperature (20oC) and operating temperature (600oC) without performance degradation

STACK TESTING ON A RANGE OF COMMERCIALLY AVAILABLE FUELS INCLUDING NATURAL gas, LPG and propane demonstrating the capability to meet the performance requirements of a wide range of target market applications

VALIDATION OF STACK MANUFACTURING AND ASSEMBLY PROCESSES WITH MORE THAN 1,000 stack sub-assemblies constructed with a zero failure rate.
As a result of the performance demonstrated during the testing programme our core stack technology has been frozen. This technology will be appropriate for power outputs between 0.5kW and 5kW.

Integrated fuel cell systems have also been demonstrated by coupling lightweight, compact stacks and fuel processors with other key balance of plant components for our planned domestic CHP applications. Our focus is now on completing the designs of end-user products.

As announced at the preliminary results in September, we are currently equipping a new product facility which is expected to be operational by mid-2007 and is designed to produce limited volumes of prototype products incorporating volume manufacturing solutions. These units will be used both for demonstrations and larger field trials. The facility will also be used to develop and validate the manufacturing and assembly processes prior to transfer to mass production.

The scale-up process has been substantially de-risked with the establishment of a supply chain to procure cell, stack and system components utilising technologies with well-proven design lives in excess of 10 years. We are already working closely with a number of OEMs to finalise the arrangements for volume assembly of products utilising fuel cell stacks that will be manufactured by Ceres at a 'mother plant' facility planned to be commissioned in mid-2008.

Peter Bance, Chief Executive of Ceres Power, commented:

"Our testing has demonstrated that our unique technology has overcome many of the obstacles faced by other fuel cell technologies and can deliver durable, efficient and cost effective mass market solutions. We are now focused on completing the design of commercial, compact end-user products."

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