http://www.afcenergy.com/

Dawnay, Day Corporate Broking Research Note

Aim Admission Document

Hi Steve,

Yes and nice to see company on this thread.

Just a snippet from it's site.

INEOS is a young company. It has grown through a series of related acquisitions to become the worlds third largest chemical company with sales today around $47 billion.

Most of our employees have spent all their working lives in the chemical or oil industry. They arrived at INEOS from companies such as BASF, Bayer, Borealis, BP, Degussa, Dow, Enichem, Hoechst, ICI, Norsk Hydro and Solvay. We continue unashamedly to extract best practices from this very impressive group of people in all spheres of activity.

So it looks like they will have good connections (a bit like Akzo) in the industry, both due to their size and world wide spread.

Also it is a privately owned company, being the largest such company (private owned) in the UK.

Let's hope that they do as well as their ticker symbol namesake is doing at the moment!

I feel that the closing sp, down 2.08% is the affect of many investors expecting news of a contract and the actual news being a letter of intent.
So the tick up over the last few days was on rumoured/expected very good news, (contract) when reality was good news, the LOI.
It's a bit like expecting a lottery jackpot but then being informed you only have 5 numbers and the bonus ball.
But we now have substance that we did not have until today, instead of rumour, but the sp drops.
It's as they say a funny old world, especially when it comes to investing.

Yep, I have to agree with that; it is still a young company though and it has achieved a lot in 3+ years. Patience will be rewarded well I think!

Good value. You must be kidding.

Under new rules which came into force on July 1, constituents are entitled to know how much time MPs spent on second jobs and the income they received.

Tim Yeo MP for Suffolk South earned 3,750 for six hours as chairman of AFC Energy which is developing alkaline fuel cell technology.

If he was worth paying 626 per hour, he must be good.

RNS re none platinum electrodes.

The iteration time to prepare new electrode materials, manufacture electrodes, test them, analyse them and review their performance is now a matter of hours rather than days as it was prior to the upgrade. The Company now has the capability to manufacture, depending upon the precise process details, up to 1000 electrodes per day in house.

The above paragraph could be a fantastic boost to the AFC system.

'Tis indeed good news. The future is bright!

An excellent write up.

Edison Investment Research is upbeat on alternative energy company AFC Energys (AIM: AFC) prospects, envisioning an lucrative global market for the company and a significant revenue stream in the next few years,

http://proactiveinvestors.co.uk/companies/news/9215/edison-research-upbeat-on-afc-energys-low-alkaline-fuel-cell-potential--9215.html

OK how about this for forward looking.

Just been announced that NASA is hoping to find water in sufficient quantities on the moon, so they can use 'Split Water Hydrogen'. They hope that they will then be able to separate the hydrogen in this water to use in differing forms of energy to supply other moon/space missions.

Can't wait for the RNS stating that AFC are to supply the first hydrogen fuel stack system in space.

No doubt the sp would then take off and rocket up.

Hows that for being positive.

Obviously a tongue in cheek post, But you never know.

This RNS is fantastic news.

AFC have signed a binding Heads of Agreement with Linc Energy Limited

Now all it needs is the lawyers to sort out the full legal stuff and we are on our way.
The holy grail of clean fuel is out there, could this (and AFC) be a part of it.
At least we know what the extra fund raising was for. As they said only a few months ago that 'they would not need extra funding' I was annoyed that they had not expanded on the reason why they had almost overnight changed their minds.
I thought/hoped it may have been to put them on a firmer financial footing for something just round the corner. Any potential customer is easier to get on board if they have the evidence that the providing company is on sound financial footing.
The doubt, at least for now re finance is dead.

This should up the sp by 40 to 50% today. Whether it will or not not long to wait.

Oh well I was very wrong about the 40 to 50% increase. On reflection it was a very poor call by me. I think it is partly the lack of clarity, which will no doubt clear on the release of the full deal after the lawyers have reviewed it, and (mainly I feel) the connection with the White family, being involved on both sides of the deal.

Just read the brokers note, word for word taking about 1 hour.
As expected there are quite a few ifs, and as they say it is a conservative model, so the only ifs that are counted within the model/figures are relating to the Base Chemical Industry and are not counting the Waste to Energy or UCG possibilities.
So as said plenty of ifs (if there wasn't the sp would obviously be many multiples of the current value and probably too late to make any profit from being invested).

I would advise anyone who has not read the note to do so. It does read like a road map to the Holly Grail, and if (theres that word again) they don't get lost along the way, it looks like they (AFC) could easily become one of the share finds of the decade.

If this was worth a punt 1 to 2 years ago, it has to be worth backing now.

Read yesterday in The telegraph that it is expected that 1 coal fired power station will be opened somewhere in the world 'every day' next year.
Due to the ever increasing demand for power and the ever increasing cost, it appears that 'King Coal' is a long way from dead.
When it comes to polluting the environment or having insufficient power there is no contest, especially when the newer mega powers like China are expected to take over from the US as number 1 by 2030, (my own view is they won't, as the USA will I believe fight and win, this race to get back to the top).
So the new coal may well have to be cleaner, and as they say necessity is the mother of invention, surely we will see coal being used in ever increasing cleaner methods. UCG re coal and bio-fuels as supplements will have to become more efficient. AFC due to their link into UCG coupled with their other fuel cell use, IE waste, place them in a good position in the battle of power supply.

RNS out finally.

Excellent news although released late as this leaked out several hours ago.
There are so many things boiling for AFC at the moment it will surely take some gigantic catastrophe to make things go wrong now, (Hope that does not put the proverbial mocker on it).
If the big investors want to get in before things really start to motor they can't wait much longer.
Next few weeks/months will be very interesting.

Hi greekman, just come across this company and its tech. seems very exciting and well worth a closer look. Would appreicate any info which could get me upto speed,especially how long to build and commission a 50kw
power plant etc?
TIA
cyril

Hi Cyril,

Nice to have company on here.
There is so much happening re AFC that it is difficult to know where to start. Also I am a technophobe so I will probably not explain the Fuel system very well (I sort of understand it), although I do know it looks like a winner for the future.

I suggest you look at the AFC Company web site (you probably already have), and also if you go onto http://www.iii.co.uk/ and read posts on that site you will find plenty of info.
A poster STOCASITY is well up on AFC and their Fuel cells, although he can be just a tad 'Rose tinted glasses', but he does know his stuff.
He also often posts repeat links which are a very good source of information.

If you still want further info and don't want to go to http://www.iii.co.uk/ I will try to post links myself, although there are as said many out there.

My own view is that AFC have very little downside with a huge upside. Still a risky bet, but that risk is getting smaller by the day.

Hope the above helps, and good luck with AFC.

Regards Greek.

Greekman, thanks will take a look over the weekend.
cyril

Greekman with ref to Linc energy,gere's wow they see it?
http://www.asx.com.au

You need to enter LNC Com/annoucements and then 9th Dec presentaion.
They seem to quite an impressive company,probably about 250k M.Cap?
One worry i have is the link the White family who were invlved with SEO
may still be?
cyril

Morning Niceonecyril,

Glad you looked into things over the week-end. I fully agree with you about the Howard White connection and have posted such many times on the iii thread.
The link with H W is my main niggling worry. I was badly bitten by the Stanelco fiasco, so one bitten twice shy as they say.
Did you look at the iii thread re AFC. If you don't want to I will post several interesting links with info on AFC, but if you look at that thread yourself it will give a better balanced view as some doubts do surface.

Regards Greek.

GM,i'm going to take a speculative punt as i feel its potential is enormous,
while keeping in mind my SEO experience.
The 5 month timescale seems to be about right for delivery for the 50k unit
which is the size of a 12mtr cshipping container,then LINC(whom i am impressed with)will give it a good testing so about 12month and we should know?
cyril