AMTE.L Share News (AMTE)

(Sharecast News) - Specialist battery cell developer Amte Power said it was trading in line with expectations on Tuesday, ahead of its results for the financial year recently ended.

The AIM-traded firm said that in the automotive sector, extensive on-going trials showed the cells "consistently achieved" a full charge within six minutes.

Cells manufactured on 'gigafactory' equipment at UKBIC were delivering "exceptionally well" against the company's target specification, at increasing volumes.

Five non-binding memorandums of understanding had been signed with key automotive partners, being Cosworth, Viritec, Mahle Powertrain, Sprint Power and BMW.

In the energy storage sector cell market, Amte said cell development was nearing completion, having reached its energy density specification of 140 watt-hours per kilogram.

The firm was planning to start production at Thurso later in the year, for delivery to customers for initial evaluation and project and supply validation.

Initial ultra prime sales, meanwhile, were expected to start in the 2024 financial year, with production centred on Thurso.

Amte said its overall pipeline of opportunities currently stood at more than £240m, adding that focusing on the Thurso production facilities and UKBIC would enable it to leverage its competitive advantages and development pipeline to drive the next stage of its growth towards the 'megafactory'.

The company said it planned to have its new, "state-of-the-art" 0.5 gigawatt-hour megafactory in Dundee ready within three years, which would be capable of producing more than eight million cells with a revenue stream of more than £200m.

"It is an exciting time for Amte Power - we are on the cusp of commercial volume production for our high-value cells, and we continue to see a huge amount of customer interest in our products," said chief executive officer Kevin Brundish.

"Our products and expertise will play a fundamental part in the UK energy transition, and we remain passionate about reaching a net zero economy.

"We are today confirming that the business is trading in line with our expectations."

At 1106 BST, shares in Amte Power were up 5.95% at 98p.

Reporting by Josh White at Sharecast.com.