Member Info for RealityChap

No doubt this will get me a mouthful of abuse (I've tried but can do no more). Yes, it seems pretty clear that hydrogen will play a major part in future power supplies. The question is whether we will be part of it. And I'm not suggesting we won't be, but nobody knows if we will be.

In all reality (sic) , Bondy, there has never, ever been a material RNS. A material RNS would be defined, by me, as one which specifies how many units have been ordered, when they will be delivered, how much revenue will be generated and from which we might be able to have a reasonable idea of profitability for particular deals or more holistically.

The closest we have come to that is probably the arrangement with Speedy but even that is shrouded in mystery regarding the source of the £4m, and because actual income from renting the units out is way more important.

Every announcement that shareholders have got (over)excited about has been lacking in any of that important detail.

They certainly need to sell something! But my view would be that if either business really has commercial legs then the best thing would be for a major partner to come on board who will actually use the tech. The failure of Speedy (as far as we know) and Tamgo (which we definitely know) to get significant numbers of units out there and operating is of obvious concern.

Come on CN, enter into a debate. I tried to engage with you yesterday in the most civilised way possible.

A cash burn of more than £1m a month in the face of almost no sales is simply not sustainable, surely that's obvious to all. And nobody wants to see yet more dilution unless it's for material and immediate return - not just to keep the lights on. It is now over seven months since the last cash call which was for the purposes below and we are yet to see any clear indication that hose objectives are progressing.

· Investment in H-Power 30kW generators - rollout of initial Speedy Hydrogen Solutions' orders and, when placed, TAMGO orders;

· Investment in production equipment to support manufacturing scale up;

· Investment in Speedy Hire Joint Venture (Speedy Hydrogen Solutions); and

· Commercial development and corporate overhead

And, of course, the cracker. But I can't see any possibility at this stage that anyone can put any meaningful numbers forward for what that may contribute to revenue in the short term. Believe me, you will hear my cry of exultation from here if some blockbuster partnership comes along for it but I can't do anything other than wait and see for now

CN. I'd really like you to think about taking my response in the spirit that is intended, I'm fed up of pointless bickering.

It is just open and honest debate in an attempt to understand what is happening in a business that we both desperately want to succeed. I don't think for a second that anything posted on here has a material effect on the share price. That is driven by two things. Firstly the company's performance and secondly by institutional lack of interest in small cap companies.

Your maths omit one crucial factor - that is how much we are spending month by month which will certainly have reduced the cash balances, probably by something like £3.5m since the end of October (cash burn estimated at £1.3m per month)

And they also makes some assumptions which may or may not be justified. It is worth analysing further.

The revenue of £4m last year is certainly open to question. It came, as far as we know, from the joint venture, which, by definition, we must have funded to 50%. If that's right, and I can't see how it can't be, then the £4m is overstated on a groupwide basis.

Re projected revenue I'd like to see how the £11m is broken down. There are probably four possible sources:

Speedy

Tamgo

ABB

Nifty

Clearly none of the first three of those relationships has developed as quickly and as deeply as we would all have hoped. That is self-evident. With Nifty, the most specific estimate of when we will see some results there cite early 2025 but it seems inconceivable that the supply chain issues will not have impacted that timescale in some way and in any event the announcement of the sales agreement gave no numbers. The failure of the other three to deliver, as yet, cannot inspire confidence that this one will.

And lastly, re debt. The reason we have no debt is because it would be very difficult to acquire any at a sensible interest rate. Our main asset is IP which has not yet delivered commercially and unproven IP is not a great form of collateral. Being able to raise debt would be a good sign and could prevent yet further shareholder dilution, which is inevitable, at some point.

I think these are all valid points and I am certain that they all raise clear concerns about whether AFC can reach full commerciality and provide shareholders with a return. Which is what we all want.

Unfortunately these posts by Speedy just seem like PR puff. They're not irrelevant to AFC but they don't seem to be helping to power up much activity either

I can't say I'm bothered about the tie thing - I wore suit and tie for decades but the only times I have done so in the last four years have been at weddings and funerals!

But that apart I agree totally with this. This company has been built on the concept of zero emissions but the only thing that we have zero of at the moment is credibility. (Oh, and sales).

There simply has to be something wrong/missing for sales to have completely failed to take off and we need to know what it is and whether it can be resolved. We know there were supply chain problems but not much detail of their nature and whether they are a thing of the past.

I wasn't expecting significant news in the first week or so of the new CEO's tenure and I wasn't especially interested in getting some anodyne statement from him but time is rolling on and we are now nearly three months into the company's financial year and there has been precisely no commercial news of any sort in that period, despite at the least hoping that the CE mark for the ABB unit would have been confirmed by now.

The one positive is that Wilson brought a new CFO with him. Presumably he knew enough about the state of play by then that he could persuade his former and now current colleague that coming here would be a good move rather than career suicide.

The figure of 11.6 cents was the highest price at which AFC shares were traded on Tradegate yesterday. Whoever it was that bought at that price needs their bumps feeling given the spread was something like 16% at the time. For anyone to claim that high point was of any significance is clearly nonsensical.

Nearly 4 years since the deal in the desert

https://www.altaaqa.com/post/altaaqa-and-afc-energy

This was a weird quote from Altaaqa's Group President, given production of green hydrogen and ammonia wasn't even on the radar then

e are confident that together we will be a significant player in our Kingdom’s aim of becoming the world’s leading hub in the production of green hydrogen and ammonia.”

Are you talking to me? I'll tell you why it's not bashing - because we were expecting the CE mark in 2024 and it hasn't arrived yet has it? Strikes me as a perfectly reasonable question but you're another one who makes no points of any interest and refuses to engage in reasonable debate. And why you think I'm Garonne is a complete mystery. You're happy that the agreement with Altaaqa has delivered precisely nothing?

Maybe they will when the fabled CE mark is achieved?

Indeed, STAS - there's nothing I've seen that suggest the don't work as they should. We all know what he 'but' is though!

It's not their job to help it. Wide spread usually indicates a reluctance to take a position - and why would they?

I'm not bashing, Meggies. I'm being realistic. As I challenged CN (He's gone into his shell since claiming that Nifty were DEFINITLEY using our cells - odd that).

Can you point to one thing I've said that is wrong or unfair? Just look at the bl##dy share price! And if you think I'm Garonne you've got a screw loose.

I said immediately after the last Investor Meets, which was almost exclusively about the cracker. that my faith in fuel cells being a driver of material growth for AFC had been badly shaken - it just smacked of a lack of faith in the company's principal product range. Nothing (literally nothing!) has happened since that suggests that depressing view was misguided.

But during that presentation, in early November, Mike Rendall said (I'm not quoting word for word) that the system was available now. That raised hopes of some progress there, albeit tempered by experience. But two and a half months later there hasn't been any indication at all of a partnership/sale/external interest of any sort. Now, ten weeks or so, including the festive period, isn't a long time and maybe deals are in the pipeline and announcements are imminent but yesterday saw the ceremonial opening of the 'High Pressure Ammonia Cracker Test Facility'

Does the opening of a test facility tie in with the system being available ten weeks ago? It doesn't sound like it to me. I just wish someone would be open and honest with us. It's blindingly obvious that we have gone down multiple blind alleys in the last few years; is this another one or can we actually have some realistic hope?

Yes, Stas. But we know we have working fuel cell generators - albeit that the demand for them is yet to materialise. This is about the cracker.

You most certainly got abusive to everybody that told you , correctly, that the lack of news was nothing at all to do with the budget and the election.

It was a ludicrous suggestion when it was made. The fact you stuck to it so rigidly in the face of many numerous, perfectly civil, explanations of why it was nonsense, and even claimed the lack of news before those events somehow validated your perspective, does not suggest that you are an individual willing to become involved in reasonable debate.

And there we go...

I have never called anyone on here a moron. That's your speciality.

Your budget/election theory was ridiculous and demonstrably so. What was just beyond ridiculous and way past bizarre was your continuing insistence that it had any validity whatsoever even when we still have no news months after those irrelevant events.

Because you have a track record of doing so, Mr 123. You have no idea if anyone here has a personal agenda of anything other than wanting the share price to go up - I certainly haven't. But you've had plenty of baseless cracks at me, particularly when I pointed out just how nonsensical your adherence to your theories about the US election and the UK budgets were.

For the record I don't believe for a moment that anyone posting on here is in the pay of Helikon.

The problem, jgbb, is that there is nothing positive that anyone can say that at present has any basis in fact. The share price has collapsed, a plethora of targets have been missed, there have been no material sales of any of our products and multiple agreements have come to absolutely nothing.

Any positive statement at present is based on nothing but blind hope. Doubtless you will respond to that with juvenile insults but much as I wish it wasn't it's just an incontrovertible list of how things are.