Last checked at 11 Nov 2008 07:00
AFC Energy plc
("AFC Energy" or "the Company")
Progress update and board changes
Fuel cell delivery update
The Company's technical team has mapped out a program of work that needs to be undertaken to provide a detailed assessment of the fuel cell system. This work program is making progress and is expected to be completed in the coming weeks. Once it is completed, the Board will provide an update to the market on timing for delivery of its first fuel cell systems to AkzoNobel, with whom we continue to co-operate closely.
Board and management changes
Gerard Sauer, CEO of AFC Energy, will be leaving the Company to pursue other interests.
As the Company moves from development to commercialisation of its fuel cell systems, certain Board and management changes are being undertaken to reflect this progression. As a part of this process, Brian Wilson, Non-Executive Director, will step down from the Board.
Chairman Tim Yeo, commented: "I would like to thank Gerard and Brian for their considerable contributions to the Company through IPO and its development phase."
Following these changes, the Board will comprise the Chairman, Technical Director, Finance Director and three non-executive Directors. The managing director, referred to below, will report directly to the Chairman, Tim Yeo.
At the operational level, AFC Energy has recently made two senior management appointments. These include the appointment of Terry Walsh as commercial director focusing on business development within the Chlor Alkali, Waste to Energy and Petrochemical industries. Terry joined the Company with a 17-year track record in industry and retail, including ICI where he held the position of Energy Trading Manager, and INEOS Chlor, one of the largest Chlor Alkali businesses in Europe, where he held the title Business Manager. The Chlor Alkali sector is a key market segment for AFC Energy's products.
Ian Balchin has joined as interim managing director on a part-time basis. He brings extensive experience in technology based businesses across many sectors. He was previously Chief Executive and Executive Vice-Chairman of Stanelco Plc, the Full List bioplastics and radio frequency equipment business. It is envisaged that the appointment of a permanent CEO will be considered in due course.
Chairman of AFC Energy, Tim Yeo, commented "The new management appointments are further evidence of the continuing progress of AFC Energy towards commercialisation. The revised Board and additional senior management structure reflects the focus of the business going forward, and positions the Company well as it looks to develop markets for its fuel cell technology."
Cash position
The Company raised funds in a share placing earlier this year, and as at 31 October 2008 had £3.8 million cash at bank. The directors continue to monitor expenditure carefully, and are currently implementing cost-saving measures to keep the monthly burn rate at acceptable levels.
ENDS
For further information please visit www.afcenergy.com or contact:
| AFC Energy plc Tim Yeo, Chairman Ian Balchin, Managing Director Simon Walters, Finance Director | 01483 276726 |
| Blue Oar Securities Shane Gallwey / Andrew Raca / Matt Marchant | 020 7448 4400 |