Last checked at 14 Nov 2011 07:00
14 November 2011
ITM Power plc
("ITM Power" or "the Company")
HFuel Cost Structure
Hydrogen Costs Below EU 2015 Targets
ITM Power (AIM: ITM), the energy storage and clean fuel company, is pleased to announce the cost structure of hydrogen generated by the Company's HFuel electrolysis platform. Combining the capital cost along with operating efficiency gained from completed HOST trials enables a representative hydrogen price to be derived.
The hydrogen costs are best expressed in £/kg and reflect both capital cost amortisation and electricity cost. HFuel can be switched on/off in a second and can be demand side managed as a smart load which could potentially result in electricity costs of less than 4p/kWh and potentially as low as 0p/kWh or negative electricity prices in some parts of Europe utilising a high percentage of intermittent renewable power.
Based on a 100kg/day HFuel system, hydrogen cost ranges from £3.88/kg (based on 4p/kWh and a 20yr Capex amortisation) to £10.71/kg (based on 8p/kWh and a 5yr amortisation). This compares to €9.90/kg (£8.49/kg) which is the European target (McKinsey) for 2015 coinciding with the major roll out of fuel cell vehicles across Europe.
Key HFuel information:
·; The HFuel product is modular in size from 5kg/day to 100kg/day unit size, which can be stacked together.
·; The HOST experience has shown an electricity cost of 6.5p/kWh provides the same cost per mile as diesel in an internal combustion engine vehicle, based on input electricity costs. Moving to a fuel cell platform would improve the economics very significantly.
·; The European cost target for hydrogen generation starts at €16.60/kg in 2010, reducing to €9.90/kg in 2015 and €5.50/kg in 2025.
·; A 100kg/day HFuel generation system with a 5 year amortisation and 4p/kWh electricity price produces hydrogen at a cost of £8.31/kg, which is lower than the European target for 2015.
·; After the 5 year amortization period, the hydrogen cost from the same system is £2.40/kg, which is lower than the European target for 2025.
The above analysis assumes 100% up time. The energy storage component (hydrogen storage unit) is quoted separately and is typically tailored to the user's specific requirements. The maintenance scheme is developed to match the installation site and usage profile. The costs associated with shipping the unit to site are not included as they are location specific. Targets are quoted from the McKinsey analysis, 'A portfolio of power-trains for Europe: a fact-based analysis'.
ITM Power CEO, Graham Cooley, commented: "Hydrogen from HFuel costs less than EU targets and is competitive with fuel on the high street today. What could be more compelling than an economic fuel made from renewable power that has zero emissions?"
For further information please visit www.itm-power.com or contact:
ITM Power plc Graham Cooley, CEO | 0114 244 5111 |
Nomura Code Securities Juliet Thompson / Dr Chris Golden | 020 77761200
|
Tavistock Communications Simon Hudson / Andrew Dunn | 020 7920 3150 |
About ITM Power:
ITM Power designs and manufactures Hydrogen Energy Systems for Energy Storage and Clean Fuel production. ITM Power has grown from its original platform of novel polymeric electrolytes (for water electrolysis and hydrogen fuel cells) to that of a technology provider. ITM Power now has both a strong base of intellectual property and engineering expertise for providing complete hydrogen solutions and CE marked products for sale. http://www.itm-power.com
About HFuel:
HFuel is a modular, transportable, low cost, on-site hydrogen production, storage and dispensing unit. HFuel can be operated as a demand side manageable load by power companies to store intermittent, renewable power. http://www.itm-power.com/cmsFiles/media/HFuel_Update_1111.pdf
About HOST:
Hydrogen On Site Trials are available to rent at a rate of £10,000 for the first week and £8,000 for subsequent weeks. The HOST scheme allows potential customers to see firsthand the operation and readiness level of the system on their own site in their own application.
http://www.itm-power.com/page/49/HOST.html
About HFuel Here:
The initiative to allows automotive OEMs to demonstrate the next generation of fuel cell vehicles alongside a sustainable hydrogen fuel supply at high profile events and will be launched at All-Energy in Aberdeen in 2012. http://www.itm-power.com/news/83/%91HFuel+Here%92+UK+Launch.html
About EcoIsland:
EcoIsland is a smart grid, hydrogen energy storage and clean fuel system based on the Isle of Wight. The partnership consists of (EcoIsland CIC, IBM, Toshiba, Scottish and Southern Energy, Southern Water and ITM Power) and constitutes a significant development in understanding the link between the storage of renewable power and its deployment as a clean transport fuel.
www.itm-power.com/page/62/
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