Sign up UNITED KINGDOM
Proactive Investors - Run By Investors For Investors

Ceres Power is “making fuel cells affordable”, says Edison

Long term value creation lies in royalty streams which could amount to hundreds of millions per year
Ceres Power is “making fuel cells affordable”, says Edison
Steel Cell is "one of the most cost effective and robust fuel cells ever developed"

Ceres Power’s (LON:CWR) technology offers a route to economically viable fuel cell-based systems for mass deployment, says Edison Research.

The AIM quoted technology group’s ‘Steel Cell’ technology is being advanced through industry tie-ups in Japan, Korea and the United States.

Steel Cell operates on mains gas and it is used to generate electricity. According to Ceres it is one of the most cost effective and robust fuel cells ever developed.

The Edison report, commissioned by Ceres, concludes that the company’s long term value creation lies in royalty streams created when energy generation systems incorporating Steel Cell technology are commercialised.

Success could amount to annual revenues in excess of £100mln, according to Edison analyst Anne Margaret Crow.

“For illustration, we estimate that, if commercialisation is successful, a 40% share of the Japanese CHP market and deployment in 20% of all boilers sold in Korea could generate c £130m annual royalty revenues,” she said in the report.

Crow added that just a 5% share of either the American or European boiler markets could each year add £60mln or £80mln of royalties respectively.

View full CWR profile View Profile

Ceres Power Holdings plc Timeline

Related Articles

Huge wave
September 26 2017
Phase 1A has already set a number of records, with over 2GWh of generation having been dispatched to grid.
Fuell cell
March 06 2017
"Delivery of the small-scale system's basic engineering in such a tight timeframe is further validation of the decision to collaborate with our strategic partner plantIng," said CEO Adam Bond.
Fuel cell stack
July 14 2017
Analysts at Berenberg said they believe Ceres Power’s core IP “is unique and scalable, using cheap, everyday materials, which could support mass adoption”

© Proactive Investors 2017

Proactive Investor UK Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use