AFC Energy Plc - Manufacturing Contract with BK Gulf
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AFC Energy PLC
("AFC Energy" or the "Company")
Manufacturing Contract with BK Gulf
AFC Energy (AIM: AFC), a leading provider of hydrogen power generation technologies, is pleased to announce it has signed a binding Agreement with BK Gulf LLC ("BK Gulf") to support the immediate scale up of manufacturing capacity for delivery of its proprietary H-PowerTM fuel cell system.
· BK Gulf, a wholly owned subsidiary of Middle Eastern conglomerate, Dutco Group, is one of the region's largest specialist mechanical and electrical contractors.
· BK Gulf provides specialist design, engineering and fabrication services for bespoke, modular containerised systems.
· AFC Energy and BK Gulf have signed a binding Agreement for the scale up in manufacturing capacity for the Company's containerised fuel cell balance of plant.
· BK Gulf to invest in a detailed value engineering process to further optimise H-PowerTM system layout and drive cost reduction commencing immediately.
· Existing capacity to deliver several hundred fitted out containerised modules per annum to address future customer demand with first fabricated units expected in Q1 2021.
· Strong procurement strength, world class fabrication facilities and capacity to grow make BK Gulf an excellent partner.
AFC Energy and the Dutco Group commenced commercial discussions in
Today, AFC Energy and BK Gulf, a wholly owned subsidiary of the Dutco Group, and former joint venture partner of
As a leading provider of containerisation engineering and fabrication, BK Gulf have a strong supply chain with procurement leverage to provide a value for money solution for AFC Energy.
Under the Agreement, BK Gulf will not only provide investment in time and resources into the value engineering review, but also create a full turn-key solution for the balance of plant which AFC Energy will then assemble alongside fuel cell stacks, power conditioning and control systems.
Having investigated several suppliers, BK Gulf offered the most competitive solution, affording the highest levels of European standards in health and safety with a strong reputation for the quality of its work.
Based on the Company's current commercial pipeline, AFC Energy expects to place multiple orders of containerised balance of plant in 2021, including the ACCIONA project set for delivery in 2021.
BK Gulf will also work alongside AFC Energy in the provision of more bespoke skid mounted solutions where containers are not deemed appropriate for a given use case, building upon the value engineering work expected to be completed over the next couple of months.
For further information, please contact:
AFC Energy plc
+44 (0) 14 8327 6726
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WH Ireland - Nominated Adviser and Joint Broker
Mike Coe (Corporate Finance)
+44 (0) 117 945 3470
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M C Peat & Co LLP - Joint Broker
+44 (0) 20 7104 2334
Zeus Capital Limited - Joint Broker
+44 (0) 203 829 5000
Tuva Partners - Public Relations
+44 (0) 7900 205 460
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About AFC Energy
AFC Energy plc is commercialising a scalable alkaline fuel cell system, to provide clean electricity for on and off grid applications. The technology, pioneered over the past twelve years in the
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