AFC Energy PLC (AIM:AFC, OTC:AFGYF) said it has signed contracts totalling over 8,000 hours for its hydrogen-powered H-Power Tower generators to be used at construction sites in 2023.
That compares to leases signed up to now in the UK and Europe for 7,000 hours of usage, it added.
Contracts this year include an extension to the Keltbray lease agreement for six months on the M621 highways project in Leeds and a new agreement with Taylor Woodrow.
AFC added it had also rejigged its price structure to get earlier capital payback, with significant cost reductions also targeted for 2023.
Existing H-Power Tower deployments are being delivered under commercial lease hire agreements which, at present pricing, deliver a capital payback within two years.
Going forward, the aim is for a material reduction in capital cost per system, measured on a per kW basis, which, together with 50% efficiency achieved on fuel conversion in the field to date, creates a platform for hydrogen fuel parity with diesel, AFC said.
Adam Bond, AFC’s chief executive, added: "It is great to see the strong market interest in AFC Energy's new hydrogen power generators and particularly the uptake in the H-Power Tower launched last year.
“We continue to see growth in our pipeline for 2023 and look forward to working with new customers, both here and across Europe to affirm hydrogen's role in supporting the decarbonisation of hard-to-abate sectors like construction."