AFC Energy PLC (AIM:AFC, OTC:AFGYF)'s share price rose 4% following its announcement of an advancement of its ammonia cracker reactor technology.
The company said it has achieved a significant reduction in electrical power consumption for hydrogen production, now requiring only 9.5 kWh per kilogram of hydrogen, marking a 33% decrease from its previous design in 2023.
This efficiency milestone achieved a year ahead of schedule, sets a new industry benchmark and exceeds the European Parliament's requirements for electrolysers.
AFC Energy's reactors can now reach full operational capacity in just 10 minutes, a major improvement from the hours previously needed.
The technology not only optimises heat and waste hydrogen utilisation but also promises high hydrogen purity levels, as demonstrated by the successful charging of electric vehicles.
In a note to clients, broker Liberum said the development by AFC underlined the "attractiveness of the company’s next-generation modular ammonia cracker reactor technology".
The investment bank reiterated its 'buy' advice and 85p a share price target, which it called 'undemanding' based on its sales forecasts.
In late morning trading the stock was up 0.6p at 15.24p.