Powerhouse Energy Group PLC (AIM:PHE), the cleantech company, could see a significant revenue bump next year thanks to its new ventures in Australia, it revealed on Monday.
National Hydrogen Australia signed a five-year framework deal with Powerhouse in February, with the latter agreeing to provide its technology and engineering expertise.
This partnership is expected to bring a front-end engineering design contract this year, while providing the potential for “significant revenue opportunities”.
Looking forward, National Hydrogen plans to roll out multiple hydrogen projects across countries such as Italy, Switzerland and Hong Kong.
Instead of Powerhouse providing capital for these projects, the group will work with the Australian company through a license fee and royalty model.
David Hitchcock, chairman, said: "The period under review has seen us re-assess where the focus of the business should be going forward.
“We strongly believe that by focusing on licensing fees and royalties and engineering services revenues we will deliver on this and ensure that we realise the full value for Powerhouse.
In addition to its Australian collaboration, Powerhouse said it has a long-term pipeline of promising projects in the UK and overseas.
This includes usage of a 2.5 tonne per day kiln for the Feedstock Testing Unit, which is expected to speed up the development of commercial applications for its tech.
Revenues for the 2023 financial year to December 31 reached £181,000, down from £308,000 in 2022, while cash finished at £4.34 million and operating losses hit £1.8 million compared to £2.1 million a year prior.