PowerHouse Energy Group PLC (LON:PHE) shares rose on Wednesday after revealing that, along with its development partner Waste2Tricity Limited (W2T), it has signed a lease for a plot on the Protos energy hub to develop its hydrogen-from-waste technology.
The group said the hub, located near Ellesmere Port in Cheshire, was expected to be the first full-scale commercial site for its DMG technology, an “important step” in its commercialisation strategy.
DMG converts waste plastic and tyres to hydrogen gas which can then be used to generate electric power or charge hydrogen fuel cells used in cars and other vehicles.
The company added that it would now focus on licensing the DMG technology on the site while W2T would complete power purchase agreements and secure a plastic supply.
The £700mln Protos site is being developed by Peel Environmental, a subsidiary of leading UK infrastructure firm Peel Group, and clusters complementary businesses involved in energy generation, associated supply chains, and energy-intensive industries.
PowerHouse’s chief executive, David Ryan, said the development was a “significant strategic development” and that the site would be an “ideal location” to showcase the DMG technology which in turn would pave the way for “other contracts in the pipeline to come to fruition”.
Myles Kitcher, managing director of Peel Environmental, added that the hydrogen generated by the site could be used to power buses and HGVs in the region, as well as being “the first of many opportunities to roll out the technology across other Peel sites in the UK”.
In afternoon trading, shares in Powerhouse Energy were 2% higher at 0.53p.
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