AFC Energy PLC (AIM:AFC, OTC:AFGYF, ETR:QC8) has signed a contract to deploy its Power Tower hydrogen-based fuel cell generator at another UK construction site.
The Mace Dragados joint venture will lease the Power Tower unit during the second half of 2022 for what AFC said is a high-profile infrastructure project in London.
Mace Dragados has been responsible for numerous airport, railway station and residential developments globally, including the Birmingham New Street upgrade, Terminal Two at Mumbai International and work on the Spanish high-speed rail network.
It is the prime contractor for HS2’s new terminus at Euston in London.
The contract with Mace Dragados is in line with the JV’s zero-emission energy ambitions in areas with limited grid power and where diesel generators are used currently, said the statement.
AFC is setting up a number of pilots where its hydrogen-powered equipment is leased initially, while the next stage of the plan is to boost its sales to plant hire companies.
Adam Bond, AFC’s chief executive, added: “We are now working with a number of UK and European construction companies and are accelerating progress towards establishing a critical mass of large-scale deployment across these regions to enable the construction sector and other temporary power operators to transition away from highly pollutant diesel generators."
House broker Peel Hunt added it is the fourth recent agreement AFC has signed with a major construction company to deploy a PowerTower fuel cell system - Acciona, Keltbray and Kier Group are the other three.
AFC and Mace originally signed a strategic partnership for the construction market in March 2021 aimed at the transition from diesel generators to zero-emission hydrogen-fuelled power systems.
Mace Group is a global consultancy and construction firm, headquartered in London, employing approximately 5,000 people across five continents and with turnover in excess of £2bn.
Dragados is a subsidiary of ACS Group, a global infrastructure, bridge, dams, highway, high-speed rail, tunnel, airports and marine projects contractor, operating in 68 countries around the world. Revenues in 2021 were €12.3bn.
-- adds broker comment--