AFC Energy cleared to sell hydrogen from pilot ammonia cracking plant, bringing revenues forward

AFC Energy cleared to sell hydrogen from pilot ammonia cracking plant, bringing revenues forward

AFC Energy PLC (AIM:AFC, OTC:AFGYF, FRA:QC8) said the UK Environment Agency has revised its research and development permit to allow the export and sale of low-carbon hydrogen produced at the company’s pilot ammonia cracking plant, a move it said would accelerate revenue generation by “a number of months”.

AFC said the revised permit will allow it to sell hydrogen from its Dunsfold facility to hydrogen off-takers.

John Wilson, chief executive of AFC Energy, said:

We are delighted to have agreement from the Environment Agency to enable the export and sale of our own low-carbon hydrogen produced from our ammonia cracker at our Dunsfold facility.

Wilson added:

This accelerates revenue generation for AFC Energy, from hydrogen production, by a number of months.

AFC said the permit revision “evidences the significant progress” it has made in producing ISO 14687 grade D hydrogen, which it described as “99.97% pure hydrogen”, and “the robustness of our internal safety protocols and procedures”.

It said the change also gives it “further flexibility in the timing of the relocation of the Dunsfold pilot cracking plant”, because training of operatives “in a live environment can now be conducted at Dunsfold”.

Investors were told it is working with its joint venture partner, Industrial Chemicals Group, to establish hydrogen production at the partner’s Port Clarence site in Middlesbrough using multiple Hy-5 ammonia cracker units.

AFC said each Hy-5 unit is capable of producing up to 500 kilograms of hydrogen per day, and that the joint venture is engaging with the Environment Agency “at both local and central levels” to create a permitting framework for future deployments across the UK.

It said its pilot ammonia cracker site at Dunsfold can produce up to 300 kilograms of hydrogen per day in its current configuration.

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AFC Energy cleared to sell hydrogen from pilot ammonia cracking plant, bringing revenues forward, source