AFC Afc Energy Plc

18 September 2024

AFC Energy PLC

("AFC Energy" or the "Company")

AFC Energy Launches Hyamtec to Drive Commercialisation of Ammonia Cracker Technology

AFC Energy (AIM: AFC), a leading provider of hydrogen power generation technologies, is pleased to announce the launch of Hyamtec Limited ("Hyamtec"), a wholly owned subsidiary of AFC Energy. Hyamtec has been established to commercialise the Company's next-generation distributed ammonia cracking business.

Highlights

·    Unique Technology: Ammonia crackers are critical to unlocking an affordable, scalable and accelerated route to hydrogen generation, enabling industries to decarbonise without requiring extensive new infrastructure.  

·    Proven Innovation: AFC Energy has pioneered the design and development of modular, compact ammonia crackers through years of investment and a team of industry experts.

·    Strategic focus: Hyamtec will drive the commercialisation of ammonia cracking technology, offering low-cost and scalable on-demand hydrogen production for industrial and mobile applications.

·    Key markets: Hyamtec is targeting:

o  Hydrogen-rich fuel gas for decarbonising industrial heat generation applications.

o  Ammonia conversion for large capacity combustion engines in power generation, marine and mining sectors.

o  Modular, purified hydrogen production for fuel cells and transport applications.

The Technology

Hyamtec's cracker technology has successfully demonstrated its flexibility to integrate with both ammonia combustion engines and technologies to purify hydrogen for fuel cell applications.  It offers a practical, scalable solutions for industries facing high decarbonisation costs and infrastructure challenges.

Strategic Rationale

Hyamtec will drive the commercialisation of ammonia cracking technology, supporting low-cost, scalable, and on-demand hydrogen production for industrial and mobile applications. As a wholly owned subsidiary of AFC Energy, Hyamtec will have increased flexibility in seeking financing for its growth.

Management Leadership

Dr Mike Rendall, currently Chief Technology Officer of AFC Energy's Hydrogen Processing Division, will lead Hyamtec as Managing Director, bringing over 25 years of experience in hydrogen generation technologies.

Dr. Mike Rendall, Managing Director of Hyamtec Limited, said:

"With over £40bn spent per annum on natural gas in the UK alone by industrial users, the global opportunity to displace fossil fuels in industry with ammonia is immense.  Hyamtec is focused on fast tracking the decarbonisation of industry through ammonia and our ammonia cracking technologies.  We have seen strong interest from investors and partners alike in our technology and market strategies, and as a leading pioneer in this sector, we look forward to partnering with industry to support the rapid decarbonisation of the world's hardest to abate sectors."

Gary Bullard, Chief Executive of AFC Energy plc, said:

"The global transition to net zero is driving the urgent need for innovative hydrogen solutions, and ammonia cracking is emerging as a key enabler for industries aiming to decarbonise. With years of investment behind us, AFC Energy has built a robust ammonia cracking technology that aligns perfectly with the needs of heavy industry. The creation of Hyamtec allows us to fully capitalise on this technology, bringing it to market in a way that unlocks new growth opportunities, both in the UK and globally.

We are excited to offer a scalable solution that can significantly lower hydrogen costs for industrial use without requiring extensive new infrastructure. This approach, combined with the strength of our existing fuel cell business, positions us to provide dual pathways for cleaner energy solutions. By showcasing the unique potential of Hyamtec, we invite strategic partners and investors to join us in accelerating the adoption of hydrogen technologies and driving the next wave of industrial decarbonisation."

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About AFC Energy

AFC Energy plc is a leading provider of hydrogen energy solutions, to provide clean electricity for on and off grid power applications. The Company's fuel cell technology is now deployable as electric vehicle chargers, off-grid decentralised power systems for construction and temporary power with emerging opportunities across maritime, data centres and rail as part of a portfolio approach to the decarbonisation of society's growing electrification needs.

The Company's proprietary ammonia cracking technology further highlights emerging opportunities across the distributed hydrogen production market with a focus on hydrogen's role in supporting industries facing challenges in decarbonisation, such as mining, cement and heavy engineering.