18-May-2010

ACAL Energy Completes Funding Round

Cheshire, UK – May 19th 2010 – ACAL Energy, the developer of affordable and reliable Fuel Cell Engines based on platinum free FlowCath® technology, has completed a funding round worth £3.5 million that will provide a strong boost to the development of its core FlowCath® technology. Additional investment funds are expected in a second close later this summer.

The funding has been raised from existing investors, led by Carbon Trust Investments and supported by Solvay SA, Porton Capital and a leading Japanese automotive corporation. The funds will be used to complete development of ACAL Energy’s ground breaking FlowCath® platinum-free cathode technology and introduce first commercial offerings. An OEM evaluation kit is planned for availability later this year and a first Fuel Cell Engine product incorporating FlowCath® will be sampled to prospective customers in 2011.

ACAL Energy believes its FlowCath® technology is ready for application in small and medium sized stationary power applications, replacing diesel generators in back-up power systems, combined heat and power (CHP) installations and remote power uses. Larger-scale stationary power and transport applications are planned for the future.

“This further investment by our institutional financial and strategic investors is a strong endorsement of our technology and our Company”, says Dr SB Cha, CEO of ACAL Energy. “It recognises our recent progress and the significant market potential we see for low cost, reliable fuel cell engines.”

Jonathan Bryers, Partner at CT Investment Partners said “We are delighted to be leading a further investment round into ACAL Energy following extensive technical and cost due diligence and welcome the continued support of Solvay and our other co-investors. We are excited at the opportunity we see with ACAL Energy as a UK clean energy technology company that can provide breakthrough cost and performance benefits in an internationally competitive field”.

Over the last year, ACAL Energy has achieved several important milestones, including achieving a peak power density of nearly 800mW/cm2, the development of new, potentially higher performance chemical systems, and the scale up from a 50W integrated system to a 1.5kW laboratory demonstration system. In March, a model hydrogen fuel cell system was launched to great acclaim at Japan’s FC EXPO.