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Development and Commercial Supply Agreement

12th Dec 2011 07:00

RNS Number : 7451T
Acta S.p.A.
12 December 2011
 



 

Press Release

12 December 2011

 

Acta S.p.A.

 

("Acta" or "the Company")

 

Development and Supply Agreement with

CBIL for Oxygen-Hydrogen Gas Welding System

 

 

Acta S.p.A. (AIM: ACTA), the clean energy products company, is pleased to announce that it has signed a Development and Commercial Supply Agreement ("the Agreement") with Chalumeaux et Bruleurs Industriel Lefevre S.A. ("CBIL") for the development and supply of portable welding equipment based on Acta's oxygen-hydrogen generator stack technology.

 

CBIL is a specialised, medium-sized French producer of gas-based welding and related equipment for the industrial, professional and military markets, and their market-leading products include patented welding torches and technically advanced gas compression and storage systems.

 

Under the Agreement the parties have committed to completing the development of a portable oxygen-hydrogen welding system and the production and commercial distribution of the system to industrial and professional users within France, Luxemburg and Belgium. CBIL also intends to use its established relationships with major French DIY retail chains to sell to the plumber and DIY/hobby markets within these countries.

 

Acta and CBIL are working together to complete the development of the final product over the next three to six months and expect the finished product to go into production and be on sale by the middle of 2012. The Agreement outlines the purchase and supply conditions between the parties, including exclusivity within France, Luxemburg and Belgium, and minimum purchase volumes increasing from 300 units in 2012, to 600 units in 2013, and to 1,200 units in 2014, excluding the DIY market. At the agreed pricing the minimum units are expected to generate approximately 1 million in revenues for Acta in 2014.

 

Acta has already sold its first oxygen-hydrogen generator stack to Groupe Bécu, the parent company of CBIL, and has successfully demonstrated the working prototype of the PUREFlame 300 welding system to CBIL and a large local plumbing services company. As Acta's electrolyser stack produces hydrogen and oxygen separately on either side of a membrane, the PUREFlame 300 system provides an ideal gas flow for the CBIL welding torches, keeping the gasses separated all the way from production to the point of ignition and use, thereby greatly improving user safety.

 

The system offers substantial advantages over existing welding systems by removing the cost and inconvenience of gas supply bottles while retaining the safety of separate gas supply lines. The low cost and high safety profile of the system is also expected to allow entry into the DIY and hobby sectors for the first time for an oxygen-hydrogen gas-based welder.

 

Paolo Bert, Chief Executive Officer of Acta, said, "This commercial partnership with Groupe Bécu shows the outstanding potential of our award-winning stack technology in current commercial hydrogen applications. The purchase commitments over the next three years indicate both the confidence that Groupe Bécu have in the commercial viability of the system and the exciting revenue potential within only three countries, even excluding entry into the very large DIY market.

 

CBIL is an ideal partner for us at this stage of commercialisation, with sector-leading technology in oxy-hydrogen welding systems and a strong share in their home markets. We believe that the portable welding system will have equal appeal in each of the major European markets, as well as in the US and beyond. We are already receiving additional commercial interest in the system, and we are actively seeking partners and distribution channels in these other markets. We look forward to the launch and full commercial sale of the finished product during the first half of next year."

 

Henri Bécu, Chief Executive Officer of CBIL, said, "We are pleased to be working with Acta on this important new application, which we believe will bring a new product class to the market in low cost, portable welding systems."

 

- ENDS-

 

For further information please contact:

 

Acta S.p.A

Paul Barritt, Chief Financial Officer

 

 

Tel: +39 050 644281

www.actagroup.it

www.actaenergy.it

 

Altium Capital (Nominated Advisor)

Adrian Reed / Phil Frame

 

Tel: +44 845 505 4343

 

Seymour Pierce Limited (Broker)

Freddy Crossley/David Banks

 Tel: +44 (0)20 7107 8000

 

 

 

Media enquiries:

 

Abchurch Communications Limited

Mark Dixon / Ashleigh Lezard / Jamie Hooper

[email protected]

 

Tel: +44 20 7398 7729

www.abchurch-group.com

 

About Acta S.p.A.

 

Acta S.p.A. is a developer and manufacturer of a range of clean energy products. Its product line includes market-leading compact hydrogen generators (electrolysers) which produce pure, dry and compressed hydrogen in a way that is easy-to-use and completely safe, and the Company is committed to integrating its award-winning electrolysers with renewable energy sources.

 

Acta's cost-competitive electrolysers are based on its proprietary, inexpensive environmental catalyst and hydrogen conversion technologies. These products help overcome the barriers to the adoption of fuel cells, most notably the lack of a local hydrogen infrastructure.

 

Acta's low-cost hydrogen generators represent a unique breakthrough in electrolyser technology. They can operate using mains power or intermittent renewable energy, and produce clean, dry hydrogen already at pressure for use in fuel cell and other applications. This unique combination of features avoids the system complexity and energy cost of further cleaning, drying and compression of the hydrogen, resulting in a simple, compact, low-cost and highly efficient system that is ideally suited for energy conversion and storage applications. In such applications, which include battery replacement and renewable energy storage, low cost and high efficiency are critical to commercial viability, while hydrogen compression is essential for the energy density of the system. No other water electrolyser currently on the market offers this combination of benefits.

 

Acta is focusing on delivering its products to markets with high volume demand for high-value environmental solutions (transport, back-up power, energy and leisure). It is accelerating the commercialisation of its products via partnerships with original equipment manufacturers (OEMs), distributors, and agents in these sectors, and intends to drive down production costs at high volume via contract manufacturing.

 

Acta S.p.A. is based near Pisa, Italy, and was admitted to trading on AIM in October 2005.

 

www.actagroup.it www.actaenergy.it

 

 

About Groupe Bécu

 

Groupe Bécu is a leading supplier of welding equipment, gas compression and storage equipment, and gas mixing and control systems within the French market. It works in the industrial, professional and military markets, and its expertise includes advanced welding systems (through its subsidiary CBIL), high pressure gas storage and large scale heating systems.

 

http://www.groupe-becu-gaz-booster.com

This information is provided by RNS
The company news service from the London Stock Exchange
 
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