29th Jan 2008 07:01
Ceramic Fuel Cells Limited29 January 2008 29 January 2008 Quarterly Cash Flow Report Ceramic Fuel Cells Limited, (AIM / ASX: CFU) a leading global fuel celldeveloper, has released its cash flow report for the second quarter, ended 31December 2007. The report is available on the company's website: www.cfcl.com.auand also as set out below. Financial Review Net operating cash outflow for the second quarter was A$4.7 million, which wasin line with the previous quarter. Expenditure on Research and ProductDevelopment was higher than the prior quarter due to the expenses of some priorquarter activities being paid during this quarter, and the costs of building anumber of NetGenPlus(TM)units that started shipping to utility customers andappliance partners at the end of the quarter. Capital expenditure was lower in the quarter as the Company concluded itsMelbourne plant upgrade and construction of its powder plant at Bromborough,United Kingdom. Capital expenditure was A$1.3 million for the quarter, asagainst A$2.4 million for the previous quarter. Total cash and financial assets at the end of the quarter was A$47.1 million. Operational Review UK Powder Plant During the quarter the Company completed the installation and commissioning ofits high quality ceramic powder plant in Bromborough, Merseyside, UK. The planthas successfully produced zirconia powder required in precise formulations forthe manufacture of many types of solid oxide fuel cell and a broad range ofother products. Product development The Company continues to make good progress on the micro combined and heat(m-CHP) product development projects with its utility customers and appliancepartners in four key European markets: •Gaz de France and De Dietrich Thermique in France; •EWE and Bruns Heiztechnik in Germany; •E.ON UK and Gledhill Water Storage Ltd in the UK; and •Nuon and Remeha Group in Holland. In November 2007 the Company was awarded European "CE" safety approval forNetGenPlusTM, its prototype m-CHP system designed to generate electricity andprovide hot water and central heating for homes and small businesses. In December 2007 the Company shipped a NetGenPlus(TM)unit to its German partnerBruns Heiztechnik. After the end of the quarter the Company also shippedNetGenPlus(TM)units to its appliance partners De Dietrich Thermique in Franceand Gledhill Water Storage Ltd in the UK. The Company receives revenue from eachof these deliveries. These NetGenPlus(TM)units will be integrated with high efficiency boilers tocreate m-CHP products for European markets. The Company expects these integratedunits to be commissioned during Q2 2008. Japan After the end of the quarter the Company signed an agreement with PalomaIndustries Ltd of Japan to evaluate and develop m-CHP products for the Japanesemarket by integrating CFCL's advanced fuel cell module with a Paloma homeheating appliance. CFCL will supply Paloma with a NetGenPlus(TM)unit for Paloma to operate at itssite in Japan. The unit is expected to be delivered in mid 2008. Using theresults of the real-world product operation CFCL and Paloma will design anddevelop integrated m-CHP products for the Japanese market. Fuel Cell Volume Manufacture The Company is continuing its progress on the large scale fuel cell plant at theOberbruch industrial park in Heinsberg, Germany. The Company is continuing tofinalise its project plans, including the scale up of the plant and the projecttiming and cost. The Company is also finalising partnerships with globalsuppliers to establish the supply chain for volume manufacturing. The Companywill update shareholders on progress shortly. Cell and Stack Manufacturing During the quarter the Company continued to manufacture metal-ceramic stacks atits upgraded facilities in Melbourne. CFCL's Gennex(TM)fuel cell modules,comprising metal-ceramic stacks and new balance of plant components, are beingintegrated into NetGenPlus units for product development partners. The Companycontinues to make technical improvements in degradation and durability which arethe key metrics for commercial fuel cells. ENDS For further information please contact: Ceramic Fuel CellsAndrew Neilson Tel: +61 419 950 771 Email: [email protected] Hogarth Partnership (PR for CFCL) Tel: +44 (0) 20 7357 9477Sarah MacLeod / Sarah Richardson / Vicky Watkins Libertas Capital (NOMAD for CFCL) Tel: +44 (0) 20 7569 9650Aamir Quraishi / Andrew Hardy About CFCL Ceramic Fuel Cells Limited is a world leader in developing solid oxide fuel cell(SOFC) technology to provide reliable, highly efficient and low-emissionelectricity from widely available natural gas and renewable fuels. CFCL isdeveloping SOFC products for micro combined heat and power (m-CHP) anddistributed generation units that generate electricity and heat for homes. CFCL is developing m-CHP products with leading appliance partners and utilitycustomers in Germany, France, the United Kingdom, Holland, and Japan. CFCL islisted on the London Stock Exchange AIM market and the Australian SecuritiesExchange (code CFU). www.cfcl.com.au This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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