Ceres Power Share Discussion Threads

[smokey 1o3] 14/8/2014 14:48

Larry

You tell me I cant think of one thing the others could compete with Navien/Ceres on.

[larry335] 14/8/2014 13:33

Thanks Smokey.
The 2014 Ceres presentation seems to back that view up. It seems to suggest a target boiler price of $7000 (£4200) for annual volumes of 20,000 leading to $4000 (£2400) presumably in higher volumes and the power out is still at 1kW.
If there is a launch in the UK, and I guess that is at least a year or two away, how do you see that competing with other mCHP boilers already on the market (like Baxi Ecogen) and those that will be on the market by that time like the FlowGroup boiler?
What do you think are the selling point advantages of a fuel cell boiler over these others techs?

[smokey 1o3] 14/8/2014 10:31

Larry
Don't think so.
As far as I can gather British Gas are still in the frame in so far as they are going to sell the Navien product in the UK and it will be a CHP model similar to the one they were developing with Ceres before.#Lets wait and see though!
Forget Bluegen its too big for the domestic market and not so technologically advanced.

[andrbea] 14/8/2014 08:07

100k buy (9900 quid)

14/08/2014 08:02:27 CWR 9.90 O 1,434
13/08/2014 16:35:07 CWR 9.60 UT 32,552
13/08/2014 16:17:38 CWR 9.86 O 1,000
13/08/2014 16:03:49 CWR 9.90 O 100,000

[andrbea] 13/8/2014 12:31

sustained buying, sometimes at a premium
could retest year-high....
up 7%

[larry335] 11/8/2014 10:55

Seems more suited to the KD Navien water heater (than the boiler)...I think KD Navien have significant presence in the US market with that... I guess that part where the climate suits. If they can incorporate the steel cell into that product there is already an existing market...Easier to enter an existing market than force a new one with a completely new product (e.g. like Bluegen)

[larry335] 07/8/2014 07:34

Thanks very much for that Smokey. Yes £250 would make more sense and is more or less in line with the info in the link below, so that would be good if they manage that.

www.h2fcsupergen.com/wp-content/uploads/2014/01/Towards-Subsidy-Free-Fuel-Cells-Dr-Mark-Selby-Ceres-Power.pdf

The quoted efficiency is >50%. So it seems more suited to a Bluegen type of product than a boiler. At 50% efficiency the waste heat is not enough to heat a house (1kW for electricity and 1kW for home heating would be useless). So to me, if used in a boiler there is more complexity there for the heating as some energy must come direct from the gas burned and the rest from the waste heat of the cell to go to the heat exchanger(s). I guess that adds to boiler cost.
And there is no real advantage of a fuel cell in a boiler, system efficiency wise, over other techs, because all techs can have above 90% system efficiency in a boiler(e.g. Stirling engine , ORC).
If used in a Bluegen type product what happens to the waste heat?
I could imagine (if possible with this steel cell) that a new product the size of a microwave (maybe a bit bigger) fitted next to a water tank (to utilize the waste heat for just hot water) would find a market in the UK.
I think the Ceres cell would be an advantage over CFU. The Bluegen seems just too big and expensive.
But of course with this type of product it is a completely new additional purchase/product for a household so cost is even more critical...

[smokey 1o3] 06/8/2014 21:55

The position in 2012 is described below.

If costs can come down further we are talking circa £350 per unit [£250 for high volumes]which is well below what you have in mind?

It definitely works, it is competitive, much smaller than Bluegen in the home environment, and is British Technology, so hooray!

BTW British Gas is not out of the picture [still mentioned on Ceres website] and is IMHO likely to be the distributor of the Korean product in the UK {just my conjecture]

Larry don't miss the boat!! Rejoice!!

"An independent review conducted by Booz & Company, in conjunction with AEA Technology, has confirmed the low cost capability of the Ceres micro-CHP product design. Based on quotations from the Company's supply chain partners and applying cost-down experience curves for similar mass volume technology products, the independent review validated the variable cost estimates of Ceres 1kW CHP product to be circa £2,500 and circa £1,750 at volumes of 20,000 and 100,000 per annum respectively (this includes the fuel cell stack of circa £380 and circa £250 for the same volumes)."

[larry335] 06/8/2014 19:57

It would be interesting if they could indicate a target price for the mass produced steel cell. They say they are going to lower the cost but the cost is so high at the moment, they need a dramatic reduction to make it even remotely viable in a domestic product. I reckon the cost needs to be down to a few hundred quid, max a grand. Is that ever going to be possible? And what product will they put it in to access a large market? It doesn't seem suited to anything existing.
Even if they got a deal with a partner to make something like the CFU Bluegen and it was half the cost of the Bluegen, I can't see it grabbing a large market.
And realistically how far is 700 grand going to go?
No real numbers here or concrete plans since the failed boiler development...
In all these partnerships how much are the partners spending?

[fredd] 06/8/2014 07:25

RNS Number : 3485O

Ceres Power Holdings plc

06 August 2014

6(th) August 2014

Ceres Power Holdings plc

("Ceres", "Ceres Power", or "the Company")

Ceres Power and DEK receive GBP0.7million funding award to Accelerate Manufacturing

Ceres Power, a world-leading developer of low cost, next generation fuel cell technology, and DEK*, the UK-based global provider of screen printing equipment and processes, are pleased to announce that they have been awarded GBP0.7million of funding from the UK's innovation agency: the Technology Strategy Board, as part of its Fuel Cell Manufacturing and the Supply Chain collaboration initiative.

The award co-funds a GBP1.1million collaboration project that will combine DEK's latest high speed photovoltaic manufacturing processes with Ceres existing manufacturing capability to scale up its low cost Steel Cell production in response to growing market opportunities.

Until now the high cost of fuel cell technology has restricted widespread adoption. The unique Ceres Steel Cell is one of the most cost effective and robust fuel cell technologies developed, using the existing gas infrastructure to generate power at the point of use.

Phil Caldwell, CEO of Ceres Power, comments:

"We are very pleased to be working with global industry leader DEK to scale up our manufacturing capabilities in response to the growing commercial demand for this technology. This award is further validation of our unique Steel Cell technology, which can be mass manufactured using conventional materials and established processes from the PV industry and provides the step change in cost that fuel cells need for widespread adoption."

Brian Lau, Director of DEK Solar, adds:

"DEK Solar has been committed to the development of alternative energy solutions for decades, dating back to our first fuel cell endeavour in 2000 and extending today to our leadership position in solar cell metallization. We are delighted to be in partnership with Ceres Power to help deliver a cost-competitive fuel cell process to enable clean energy alternatives. Adapting DEK Solar's award-winning printing solutions to provide lower fuel cell costs through highly efficient manufacturing processes, we are confident that the Ceres Power solution will help proliferate the use of fuel cell technology around the world."

[larry335] 18/7/2014 08:34

"This funding will enable the Company to advance the development and commercialisation of our low cost Steel Cell technology across different markets and applications, with our world class partners."
A lot of similar waffle as before but no specific details.
What happened to the Ceres boiler that was supposed to be released in the UK in 2016?
Ceres were working with British Gas. What happened to that? Why an agreement with a S. Korean boiler manufacturer now? If they can't get a boiler for UK market why should Korea be any better? The Korean subsidy for fuel cell is running out isn't it? Ceres seem to be getting more and more desperate to find somewhere to put this tech. but no real idea what product it is best suitable for.

[cerrito] 12/7/2014 23:40

Thanks for that Paulypilot and I would agree with your conclusions given the price at which the shares were issued.
Note your info that expenses are £400k which is par for the course; I hope that when the shares are admitted for trading and the deal closed the company will tell us the net proceeds. Expenses at 2% is par for the course.
Given cash burn in calender 2013 was £4.7m approx the amount raised should keep them going for some time though I guess the cash burn will increase.
I have some here; may add more on weakness
Meanwhile this is what today's FT said:
Ceres Power the tech­nology developer for fuel cells, has recharged its own financial batteries with plans for a £20m fundraising, writes Michael Kavanagh.
The proposed issue at 8.5p a share follows several false dawns for investors in the Aim-quoted venture that originally planned to manufacture as well as design combined heat and power boilers and other fuel cells for domestic and commercial use.
The refinancing follows radical surgery to the company, founded in 2001 with the ambition of commercialising technology developed at London's Imperial College during the 1990s.
Last year the lossmaking company trimmed annual operating costs by nearly half to £10m and appointed a new board and management. It now aims to strike licensing deals with large manufacturing partners rather than invest in being a "product company" in its own right.

[paulypilot] 12/7/2014 14:07

Hi,

We've reviewed last week's Placing, and concluded that it's a good deal.
Would be interested in your views - were you happy with the fundraising being just a Placing, or did you want an Open Offer too?



Regards, Paul.

[ch1ck] 11/7/2014 07:47

Wow what an amazing announcement. It looks like this is now becoming a reality.Having said that i sold 50% a few weeks ago and the remaining 40% yesterday because I had a feeling they may cut back with low volume supporting the rise.I expect the price to drop over the next few weeks then take off.I will be a buyer

[aircraftfixer] 16/6/2014 20:27

Hi I'm wondering what is the difference between ceres power holdings and just the ceres power shares? Cheers

[andrbea] 13/6/2014 15:03

same article:

Then there is Ceres Power, already listed, whose boss Phil Caldwell is formerly of Intelligent Energy. Their model is to market their intellectual property to the big beasts of Asia, where fuel cells are a much bigger deal.

Many firms in Japan, for instance, thrive on buying patents and using them to mass produce improved versions of their own products.

Ceres Power recently signed a one-year agreement with South Korea's largest boiler manufacturer KD Navien, under which its fuel cells will go on trial with a view to developing products for Asian mass markets.

Caldwell says: 'The reason US and Asian fuel cells are doing well is because people have exposure to them. In Japan there are adverts for them on TV.

Read more:

[andrbea] 13/6/2014 15:02

the mkt caps of US peers are much higher (see first figure). The year-on-year growth in share price in the US is much higher too. Plug Power is up 1663% !!!



And Ceres is focused on the fastest growth market (Asia).... and has the smallest mkt cap of the UK peers...

[andrbea] 12/6/2014 11:46

ceres in the list of firms at the bottom

hxxp://www.busbyway.com/2014/06/09/growing-focus-on-clean-technologies-drives-demand-for-fuel-cells-according-to-new-report-by-global-industry-analysts-inc/

[andrbea] 06/6/2014 10:34

tks, a good read that:

Ceres' fuel cells are cheaper because they do not use lots of expensive platinum as a catalyst, like in PEM cells, or ceramics like solid oxide fuel cells. They are 95% steel. There were problems with robustness associated with cycling, repeatedly switching the fuel cell on and off, admits Caldwell, but these have been solved with a new anode. The company is also using screen printing manufacturing techniques pioneered in the solar photovoltaic industry to increase manufacturing rates. Having addressed these and other similar challenges is what puts the company ahead of the game, he says, and means OEMs are coming to them to licence the technology.

Ceres' second priority is the US market, where Caldwell says business has a growing need for reliable power supply – research indicates grid outages are estimated to cost the US $80bn a year. For example, internet businesses like Google, Microsoft and Ebay want reliable power for their datacentres. Fuel cells are a good fit for use in datacentres because their high power demand is met inefficiently by centralised electricity networks. Distributed, on-site generation from sources like fuel cells make sense.

Ceres is making a play for the US industrial market via a recently announced partnership with US engine –maker Cummins. Alongside the partnerships in Japan, it looks as if the company is finally set to reap the benefit of years of engineering development. "Fuel cells are an everyday thing in Asia now – there are adverts for them on Japanese TV – it just hasn't hit in the UK and Europe yet," says Caldwell.

[smokey 1o3] 05/6/2014 16:54

Interesting link

hxxp://t.co/WJ2h6SVUN6

[jammytass] 22/5/2014 15:42

starting to grow 10p plus year end

[transforma] 03/5/2014 22:58

ITM Power: $2.1m Second Refuelling Station in the US
www.itm-power.com/news-item/second-us-hydrogen-refuelling-station/

ITM Power: £0.6m Renewable Urea with Waitrose
www.itm-power.com/news-item/0-6m-funding-to-design-and-build-a-pilot-unit-for-fertiliser-production-from-renewable-energy/

ITM Power: £2.8m Contract for 3 Refuelling Stations in London:
/www.itm-power.com/news-item/2-8m-contract-to-supply-three-refuelling-stations-in-london-2/

All in one month!

[fredd] 12/3/2014 09:41

Extracted from the above link

Chief Executive's statement

Since becoming Chief Executive at Ceres Power I have led with a strong focus on customers as this drives the business to deliver not just commercially but also technically, which in turn provides us with the greatest validation of the potential for our technology. Over the past six months we have welcomed leading companies from the power sector around the world to our facility at Horsham and they have all left with a very positive view of our capabilities. The subsequent level of commercial interest has exceeded our expectations and the focus for the rest of 2014 will be to convert our relationships to the next level while developing further partner relationships by geography and by application and continuing to achieve our internal targets against our technology roadmap.

Commercial Progress

The most exciting part of the past six months has been seeing our technology successfully tested on customer sites in Korea and Japan. This confirms the confidence that we have in the performance of the Steel Cell technology with third party validation by some of the most experienced engineering companies in the world and we expect further evaluations in the USA and the Far East later this year.

We have met key milestones in our partnership with KD Navien, the largest boiler company in South Korea with annual sales of over 1 million units and an export market which is growing rapidly at over 40% /year in its new target markets such as the USA.

In January we shipped our first fuel cell power system to KD Navien which has undergone successful initial testing in Seoul to date. The next phase of the programme would be to jointly develop a product for the Korean and international markets based on the Steel Cell technology.

In Japan we have several global OEMs testing the Steel Cell technology as a follow on to successful testing conducted in the UK over the past six months. These customers are exploring different market applications for the technology, including residential at 1 kW level and light industrial at 5 kW. As a result of this positive level of engagement in the Japanese and Asian markets we are opening a commercial office in Kyoto, Japan, next month.

Advancements in the efficiency of the technology have opened up the opportunity for us to begin to explore other applications, with a particular focus on the North American market. As announced recently we have signed a joint development agreement with Cummins Power Generation, a global provider of power generation systems, including those for the data centre and back up-power markets. It is a subsidiary of Cummins Inc., a global power leader with over US$17bn of revenues in 2012. The purpose of the collaboration is to explore the joint development and commercialisation of the Steel Cell technology for products in Cummins' existing markets.

Technology progress

Recent outputs from core cell technology development have resulted in the highest gross efficiency achieved by the a Ceres system of 54%, which means that we are confident we could meet a target specification of 45% net electrical efficiency with overall net efficiency of 90% when running as a combined heat and power system ("CHP") for the residential market. These improvements in efficiency further improve potential savings for domestic micro-CHP customers.

With the appropriate level of system engineering we believe that we could increase net efficiency even further to more than 50% which is the main requirement for prime power applications, where the emphasis is on the electrical power output rather than heat. I believe that the Ceres Steel Cell technology could have a compelling business case for larger power consumers.

In November 2013 we received an award of GBP1.0 million from DECC's Energy Entrepreneurs Fund to accelerate the development of our Fuel Cell Module, which is key to enabling some of our customers to develop complete products around our core technology.

Manufacturing and operations

Our manufacturing operations continue to deliver quality cells at high yields to support our internal and customer programmes As such we have continued to recruit a small number of high-quality people into the team to meet specific objectives. The Company is also currently investing to increase its test capability in order to enable parallel customer engagement and meet its internal road map deliverables.

Financial

Underlying revenue has increased to GBP0.2m (2012: GBPnil) due to the commercial progress made since the change of strategy in 2012 and relates to our new customers in Korea and Japan. In addition deferred revenue has been released from the balance sheet due to the ending of the product and supply agreements gained under the old strategy (2013: GBP0.7m Bord Gais Eirann; 2012: GBP0.5m Calor Gas). This has led to overall revenue in the period increasing to GBP0.9m (2012: GBP0.5m).

Since the change of strategy the Company has won GBP1.1m of UK Government grant funding to support key programmes. GBP0.2m of these grants has been recognised as other income in the period (2012: GBP0.0m). The Company will continue to apply for UK and other Government grant funding to assist the delivery of the Company roadmap where possible.

The Group's operating loss reduced by GBP4.7m from GBP8.5m in 2012 to GBP3.8m in 2013. This is driven by the reduction of GBP1.0m in recurring operating costs to GBP4.9m in the period from GBP5.9m in the corresponding period in 2012. This is primarily due to the reduced average number of employees and the focus on core technology delivery as a result of the change of strategy, as well as the Group not incurring non-recurring costs in 2013 (2012: GBP3.1m). Ceres ends the calendar year 2013 with GBP12.6m in cash and short-term investments, having started the period with GBP15.4m. The net cash used in operating activities of GBP2.7m in the period (2012: 5.5m) is primarily due to GBP3.7m cash used in operations (2012: GBP5.5m) offset by GBP1.0m cash received relating to income tax credit (2012: nil).

Summary

Over the past six months we have continued to demonstrate that we can deliver technology to the high standards set by some of the world leading companies, supported by our engineers at their sites in Korea and Japan. We have continued to exceed our own technical milestones, which puts us in a good position for developing these relationships to the next stage.

I would like to thank the team, right across the company, for continually delivering to meet our deadlines. One example of the commitment of the team was well illustrated by people coming in at the eleventh hour on Christmas Eve, when our facility at Horsham was facing blackouts, to ensure our testing and customer programmes were not compromised.

The third party validation from our OEM partners and the recent agreement with Cummins Power Generation reinforces our belief that our Steel Cell technology has the potential to become the standard next generation fuel cell technology for stationary power applications and we are in a very strong position for the future.

Philip Caldwell

Chief Executive Officer

[fredd] 11/3/2014 07:41

TIDMCWR

RNS Number : 9656B

Ceres Power Holdings plc

11 March 2014

11 March 2014

Ceres Power Holdings plc

("Ceres", "Ceres Power", or "the Company")

Ceres signs Joint Development Agreement with Cummins Power Generation Inc.

Ceres Power Holdings plc, a world leading developer of low cost, next generation fuel cell technology, is pleased to announce that it has signed a joint development agreement with Cummins Power Generation Inc. ("Cummins"), a wholly owned subsidiary of Cummins Inc.

Cummins Power Generation Inc. is a global provider of power generation systems, which range from small generators for residential use to larger power systems for markets such as critical protection and back-up power. Cummins Inc. is a global power leader with over US$17bn of revenues.

In the first stage of this agreement, Cummins and Ceres will work together on a non-exclusive basis, combining their complementary technical capabilities and market know-how with Ceres assuming responsibility for the Steel Cell fuel cell system technology and Cummins providing system integration expertise, focusing on the assessment of applications for Cummins' core markets of larger scale back-up power and prime power applications.

Further stages of the agreement could include Cummins and Ceres working together on system feasibility and the evaluation of potential development programmes with major end users and utilities, who are already expressing interest in using power systems incorporating Ceres' Steel Cell technology. Successful completion of this collaboration assessment agreement phase could lead to a broader cooperative system development program under a continuation agreement.

Phil Caldwell, CEO of Ceres Power, commented:

"We are very pleased to start working with a partner of the calibre of Cummins. Establishing a strategic relationship with Cummins enables us to explore further applications for our unique Steel Cell technology, particularly for the rapidly growing market for fuel cell generation for commercial applications in North America."

Robert Lee, Executive Director, Power Generation Strategy for Cummins Power Generation, commented:

"As a global leader in power generation, Cummins Power Generation is pleased to undertake this joint investigation with Ceres into Solid Oxide Fuel Cell technology as a potential new vehicle to provide our customers with the clean and efficient power they've come to expect from Cummins."