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Page 1: FCE to acquire Global, synergies in high-temp fuel cells

C O N T E N T S

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Danish breakthrough on high-temperaturePEM fuel cells 2

Yamaha demos fuel cell scooters,links with Yuasa 2

Hectic time for Hexis 2

Nickel alloy catalyst for cheap, ‘green’ H2 3

Plug ships first LPG units 3

Hoku Scientific, Sanyo to develop MEA 4

MTU, RWE establish fuel cell joint venture 4

Planners reject London hydrogen station 4

FCT to supply SOFC for Vancouver project,extends SWPC agreement 4

More DOE awards for advanced hydrogenand fuel cell R&D projects 5

FedEx starts using GM FCV for Tokyo deliveries 5

Fuel cells with much less precious metalcatalyst 6

US Air Force fuel cell bus project in Hawaii 6

Fumes-to-fuel system turns Ford’s wastepaint exhaust into power 6

NYSERDA awards for MTI Micro, Plug demo 6

Iwatani leases Honda FCV, develops mobilehydrogen storage 7

Icelandic H2 project for Millennium Cell 7

Fabrication process for intermediate-temperature SOFCs 7

High-performance lithium nitride forhydrogen storage 8

UK plans national fuel cell applications facility 8

Planet Capital to commercialize PSI energytechnologies, sell ECN molten carbonatepatents 8

Advanced technology R&D awards from NIST 8

Chrysalix leads buyout funding of Avista Labs 9

Illinois 2H2 launched as public-privatepartnership 9

FFEEAATTUURREE

The Smart way to get DMFC productsinto the market 10

RREEGGUULLAARRSS

In Brief 3, 5, 7, 9

Research Trends 13

Patents 14

Events Calendar 16

The US Department of Energy has releasedtwo solicitations for R&D in hydrogenproduction, delivery and storage technologies,with proposals to be submitted in September.These solicitations will provide funding of upto $200m over four to five years to supportPresident Bush’s Hydrogen Fuel Initiative.

The solicitation for hydrogen production,delivery and storage covers: biomass gasificationand pyrolysis; photolytic processes; distributednatural gas reforming technologies; separationand purification technologies; advanced electro-lysis systems; high-temperature thermochemicalwater splitting; hydrogen production infra-structure analysis; and advanced hydrogen

delivery technologies.The second solicitation focuses on developing

hydrogen storage materials and technologieswith collaboration among industry, universitiesand national labs. Two categories are addressed:to establish virtual ‘centers of excellence’ inmetal hydrides, carbon and chemical hydrogenstorage led by the national labs; and applicationsfrom universities and industry for new andinnovative materials and concepts, compressedand liquid hydrogen, and both on-board andoff-board hydrogen storage technologies.

More information at: www.eere.energy.gov/hydrogenandfuelcells/financial.html

Connecticut-based FuelCell Energy, theacknowledged leader in commercializingmolten carbonate fuel cells for stationarypower, has entered into a definitive agreementto acquire Canadian solid oxide fuel celldeveloper Global Thermoelectric. Global hasterminated its combination agreement withCalifornia-based Quantum Technologies.

The all-stock FCE–Global transaction is valuedat US$2.72 (C$3.82) per Global common share,for a total value of approximately US$80m(C$112m). It has the unanimous support of bothcompanies’ boards. On closure Global share-holders will own 17–20% of the fully dilutedshares of FCE. Global will nominate one person,possibly two, to be appointed to the FCE board.

The transaction is expected to close in thefourth quarter of 2003, subject to approval byeach company’s shareholders, the courts,regulatory approvals and other customary closingconditions. As a result of the proposedcombination with FCE, Global has paid aUS$2m break-up fee to Quantum Technologiesto terminate its combination agreement.Quantum and Global had recently settled legalaction by major Global shareholder Enbridge

challenging that combination [FCB, August].‘We believe that this combination represents an

excellent strategic and technological fit,’commented Jerry D. Leitman, chairman,president and CEO of FCE. ‘Global’s advancedSOFC technology has a strong complementary fitwith our core carbonate technology and productdevelopment expertise, and will also strengthenour position throughout the 10-year, US$139mSolid-State Energy Conversion Alliance (SECA)contract recently awarded to FCE by the USDepartment of Energy.’

Leitman emphasized that FCE will bemarketing its Direct FuelCell® products forseveral years before the SECA products arecommercialized. FCE does not expect its SECA-developed SOFC products to eventually replaceits MCFC product line, but rather will offer bothtechnologies

FCE currently has very few staff working inSOFC technology, so the addition of Global’sexperts will greatly enhance its SOFC research.

FCE believes that it will in future be able totransfer solutions – such as stack manufacture,sealing, balance-of-plant etc. – from one high-temperature fuel cell technology to the other.

FCE to acquire Global, synergies in high-temp fuel cells

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DOE $200m for H2 production, delivery and storage

ISSN 1464-2859 September 2003