Transcript
Welcome to the Capital Compass, I’m Lyndsay Malchuk.
Pure Hydrogen is no stranger to headlines, and right now it’s making international noise, from distribution deals in South America to selling zero-emission trucks into the US market. With hydrogen production, distribution, and vehicle tech all under one roof. This company is aiming to be a serious contender in the clean energy arms race.
Joining me now is Scott Brown, Managing Director of Pure Hydrogen, to walk us through what’s really happening behind the ticker.
Lyndsay: Well, you’ve actually been building some pretty targeted distribution partnerships, and it feels like there’s a very intentional strategy behind them. So the question here is, how has that approach helped position the company to scale, not just in the US but across key markets in the Americas?
Scott: We’ve had a very deliberate strategy of not only building a network within Australia, but an international network for the sale of our products. And our prime products are like the truck behind me and buses. So, we can do zero emission vehicles both in hydrogen fuel cell, battery electric and hybrid. And we are finding a lot of interest in those products around the world. And added to that, we also have products that for hydrogen refueling, the recharging, that sort of thing. So, we can be like a one-stop shop for a lot of people that have fleets out there, that are looking to transition from their diesel fleet across to something that’s a zero emission or a cleaner energy footprint. And we’ve got great solutions at a very affordable price. And so, we’re getting a lot of traction. So very much not only are some of the places you mentioned, but we’ve had a dealer in Mexico. We’ve got dealerships now across certainly a lot of the US and we’re getting a lot of interest out of Canada as well.
Lyndsay: I mean, those are all really great partnerships to have, and if we continue with that topic right there, of course, partnerships are just one piece of the puzzle. We all know that. So what solutions are you zoning in on right now to really grow revenues, especially as your clean energy vehicle sales pipeline just keeps building momentum?
Scott: Where we’re sort of focused is a couple of key verticals where we think we’ve got a killer product. One of them is in garbage trucks. So we’ve focused on that vertical. We’ve got a great product there. Zero emissions both the hydrogen fuel cell and also a hybrid product, we think is a really good product. And we’re finding a lot of traction with that. And also, we can have it because it’s very much back to base operation. We can have the refueling on the operator site or if it happens to be a council on their site. So, that is finding a lot of interest from both councils and garbage operators. Then in prime movers, we are looking at port operators in particular.
Again, a lot of the ports around the world are looking to transition to clean energy and they have various targets of zero emission. We’ve got a great lineup of vehicles that we can offer and can move very big containers quite easily. So, that’s another area. And then finally in buses we’ve got a very good solution as well, particularly for battery electric and our hybrids. I think we are finding a lot of attraction and very, very much something that’s getting a lot of interest in airtime. So, there’re some of the revenue generators that we’re starting to get through in our company.
Lyndsay: I mean, you’re creating quite a movement with such a significant change. And speaking of change, let’s make that big announcement right now. You recently announced the company will be rebranding as Pure One Corporation. What was driving that decision and what do you want the market to take away from it?
Scott: What we’ve been doing for some time is expanding our product range and we made a decision about three years ago to expand into battery electric. It was a pretty natural evolution for us because everything on our platform is electric anyway. Hydrogen is simply making electricity to power the vehicle. So, we went down the route of just having batteries and no hydrogen fuel cell, and we’ve now adopted hybrids, and we think that that is certainly going to give us a lot of attraction because particularly in regional areas where you don’t have the infrastructure perhaps or people are worried about range and not having the range. So, with that, you can have a thousand kilometer range with a bus, which is quite large and all also for trucks as well. So, we just thought it’s appropriate to rebrand. And while hydrogen will always be a significant part of what we’ve been doing, we very much think we’ve got a much broader product offering and we want to be able to sell that globally and we think it appropriate to rebrand and change our name.
Lyndsay: Well, I mean, that’s a smart move right there. Scott let’s flip over here and talk traction milestones. You just made your first hydrogen vehicle sale in the US. That’s got to feel like a big moment for you. Congratulations on that. And how does that sale fit into your larger plan for scaling across North America?
Scott: The first truck is a garbage truck that I mentioned, a hydrogen fuel cell one. We are very pleased with that. We’re working with a couple of people, and we probably will have some announcements in the coming months around that. But we very much see that as a market that we can go after. There was another company that was targeting that market called Hozon. Unfortunately, they went bankrupt and have ceased operations. So, we think it’s a great opportunity for us to take all the lead generation that they formed. And there’s also another company, a US company called Nikola, which also went bankrupt. And again, we are looking to pick up a number of dealerships in that space as well.
So, we think the fact that the US market is really starting to open up, there’s a lot of investment going into hydrogen refueling stations. There’s a big subsidies program in a lot of states including California. Even Texas has got subsidy programs. So, the opportunity is right now for us to go after that. So, we’ve built a left hand drive truck, a prime mover that we we’re going to display on the east coast, or sorry, the west coast of the US and we’ll take up to Canada as well. So, we’re very excited about the possibilities and very keen to get after it.
Lyndsay: Well, you should definitely be excited, Scott, wrap this all up for us. Let’s give the investors watching something to keep an eye on here. Over the next six months what key catalyst could really move the needle for Pure Hydrogen, or should I say Pure One Corporation?
Scott: I think there’s a range of sales opportunities we are looking at; we pitched and hopefully they will convert to announcements that we can announce to the market. And we are also looking at partnership opportunities either to become distributors, dealers, and in some cases around that garbage industry. We think that there’s great opportunities ahead and we’ll have plenty of news flow resulting in and around those areas that I mentioned.
Lyndsay: Well, I mean, this has been a phenomenal conversation jam packed with so much information. Thank you so much. And definitely come back with more updates soon.
Scott: Yes, that’s no problem at all. Thanks very much for inviting me on and thanks for your questions.
Absolutely. Again, that was Scott Brown, Managing Director of Pure Hydrogen trading on the ASX under the ticker PH2. With big moves now in the US, fresh distribution across South America, and a growing fleet of zero emission vehicles. This is a name worth keeping on your radar. You can dig deeper into their story at purehydrogen.com.au.
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