re: Ann: World First for LNC with Hydrogen Fu... Dex
Your understanding is much greater than mine mate. Some general points. I believe the AFC fuel cell option could well surpass the cost effectiveness of turbine tech. Why else would Bond be so excited - " Potential is staggering " There has been very rapid progress made in the recent developement of the modular fuel cell design at AFC it would seem. On July 7th Interims are announced including we think a comprehensive operational/technical update as well.I will post it here when it arrives. It seems they could have improved the performance of electrodes considerably which would reduce the number of FC's required. They have 4 electrodes in the cells now instead of one.When an investor was told this he asked if it produced 4 times the power and Gene Lewis -the big cheese - just smiled and moved on as it was market sensitive. These cells are lowest cost to produce around. The maintenance and replacement of electrodes is (so they say) easy and cheap. They turn surplas hydrogen into electricity and demineralised water (handy in a hot country) Remember investors have been to AFC on open-day tours and talked with the team as per that link you liked.
Bond is a risk-taker and is in a hell of a hurry it would seem. A boundary-pusher indeed.
Good point about things taking time with new technology. I think we will know quite a bit more next Wednesday morn GMT. It certainly is a game but it don't half beat watching TV.
Another post here with some numbers for you off the bb today. There are an awful lot of ifs and maybees here but we speculating ! Cheers.
TimesTriangle posts -:
Remember this "I now think that Linc are getting the first spine based unit along with four 10kW cartridges."
Author TimesSquare Date posted 2010-06-05 18:00 Subject Re: New Linc Presentation - 4 June 2010 Opinion Strong BUY Votes for this Posting Voted 9 times.
Don't forget, Linc WILL be making a power station purchase decision in Q4 2010 for at least 200MW, which would be a minimum of 4,000 x 50kW stacks at 35,000 each is 140,000,000 at 43% profit is 60,200,000 gross profit, minus AFC's operating costs of 2.3m leaves a net profit of 57,900,000, which is earnings of 38.37p per share, at a low P/E of 8 would give us a share price of 3.07, making the current 15p share price a 20 bagger just on this one deal.
My view now includes a few bits of extra info from Linc combined with that from AFC tour attendees:
Tour attendees mentioned Dr Gene Lewis talking of the spine development and 10kW cartridges.
Linc are now talking of 40kW being delivered.
I now think that Linc are getting the first spine based unit along with four 10kW cartridges.
From the Linc presentation it sounds very unlikely that they would take anything other than the AFC fuel cell deal and exclusivity. This would give Linc massive opportunities, including the one for short term cash flow(something they mentioned as a #1 priority) from Chinchilla and to become owner operator of power stations for a mass of upcoming UCG's.
