Hydrogen New Tech Companies Deliver Huge Investor Returns, With More to Come
ITM Power delivered returns of over 2000% to Investors over a period of less than 2 years.
McPhy Energy in France delivered over 1000%
NEL in Norway delivered 380%
In the USA several quoted companies working in this space have also delivered significant returns to Investors:
Bloom Energy (NYSE:BE) up 221%
Ballard Power Systems (NASDAQ:BLDP) up 174%
FuelCell Energy (NASDAQ:FCEL) up 447%
Plug Power (NASDAQ:PLUG) up 575%.
Bloomberg NEF estimates that there will be an $11 trillion investment in production and storage of hydrogen worldwide through to 2050.
In 2020 Europe announced its path to 100% renewable hydrogen by 2050.
EU estimates that clean hydrogen could supply 24% of the world’s energy demand, with annual sales of approx. €630 billion. EU’s objective to support installation of 6G of renewable hydrogen electrolysers to produce approx. 1m tonnes of renewable hydrogen.
EU also states hydrogen to become intrinsic to Europe’s integrated energy system by 2030. At least 40 gigawatts of renewable hydrogen electrolysers to produce approx. 10m tonnes of renewable hydrogen by 2030.
Large corporates now shifting focus to transition to hydrogen as part of their energy strategy, e.g. Cummins Inc, BP, BG, Navistar Inc, Shell, Air Liquide/Air Products, Linde etc.
The global push for Green Hydrogen, the clamour for alternative hydrogen technologies is reaching epic proportions:
https://www.greentechmedia.com/articles/read/eu-sets-green-hydrogen-targets-now-blue-hydrogen-has-to-keep-up https://www.rechargenews.com/energy-transition/gigawatt-scale-the-worlds-13-largest-green-hydrogen-projects/2-1-933755 https://ec.europa.eu/commission/presscorner/detail/en/qanda_20_1257
Hydrogen technology companies are now enjoying some of the highest corporate valuations on stock markets around the world. Investment is pouring in from institutions, corporations, VCs and private equity. HGPS has capitalised on this situation by putting together a world-class academic, technical and commercial team to take the HPGS Electro Hydrogen Generator, EHG technology to commercialisation. In conjunction with Nottingham, Newcastle and Reading Universities HPGS is part of two major technology investigation and development projects, together with Shell UK and Mahle Powertrain. The ambition is to deliver low-cost Hydrogen Production solutions to the Heavy truck, Rail, Maritime and Electricity Generation Industries.
The EHG technology offers a cost of ownership significantly lower than commercial electrolyser technologies that are commonly based on polymer membrane electrolytes and liquid alkaline diaphragm cell technology.
‘Green Hydrogen’, as anticipated by both the US and European Governments, means manufacture of conventional PEM or Alkaline Electrolysers will have to grow exponentially. This will not lead to the cost reductions predicted by the manufacturers. Rather, it will lead to higher costs as a result of the increased use of precious metals in their manufacture, in-line with market demand.
However, unlike other electrolyser technologies the HPGS EHG reactors use low-cost, off-the-shelf materials and low-cost electrodes, delivering HGPS an opportunity to compete in the largest global Hydrogen market today, that of Steam Reformation. This market is currently valued at $117.4bn per annum.
The investigation and development projects mentioned above have 4-year durations assuming no further Covid lockdown restrictions. However, HPGS has the ambition to shorten this schedule by 2 years through “acceleration” funding, the funding enabling parallel workstreams to run outside of the Universities and accelerate the project work and deliverables through additional manpower and facilities. The “acceleration” funding is to come from sales and marketing efforts to US and European VCs by the HPGS team.
Given the valuations of hydrogen technology companies today, and the commitments to hydrogen production technologies being underwritten by global Governments, the Directors believe this will be extremely attractive to VC and corporate Investors and provide the opportunity for you, the HPGS SEIS and EIS investors to exit with multiple returns on your original investment.
Having already raised £200K last year, there is still £160K of HMRC Advanced Assured EIS funding to complete delivery of the existing schedules. I don’t think we need to labour the point that this would be the ideal time for you to invest, prior to a potentially significant investment from a VC delivering the multiple returns mentioned above. Shares will issued be on a first come – first served basis with no maximums per individual.