AFC Energy, a leading provider of ammonia-based low-carbon hydrogen production and hydrogen-to-power solutions at a commercially viable price point, announces the signing of a Joint Development Agreement with Komatsu Ltd. and Industrial Power Alliance Ltd, a Komatsu affiliate. Komatsu is one of the world’s leading manufacturers of construction, mining, forestry, and industrial heavy equipment and is listed in Tokyo and Osaka, Japan, with a market capitalisation of approximately US$ 43 billion.
Under the JDA, the Company and Komatsu will work together to design and integrate AFC Energy’s proprietary ammonia cracking technology with a Komatsu industrial internal combustion diesel engine to assess the feasibility of a new ammonia-fueled engine platform capable of scaled production. This would potentially provide Komatsu customers with an alternative, sustainable solution for their fleets of construction and mining plant equipment.
Successful operational delivery of an operational diesel engine under the JDA will demonstrate that an internal combustion engine can be run on liquid ammonia with minimal changes necessary, thereby introducing AFC Energy’s technology into a further vertical with a significant addressable market.
The JDA has a contract value of c. US$ 2 million, subject to delivery of certain milestones.
The JDA further highlights AFC Energy’s focused strategy of delivering hydrogen-to-power solutions at a commercially viable price point and without the need for government subsidies.
John Wilson, CEO of AFC Energy Plc, commented: “We are delighted to have signed this JDA with Komatsu, whose commitment to AFC Energy’s proprietary ammonia cracker technology provides further industry peer validation, as we continue to commercialise and develop AFC Energy’s offering. This JDA further underpins our strategy to deliver commercially viable hydrogen-to-power solutions without government subsidy through the introduction of our technology into an additional vertical with a significant addressable market. We look forward to developing further our commercial relationship with Komatsu and using our technology to help the heavy industry to decarbonise its operations.”
Taisuke Kusaba, Chief Technology Officer of Komatsu Ltd., commented: “We are very pleased to be working with AFC Energy and its leading ammonia cracking technology to further explore measures to decarbonise our fleets of equipment. Our goal is to achieve a sustainable society and facilitate business growth. We envisage AFC Energy’s ammonia cracking technology as potentially playing an important role in fulfilling our goal.”
AFC Energy Plc is a leading provider of ammonia-based low-carbon hydrogen production and hydrogen-to-power solutions. The company’s modular, decentralised ammonia cracker systems have production capacities of approximately 0.5 and 4 tonnes of hydrogen per day, respectively. These enable the generation of scaled rging opportunities in maritime, data centre and rail applications.
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