FuelCell Energy And Department Of Energy Finalize Phase 1 Award For Solid State Energy Conversion Alliance Program
Sep 16 - Business Wire
FuelCell Energy, Inc. (NasdaqNM:FCEL) announced today that it has finalized its award with the U.S. Department of Energy (DOE) for the three-year first phase of its Solid State Energy Conversion Alliance (SECA) program. Phase one is a $24 million Cooperative Agreement cost-shared by the DOE and the FuelCell Energy team, which includes Versa Power Systems, Materials and Systems Research Inc., Gas Technology Institute, University of Utah, Electric Power Research Institute, Dana Corporation and Pacific Northwest National Laboratory. Finalizing the award resolves open budget, scope and schedule issues.
The goal of the SECA program is to accelerate the development of low-cost
solid oxide fuel cells (SOFC), a key element of DOE's commitment to developing
clean, efficient, reliable and affordable power generation for virtually all
markets. This program is expected to develop SOFC modules in the 3-kilowatt (kW)
to 10-kW size range that can be fitted together for combined heat and power
products for initial applications up to 100 kW. Target markets identified
include remote sites, telecommunications, commercial and residential buildings,
back-up, mobile standby and auxiliary power units.
In April 2003, FuelCell Energy was selected by the DOE to lead a project team
for its three phase, ten-year, $139 million SECA program. The FuelCell Energy
team started work on the Phase one SECA program in July 2003 via a pre-award
authorization from the DOE. FuelCell Energy received a provisional SECA award
from the DOE in February 2004, which enabled the team to increase the effort
level consistent with the program scope of work.
To strengthen its SOFC commercialization capabilities, the Company made two
strategic investments in SOFC technology: an investment in Versa Power Systems
(August 2003) and the acquisition of Global Thermoelectric Inc. (November 2003).
If successfully commercialized, these products would be complementary to
FuelCell Energy's larger scale Direct FuelCell(R) (DFC(R)) product line.
About SECA
SECA is a collaborative effort coordinated by two of the U.S. Department of
Energy's national laboratories - the National Energy Technology Laboratory and
the Pacific Northwest National Laboratory - supported by the DOE's Office of
Fossil Energy and other government agencies. This alliance of U. S. industry,
universities, and other research organizations, represents a new model for joint
government and private industry technology development.
SECA's goal is to create a solid oxide fuel cell that can be mass-produced in
modular form. Used individually or in clusters, depending upon the amount of
energy required, these fuel cells could be configured for a broad array of
applications.
SECA promotes the development of friendly SOFC using commonly available
fossil fuels, thereby making it an affordable, clean and reliable source of
electric power for virtually all markets. The objective is to reduce fuel cell
costs to make them a more broadly applicable and more widespread commodity in
the competitive, mature distributed generation and auxiliary power markets.
Additional information can be found at www.seca.doe.gov
.
About FuelCell Energy, Inc.
FuelCell Energy, Inc., based in Danbury, Connecticut, is a world leader in
the development and manufacture of high temperature hydrogen fuel cells for
clean electric power generation. The Company has developed commercial
distribution alliances for its carbonate Direct FuelCell products with MTU CFC
Solutions Gmbh in Europe; Marubeni Corporation in Asia; Enbridge Inc. in Canada;
Caterpillar, PPL Energy Plus, Chevron Energy Solutions, Alliance Power and
LOGANEnergy in the U.S. FuelCell Energy developed its patented Direct FuelCell
technology for stationary power plants with the U.S. Department of Energy
through its Office of Fossil Energy's National Energy Technology Laboratory. The
sub-megawatt fuel cell power plant is a collaborative effort using Direct
FuelCell(R) technology of FuelCell Energy and the Hot Module(R) balance of plant
design of MTU CFC Solutions.
FuelCell Energy is also developing next generation high temperature fuel cell
products, such as a diesel fueled marine Ship Service Fuel Cell, a
combined-cycle DFC/Turbine(R) power plant. The Company is also developing solid
oxide fuel cells for initial applications up to 100 kilowatts. More information
is available at http://www.fuelcellenergy.com
.
This news release contains forward-looking statements, including statements
regarding the Company's plans and expectations regarding the development and
commercialization of its fuel cell technology. All forward- looking statements
are subject to risks and uncertainties that could cause actual results to differ
materially from those projected. Factors that could cause such a difference
include, without limitation, the risk that commercial field trials of the
Company's products will not occur when anticipated, general risks associated
with product development, manufacturing, changes in the utility regulatory
environment, potential volatility of energy prices, rapid technological change,
and competition, as well as other risks set forth in the Company's filings with
the Securities and Exchange Commission. The forward-looking statements contained
herein speak only as of the date of this press release. The Company expressly
disclaims any obligation or undertaking to release publicly any updates or
revisions to any such statement to reflect any change in the Company's
expectations or any change in events, conditions or circumstances on which any
such statement is based.