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INSIDE THE INDUSTRY-A weekly re-cap of Fuel Cell related stories
September 21 - September 28 2003
Highlights:
*Significant Fuel Cell Industry Milestones
-ChevronTexaco Technology Ventures Makes Key Appointments in Hydrogen Business Unit
-Mechanical Tech enters strategic alliance with Gillette*
-USFCC Releases Testing Protocol for Composite Bipolar Plates;
  Presentation at Grove Fuel Cell Symposium 
-Illinois 2 H2 Kicks Off Regional Forums: 'Positioning Illinois for Leadership in the Hydrogen Economy'
-Hydrogen Storage Next Big Challenge, Say Global Experts in NAVC Report
-Michelin's fifth-annual Challenge Bibendum
-Alternate Energy Corp. Now Exclusive Owner Of Low-Cost Hydrogen Production Technology; 
-Umicore Fuel Cell Division acquires Catalyst Patents from the Max-Planck-Institute (MPI)
-Manitoba and Iceland Sign MOU to Promote Hydrogen Development
-Energy Secretary Spencer Abraham announes new phase of fuel-cell research*
-Pekin plant to produce hydrogen fuel cells
-Quantum Awarded Contract for Hydrogen Refueling System*
-Dynetek Industries Ltd. to Deliver Hydrogen Fuel Storage Systems to DaimlerChrysler*
-Caterpillar, FuelCell Energy, Announce First Joint Power Plant Sale In California
-European Funding for Rolls-Royce Fuel Cell Development
-Energy Conversion Devices, Inc has received $200,280 in funding from South Coast Air Quality Management District
-Texaco Ovonic Hydrogen Systems Storage Technology to Bring Hydrogen Storage Systems*
-QinetiQ and Voller Energy sign agreement to produce small tubular fuel cells
-Toyota Expands Its Real-World Testing of Fuel Cell Hydrogen Vehicles*
-Palcan Fuel Cells Receives Funding to Begin Manufacturing Process;Natural Resources Canada*
-San Francisco and Honda to Partner on Fuel Cell Car Program*
-Plug Power to receive funding from $17.45M military appropriations bill*
-Mitsubushi Unveils a Fuel-Cell Vehicle



ChevronTexaco Technology Ventures Makes Key Appointments in Hydrogen  Business Unit

ChevronTexaco Technology Ventures, a unit of ChevronTexaco Corp. (NYSE: CVX - News), today announced Rick Zalesky has been appointed vice president of its Hydrogen Business Unit. Zalesky will report to Greg Vesey, president of ChevronTexaco Technology Ventures.

In his new role, Zalesky will be responsible for hydrogen technology development, business development and infrastructure design and implementation. Current hydrogen projects, such as the U.S. Department of Energy contract for the development of a 50 kilowatt stationary hydrogen generator, will be managed by the business unit.

Zalesky has held a variety of supervisory and management roles in ChevronTexaco's refining and marketing operations in California, Pennsylvania and Texas. In 1999, he was named general manager of its refinery in Richmond, Calif.

Other appointments in the business unit include, John Brady to manage infrastructure, Jeffrey Jacobs to manage business development, and Jeff Hedges to manage technology development.

"We're very pleased that Rick is leading this key effort for ChevronTexaco Technology Ventures," said Vesey. "These new appointments, along with our on- going hydrogen business efforts, underscore ChevronTexaco's commitment to being a leader in hydrogen generation technology and future energy markets."

ChevronTexaco, through ChevronTexaco Technology Ventures, invests in and pursues commercialization of a broad spectrum of energy-related technologies and is also an active venture capital investor. Commercialization and investment efforts currently include hydrogen systems, advanced batteries, fuel processing and fuel cell related technologies, development of hydrogen infrastructure solutions, renewables and nanotechnology through internal development, joint ventures and equity investments. 


Boston-based consumer products maker Gillette Co. has entered into a strategic alliance with fuel cell company MTI MicroFuel Cells Inc. of upstate New York, whereby Gillette's Duracell business and MTI will develop and commercialize micro fuel cell products to power mass-market portable consumer devices, according to filings with the U.S. Securities and Exchange Commission.

MTI MicroFuel Cells is a subsidiary of Albany, N.Y.-based Mechanical Technology Inc.

The agreement calls for Gillette to invest an initial $1 million in MTI Micro common stock, with the potential of an additional investment of $4 million subject to agreed-upon milestones. Mechanical Technology has agreed to ensure funding to MTI Micro during the first two years of the agreement, the filings said.

As part of the strategic alliance, both MTI and Gillette will share and license from each other certain intellectual property assets, and both have the ability to earn royalties.

MTI has stated that it hopes to bring the technology to market in 2004. In a filing with the Securities and Exchange Commission, MTI said the consumer shaving company could provide an additional $4 million if certain milestones were achieved in the technology partnership.

Gillette's Duracell battery subsidiary is slated to represent Gillette in the strategic alliance, which has a goal of developing alternatives to batteries for consumer products like laptop computers and PDAs.

The multiyear partnership is exclusive and will involve the sharing of intellectual property. MTI MicroFuel Cells Inc. is a unit of Mechanical Technology Inc. of Albany, N.Y.




USFCC Releases Testing Protocol for Composite Bipolar Plates; Presentation at Grove Fuel Cell Symposium
 
At the 2003 Grove Symposium, the US Fuel Cell Council will release details of its new "Testing Protocol" for composite bipolar plates - the first of several testing protocols unnder development by the organization. The protocol is one of the first open technical collaborations in the fuel cell industry.

"This test protocol and similar guidelines have an important role to play in reducing costs and accelerating commercialization," said Robert Rose, USFCC executive director. "In the short term, they will make 'comparison shopping' easier. Ultimately, they will lead to commodity pricing for basic fuel cell components."

The "Testing Protocol for Through-Plane Electrical Conductivity of Composite Bipolar Plates," is used to measure the electrical performance of separator plates for the purpose of material evaluation. The testing methodology was developed by the US Fuel Cell Council's Stack Materials & Components Working Group, in response to concerns that data sheets for composite bipolar plate materials provided electrical conductivity data measured using one of many different methodologies. The methodology of the USFCC Protocol includes pressure conditions, specimen characteristics and preparation, electrical parameters, and statistical analysis.

The Protocol has undergone round-robin testing by members of the Council's Stack Materials & Components Working Group. Results of the round-robin testing will be announced in a poster presentation by Eve Steigerwalt of Dana Corporation, at the Grove Fuel Cell Symposium in London. Eric Teather of Dupont Fuel Cells, chair of the Working Group, said "open standard protocols for fuel cell material evaluation will help reduce duplicate parallel effort by fuel cell integrators and is a needed step for accelerating fuel cell commercialization."

The USFCC is the trade association for the fuel cell industry, dedicated to fostering the commercialization of fuel cells in the United States. For more information on USFCC, check out our web site at www.usfcc.com.




Illinois 2 H2 Kicks Off Regional Forums: 'Positioning Illinois for Leadership in the Hydrogen Economy'

Illinois 2 H2, a public private partnership established earlier this year by the Illinois Coalition and the Illinois Department of Commerce & Economic Opportunity to position Illinois as a leader in the research and commercialization of hydrogen-based technologies, kicked off today a series of regional forums. Illinois 2 H2 will hit the road over the next two months to gain regional input into the state's roadmap to the hydrogen economy. The purpose of these forums is to reach out to the widest breadth of Illinois citizens, facilitating communication about how this global issue interacts with very real localized concerns. The result of these
forums will be a more robust strategic action plan with localized inputs and a broader commitment of public support.

"Through the Illinois 2 H2 initiative, The Illinois Coalition and the Department of Commerce and Economic Opportunity are writing a roadmap to Illinois' future in this industry to be presented to state, federal and
municipal leaders in the new year," said Chris Tynan, the Illinois Coalition's spokesperson for Illinois 2H2. "These forums ensure that each region is sufficiently represented in Illinois' final roadmap to the hydrogen economy."

Illinois 2 H2 is comprised of Illinois' leading institutions involved in hydrogen and fuel cell technology and will co-host these events with partners in each region. The first of these regional forums takes place today in Peoria
co-hosted with Peoria NEXT, an organization focused on creating a healthier future for the Peoria regional community through a culture of discovery, innovation and commercialization in the areas of life science, material
science, and engineering science.

"Peoria is embracing emerging technology, such as fuel cells and hydrogen technology, which can shape the future of industry and environment," said Dr. Richard Lister, Managing Director of Peoria NEXT. "This Forum represents the commitment of Peoria NEXT and Central Illinois to capitalize on our resources and become a major player in the technology initiatives of this state."

The forums will be three hours in length and will provide an overview on the hydrogen economy, discuss Illinois' assets that will play a role in the hydrogen economy, and highlight Illinois' key companies and organizations
currently involved in the hydrogen economy. Discussion and feedback at the forums will be incorporated into the state's roadmap. The forums encourage a diverse audience, whether it is to learn about fuel cells for the first time, or to ensure that leaders in each region are heard as Illinois 2 H2 builds a roadmap to the future of the state's hydrogen economy.



Hydrogen Storage Next Big Challenge, Say Global Experts in NAVC Report

 The Northeast Advanced Vehicle Consortium (NAVC) is pleased to announce the publication of Future Wheels II: A Survey of Expert Opinion on the Future of Transportation Fuel Cells and Fuel Cell Infrastructure.  The report is an update of the original Future Wheels, published three years ago, which proved a valuable source of information for the industry, with over 100,000 downloads.  Future Wheels II is now available
at http://www.navc.org.

Future Wheels II reveals the results of interviews conducted with 34 fuel cell experts affiliated with a variety of organizations throughout the world. Representatives from auto companies, energy suppliers, fuel cell developers,
government agencies, independent research organizations and environmental groups share their insight into the status of transportation fuel cell technology; likely market penetration scenarios, a review of infrastructure
issues, and a broad range of other topics related to the use of fuel cells in cars, trucks, buses and military vehicles.  The collective and sometimes conflicting views of the interview subjects are presented without
editorializing, allowing readers to get a unique glimpse into the challenges facing this industry and draw their own conclusions as to the timing and impact of this revolutionary technology.

Despite steady advances in fuel cell technology, hydrogen storage is identified as a significant challenge in the drive to develop a commercially- successful fuel cell vehicle.  "Three years ago, there was enormous debate
about whether fuel cell vehicles would carry hydrogen or make it onboard from a liquid fuel," said Sheila Lynch, NAVC's Executive Director.  "Since then, consensus has formed around carrying the hydrogen, but now the big debate is how to store enough of it onboard to satisfy customer needs.  Do you need a bigger tank or do you use high pressure storage?  Or do you design the vehicle to be more efficient and require less hydrogen?  Experts are still debating the answers to these questions," said Ms. Lynch.

The report reveals a host of other findings that highlight progress made over the last three years and the path that lies ahead.  For example, the expected commercialization timeframe has slipped, with most experts predicting
initial market penetration still a decade or more away.  The prospects for microapplications, such as laptops and cell phones, have advanced quickly, while some experts are expressing new concerns about the viability of fuel
cells for the transit market.

Development and production of Future Wheels II was funded by the Defense Advanced Research Projects Agency (DARPA).  The report was co-authored by Lisa Callaghan and Mark D'Amico of the NAVC.

The NAVC is a public-private partnership of companies, public agencies, and laboratories working together to promote advanced vehicle technologies in the Northeast United States.  Its Board of Directors is appointed by the eight Northeast governors and the mayor of New York City.  The NAVC and its partners have initiated over 70 projects, spanning a wide range of technology areas including electric, hybrid-electric and fuel cell propulsion systems.



Michelin's fifth-annual Challenge Bibendum
 
More than 100 cars and trucks from the world's leading automakers and research universities have gathered in Northern California this week for the world's largest environmental vehicle event: Michelin's fifth-annual Challenge Bibendum.
The global event highlights the progress of environmentally friendly, advanced technology vehicles. Representatives from industry leaders such as Ford, DaimlerChrysler, Honda, Nissan and Toyota, plus participants from more than 30 countries, have gathered here to drive and discuss the latest advancements in environmentally positive transportation. The event is named for Bibendum, the fun-loving man of tires that has symbolized Michelin for more than a century. 
Many of the vehicles participating in Challenge Bibendum are already available to consumers, such as the Honda Civic and the Toyota Prius Hybrid. These cars are powered by an electric motor in addition to an efficient gasoline engine. Ford's H2ICE Focus runs on Hydrogen and its exhaust is only water vapor. 
Vehicles propelled by natural gas, propane, biofuels and electricity already share the road with today's gasoline vehicles and their numbers are increasing. All these technologies are participating in this year's Challenge Bibendum, where they will be judged on environmental friendliness, safety, performance and design. 
Related News On this Event:


Michelin's fifth-annual Challenge Bibendum-Take A deep breath-The Future of Automobiles is in the air
Interview-Fizor Razul Chairman of Ballard Power Systems (Challenge Bibendum)
Interview-"COMPETITION IS NECESSARY TO ADVANCE CLEAN TECHNOLOGIES"Dr. Ferdinand Panik - 
Former head of Daimler-Chrysler's Fuel-Cell Project(Challenge Bibendum)



Alternate Energy Corp. Now Exclusive Owner Of Low-Cost Hydrogen Production Technology

Alternate Energy Corporation (OTCBB: ARGY) today announced that it has purchased the technology rights to supply affordable hydrogen to any company that needs it. Formerly the exclusive licensee, AEC has expanded its investment in this exciting and innovative technology. 

This acquisition elevates AEC into the position of sole proprietor of the world's most economically produced hydrogen. In addition, this ownership stake follows closely on the heels of last week's successful testing of AEC hydrogen in a live fuel cell. 

According to Blaine Froats, Chairman of AEC, "With this purchase we are now poised to serve every type of fuel cell application in any market on the planet." 

Prior to this acquisition, AEC owned only a 40-year license to supply alkaline-focused fuel cell companies with the affordable hydrogen. AEC now possesses a joint ownership to a patent that will be applied for with the inventor. Under the new arrangement AEC now has the right to supply the entire fuel cell industry with its low cost hydrogen. 

"The unanimous decision to buy out the technology was based on a number of re-affirming test results which were recently conducted - in particular, the successful joint fuel cell test. These technology-validating trials confirmed in our minds that we needed more 'skin' in the game, as it represented an enormous business opportunity for our company and its shareholders," said Froats. 

In addition to worldwide fuel cell rights, the combined stock/cash agreement with the technology's previous owner insures that all future enhancements to the hydrogen technology are to be integrated at no further cost to the company. On-going modifications will continue as planned as will the originator's technical guidance, under a separate consulting agreement. 



Umicore Fuel Cell Division acquires Catalyst Patents from the Max-Planck-Institute (MPI)

Umicore’s Fuel Cell Division, located in Hanau-Wolfgang, Germany, has acquired various protective rights related to a new fuel cell catalyst technology from German Max-Planck-Institute für Kohlenforschung (MPI) in Mülheim, Germany. Based on a unique nano-technology process, the Max-Planck-Institute invented new methods and procedures for manufacturing high performance electrocatalyst materials with superior, stable precious
metal dispersions even at high loading levels. Electrocatalysts are the core of Umicore’s MEA (membrane-electrode-assembly) technology and thus are of primary importance for the lifetime, performance and cost efficiency of polymer electrolyte membrane fuel cells (PEMFC) and direct methanol fuel cells (DMFC).

The patent portfolio acquired by Umicore incorporates three US patents as well as their foreign counterparts in Europe, Canada and Japan. It is based on research and development work performed by Prof. M. Reetz and Prof. H. Boennemann in the field of catalysis and nano-technology, and offers broad
protection for nano-sized precious metal colloids, for manufacturing methods as well as for precious metal colloid based fuel cell catalysts.

Those protective rights significantly strengthen Umicore’s intellectual property position and fit well into the company’s global fuel cell patent portfolio. Furthermore, they are in line with the ongoing research activities in the field of catalysis.

The Fuel Cell Division of Umicore is a global leader in the development and manufacturing of advanced components for fuel cell systems and operates the first production line for membrane electrode assemblies in Europe. Fuel cells have significant potential as an energy source in a number of stationary,
mobile and automotive applications. Umicore is committed to developing new products that contribute to progress in energy technology, communication technology and environmental protection.

For more information:
n.v. Umicore s.a.:
Investor Relations : Mrs Isabelle MICHOTTE - Tel. +32 2 227 71 47 – isabelle.michotte@umicore.com
Press: Mr Eddy CORNELIS - Tel. +32 2 227 70 64 - +32 475 84 00 94 – eddy.cornelis@umicore.com
 



Manitoba and Iceland Sign MOU to Promote Hydrogen Development

REYKJAVIK--Manitoba's leadership in transportation and hydrogen production will be enhanced as Energy, Science and Technology Minister Tim Sale anIceland Minister of Industry and Commerce Valgerður Sverrisdóttir sign a memorandum of understanding (MOU) on hydrogen development today.

"Manitoba and Iceland share many cultural and business ties as well as a common interest in renewable energy and hydrogen," said Sale. "Iceland has taken a leadership role and gained considerable profile globally in the area of hydrogen development. Today's agreement will promote greater partnerships in this area between our two jurisdictions and will enable Manitoba to build on our recently unveiled initiatives including a preliminary report on hydrogen development and a unique hybrid fuel cell bus demonstration project."

The MOU states that Manitoba and Iceland will pursue the potential for joint initiatives on hydrogen development. The two jurisdictions will also investigate the benefits of the exchange of people and information, and joint research and training initiatives, in relation to hydrogen development activities. The agreement could lead to an important mutual bridge between North American and European markets

"Manitoba and Iceland have strong cultural ties all the way back to the 1870s and share a similar focus in many fields like energy," said Valgerður. "One element of our policy is to create here in Iceland a favourable Platform for International Hydrogen Research. We in Iceland and Canada have possibilities to realize our plans for hydrogen development by using our vision, technology, opportunities, co-operation and knowledge. We have long way to go--but nothing happens without a dream, and we must have a dream for a better world."

The Government of Iceland has made public its plans for enhancing development towards a future hydrogen economy including the production of hydrogen, the use of fuel cells for transportation purposes, and the development of hydrogen related expertise and technology. Iceland has made strides to establish itself as an international leader in adoption of hydrogen including important international partnerships with companies such as Shell, Norsk Hydro and Daimler-Chrysler.

The Government of Manitoba is committed to examining and pursuing opportunities for hydrogen development through the Manitoba Hydrogen Steering Committee. In addition to today's MOU signing with Iceland, Manitoba will continue to pursue a hydrogen fuel cell transit bus project, investigate the establishment of a Hydrogen Research Centre of Expertise, investigate a stationary fuel cell demonstration project and implement a commercial electrolysis unit at the Manitoba Hydro Dorsey converter station. These initiatives and the Preliminary Hydrogen Opportunities Report will be discussed at meetings coinciding with the signing ceremonies.

The trip will connect with meetings arranged by Powering the Plains, a public-private, regional and bi-national initiative dedicated to developing energy and agricultural policies that add value to their region's economy and reduce the risk of climate change and other environmental concerns. Top government officials, industry and agriculture executives, and renewable energy and sustainable agriculture advocates from Iowa, Minnesota, North and South Dakota and Manitoba are meeting in four leading energy countries, the Netherlands, Germany, Denmark and Iceland. They are seeking energy solutions that will position their jurisdictions to prosper over the next several decades and beyond.

The delegation is focusing on the broad themes of climate change mitigation, renewable energy development and transition steps toward a hydrogen economy, meeting with key policy and business leaders in each host country. In addition, the members of the delegation hope to build relationships and lay a foundation for potential partnerships between their governments and private institutions and their counterparts abroad, and apply the lessons learned from their visit to their region.




Energy Secretary Spencer Abraham announes new phase of fuel-cell research

WASHINGTON (09/22/03) -- Secretary of Energy Spencer Abraham has announced a new phase of fuel-cell research designed to hasten the wider availability of zero-emissions energy.  The 10 Department of Energy (DOE) research grants, totaling $4.2 million, will be matched by another $1.2 million from university and private sector participants for research aimed at resolving obstacles to fuel-cell use. 

“The President's Hydrogen and Climate Initiatives envision fuel cells playing a prominent role in the economy and everyday life,” Secretary Abraham said, “For that to occur, we have to reduce the costs of fuel cell acquisition and use.  These projects address the most important priorities identified by industry and researchers, and were chosen for their technological impact and high potential for overall success.”

Selected by DOE's Solid State Energy Conversion Alliance (SECA) Program, the grant-winning projects are focused on developing improvements in fuel cell materials and performance, as well as attaining target capital costs of less than $400 per kilowatt, all of which will make fuel cells extremely competitive with conventional power generation. The grant-winning projects are:

Texas A&M, College Station, Texas, will design and develop a new class of power converters, which transform direct current into alternating current, to improve performance and optimize size, weight, cost, and volume of their application in solid oxide fuel cells (SOFC). A prototype will be designed and built to evaluate the effectiveness of circuit and control schemes aimed at efficiency and reliability.    DOE award: $147,149; Cost share: $36,832.

University of Florida, Gainesville, Fla., will advance understanding of mixed ionic-electronic conductor electrodes to improve their performance in solid oxide fuel cells.    Final project deliverables will consist of software modules for incorporating an electrochemical model into solid oxide fuel cell failure analysis software developed by NETL, Pacific Northwest National Laboratory, and Oak Ridge National Laboratory, and used by the SECA industry teams.    DOE award: $500,000; Cost share: $125,000.

University of Washington, Seattle, Wash., will continue development of tools that help optimize and diagnose solid oxide fuel cell cathode materials, with the goal of a stable, mixed-conducting cathode with superior operating characteristics.    DOE award: $510,613; Cost share: $155,711.

NexTech Materials Ltd., Lewis Center, Ohio, will develop methods to reduce production cost of powders used in solid oxide fuel cell components.    Sample powders will be evaluated by SECA industry teams.    DOE award:  $500,000; Cost share: $125,000.

University of Pittsburgh, Pittsburgh, Pa., will develop procedures to evaluate the stability of current and candidate electrical interconnect materials; study the thermo-mechanical behavior of interconnect materials; develop an accelerated testing technique; and investigate “new” metallic materials as interconnect materials.    DOE award: $496,534; Cost share: $129,082.

Virginia Polytechnic Institute and State University, Blacksburg, Va., will develop a low-cost converter for SOFCs.   A prototype developed in Phase I allows for smaller passive components. Because the filter size was reduced and ampere sensors eliminated, a major cost reduction may be realized.    Phase II work will focus on interface and communication to the solid oxide fuel cell controller, and the package will be refined to demonstrate commercial viability.   DOE award: $224,613; Cost share: $56,968.

Ceramatec Inc., Salt Lake City, Utah, will continue developing and evaluating metallic interconnects for solid oxide fuel cells by optimizing Phase I work.    Phase II will enhance long-term stability of interconnect conductive coatings.   Other activities include testing the material in realistic conditions that mimic the harsh environments found in solid oxide fuel cells.   Final process verification will be performed in stack tests, and metal interconnects will be available to SECA partners for evaluation.   DOE award: $499,887; Cost share: $124,972.

Georgia Tech Research Corp., Atlanta, Ga., will establish analytical algorithms for modeling and simulation of fuel cell components and stacks to analyze solid oxide fuel cell failure modes, reliability, and durability.    Developers could use the algorithms to determine reliability and life limits of cell components used in solid oxide fuel cell systems.   The goal is to develop modeling tools that accurately predict fuel cell failure to guide designers in creating long-lasting, commercially viable, solid oxide fuel cell products.   DOE award: $500,000; Cost share: $125,000.

Georgia Tech Research Corp., Atlanta, Ga., will enhance cathode design through mathematical models. The project will include making electrodes using combustion chemical vapor deposition techniques.    DOE award: $500,000; Cost share: $125,000.

University of Illinois, Chicago, Ill., will characterize electrical feedback to fuel cell stacks and its effect on solid oxide fuel cell performance, control stability, and service life. The project will focus on developing interaction-analysis techniques for cells, stacks, electrical components, and system-level parameters.   Applicable to a range of solid oxide fuel cell designs, the models will be used to determine reliability and fault issues, and to develop control-and-optimization strategies to optimize design and reduce costs for solid oxide fuel cell power systems.   DOE award: $300,000; Cost share: $195,424.




Pekin plant to produce hydrogen fuel cells
 
PEKIN - A Pekin ethanol plant will use its alcohol fuel to produce hydrogen power by the end of this year, an experimental project that would be the first of its kind in the nation. 

Aventine Renewable Energy Inc., formerly Williams Bio-energy, will produce hydrogen fuel cells to create about 250 kilowatts of electricity to power the company's security office and conference center. 

"We see the opportunities that fuel cells will provide. It's a matter of when," Aventine President Ronald Miller said Monday. "Ethanol will have a role in the hydrogen economy."

Miller spoke Monday at a regional hydrogen energy forum in Peoria, the first in a statewide series of such events. It was hosted by Peoria NEXT, the central Illinois biocollaborative, and Illinois 2H2, a group promoting hydrogen energy that was established by the Illinois Coalition and the Illinois Department of Commerce & Economic Opportunity. 

About 50 people, including elected officials, academics and labor leaders, attended the forum. 

"This is not any more an environmentalist-type dream," Chris Tynan of the Illinois Coalition business group told the audience. "The question is when and how do we accelerate" the coming hydrogen economy using Illinois resources such as coal and ethanol. 

Aventine is a partner with Caterpillar Inc. in the $2.5 million ethanol-to-hydrogen fuel cell project.

The U.S. Department of Energy is contributing $800,000 to the project, the state of Illinois is providing $550,000, Nuvera Fuel Cells of Cambridge, Mass., is spending $670,000 and Caterpillar is paying $390,000. 

If successful, the method of energy production could be used for much larger applications in the future, such as full-scale power plants.

"We've committed about $200,000 in money and in-kind support for the ethanol fuel," Miller said. 

Randall Richards, manager of sustainability of Caterpillar's research and development department, said coal gasification technology also can be used to extract hydrogen for fuel. 

Illinois has abundant coal resources, and with better mining technology, coal might provide the environmentally clean, large-scale "high volume energy supply" that will be needed in the future, he said. 

"There will be niche opportunities to supply hydrogen," he said. "Caterpillar is interested in the hydrogen economy and how it will evolve." 

Both Richards and Miller predicted that hydrogen will be efficiently extracted from nature in various ways and used for fuel, but said that more research and new technologies will be needed. 

Some audience members expressed reservations.

Dennis Kallby of Peoria, a Caterpillar retiree who said he has a college degree in biochemistry, criticized the complex systems discussed Monday.

"I'd like to get independent" from the corporations, he said. 

Solar energy could be used to extract hydrogen from water without carbon dioxide waste from coal gasification or other waste, he said. "Using water and sun is free." 

This technology is not being pushed, he said, because "there's no profit in it."
 




Quantum Awarded Contract for Hydrogen Refueling System

Quantum Fuel Systems Technologies Worldwide, Inc. (Nasdaq: QTWW), announced today it has received
an order from a major European-based automaker for a transportable 10,000-psi (70 MPa) hydrogen refueling system.  This refueling system will be used to refuel fuel cell vehicles operating with Quantum's 10,000-psi hydrogen fuel systems.

Quantum has developed and launched a line of stationary, portable, and mobile 5,000 and 10,000-psi hydrogen-refueling systems to support the emerging fuel cell market.  Quantum's portable refueling units are designed to be user friendly based on simple and fully automated controls.  They feature an interactive touch screen, one-button operation, automatic shut-off, and incorporate multiple redundant safety mechanisms and fueling controls compatible with California Fuel Cell Partnership or SAE protocols.  The units are also designed with a defueling capability, which is an important feature that facilitates vehicle service operations.  They operate on standard industrial power supplies and do not have special utility requirements.

Quantum's refuelers are certified for use as refueling appliances by Germany's regulatory agency, TUV (Technischer Uberwachungs Verein). Certification agencies and industry specifications require the units to safely
manage pressure, temperature, and potential gas leakage issues with redundant safety features and thorough test and validation of components and systems.

"This contract expands Quantum's hydrogen refueling system products from our current 5,000-psi offering to 10,000-psi.  The higher pressure storage systems developed by Quantum, which this new refueling system will now support, translate directly into a greater vehicle driving range for hydrogen fueled vehicles, a critical factor for the commercialization of fuel cell vehicles," said Alan P. Niedzwiecki, President and CEO.  "Our refueling
products are helping to provide the early underpinnings of the hydrogen refueling infrastructure market that is developing as we move toward a hydrogen economy."




Dynetek Industries Ltd. to Deliver Hydrogen Fuel Storage Systems to DaimlerChrysler

Dynetek Industries Ltd. ("Dynetek"), a leader in developing, producing and marketing lightweight compressed natural gas (CNG) storage cylinders and compressed hydrogen storage cylinders, announced today it will deliver 60 on-board hydrogen fuel storage systems for DaimlerChrysler's Mercedes-Benz A-Class "Fuel-Cell" vehicles. Dynetek is providing the fuel storage solution using its certified 350 bar (5000 psi) hydrogen fuel storage system. The storage systems can be used on a world wide basis having been certified in Japan to Reijikiun Betlan-9 standard with approval by KHK, Germany under TUV and in North America under NGV-2 2000.

Dynetek continues to work with DaimlerChrysler after delivering hydrogen storage systems in 2002 and 2003 for 30 Citaro buses which are to be operated in revenue-service in ten major European cities.

"We are honored to be working with DaimlerChrysler in helping lead the way in adoption of zero-emission fuel cell technology," said Robb Thompson, Dynetek's President and CEO. "These vehicles will be introduced in limited customer fleets in Europe, Japan, Singapore and the United States beginning in 2003."




Caterpillar, FuelCell Energy, Announce First Joint Power Plant Sale In California

Caterpillar Inc. (NYSE: CAT) and FuelCell Energy, Inc. (Nasdaq: FCEL) have announced their first joint sale of an ultra-low emissions fuel cell power generation plant in the state of California.  The 250-kilowatt Direct
FuelCell(R) (DFC(R)) power plant will be used by the Los Angeles County Sanitation Districts (Districts), which expect the new plant to provide energy cost savings compared to current utility rates in the Los Angeles area.

The sale, completed by Quinn Power Systems Associates, the Caterpillar dealer representing a portion of southern California, will include site engineering and installation of the FuelCell Energy DFC300A power plant and related equipment.   The Districts are a group of independent special districts serving about 5.4 million residents living in Los Angeles County. The Districts, which treat about 530 million gallons of wastewater each day, are industry leaders in recovering and utilizing biogas and biomass byproducts from waste to generate electricity.

"We believe California represents an exciting market for fuel cell power generation equipment," said James J. Parker, Caterpillar Vice President with responsibility for the Power Systems Marketing Division.   "As the world
leader in distributed power generation, we see a growing need for all of Caterpillar's broad power generation product line, which delivers low operating costs, proven reliability and global distribution and support."

"This is a significant transaction for FuelCell energy and it represents our fifth order for a wastewater treatment application in the U.S. and Japan, a clear market for DFC power plants," said Jerry D. Leitman, Chairman and CEO of FuelCell Energy.   "This sale marks the first project with Caterpillar in California, and demonstrates our ability to leverage Caterpillar's dealer relationships, along with turn-key project delivery and service capabilities."

The Districts plan to install the fuel cell unit at its Palmdale Water Reclamation Plant in northwest Los Angeles County.   Delivery of the unit is expected in the fourth quarter of 2004.   The District is receiving $1,125,000
in renewable incentive funding for the project from the California Public Utilities Commission.  However, full financial details of the sale were not disclosed.

In April 2002, Caterpillar and FuelCell Energy signed an alliance agreement to distribute and develop ultra-low emission fuel cell power generation products for industrial and commercial use.  The agreement calls for the companies to jointly develop power plants in the 250 kW to 3MW size range, incorporating FuelCell Energy's fuel cell module.

Direct FuelCells(R) generate electricity with no combustion.  They are, in effect, like large continuously operating batteries that generate electricity as long as fuel, such as natural gas, is supplied.  Since the fuel is not
burned, there are virtually no emissions.  In addition, because DFC power plants are designed to generate hydrogen internally, they are commercially available today without waiting for development of a hydrogen supply
infrastructure.




European Funding for Rolls-Royce Fuel Cell Development

Rolls-Royce has taken a significant step forward in its mission to create cleaner and more efficient power systems with the announcement of European Commission (EC) funding for the continued development of fuel cell technology. The total value of the programme is €10 million, including contributions from the EC, Rolls-Royce and European partners.

Rolls-Royce, through its wholly owned subsidiary, Rolls-Royce Fuel Cells Systems Limited (RRFCS), is leading the programme. Significant contributions will be made by European organisations including the University of Genoa, Gaz de France, The Morgan Crucible plc and Risoe National Laboratory, Denmark.

The project aims to advance Europe’s present fuel cell capabilities by focusing on six key research packages. Together these have the longer-term potential to convert fundamental fuel cell technology into commercially viable energy conversion systems.

RRFCS is developing a solid-oxide fuel cell (SOFC) gas turbine hybrid system fuelled by natural gas for megawatt-sized stationary power generation applications. This type of fuel cell could also be developed at a later stage for various transport, defence and marine applications.

Using the patented Integrated Planar – Solid Oxide Fuel Cell technology (IP-SOFC), RRFCS is confident it can develop integrated fuel cell systems that create safe, cost competitive, long-lasting and low-maintenance power systems that run with minimal noise and with negligible air emissions.

Morgan Crucible, through its Advanced Ceramics Division, is assisting in the design and development of critical components. Morgan Advanced Ceramics utilises its application engineering expertise and materials knowledge to provide innovative solutions to their customers’ challenges and in this case have supplied ceramic components that address the operational criteria in the environment inherent in solid-oxide fuel cell technology. 

Gaz de France is providing fuel cell analysis and test services in order to assess the RRFCS technology and its compatibility with fuels derived from natural gas. Gaz de France wishes to develop a business around the fuel cells when they emerge in the markets, offering global services for CHP fuel cell units.

The University of Genoa – TPG (Thermochemical Power Group) is supporting the design of the fuel cells through fuel cell stack modelling and detailed system performance simulations.

Risoe National Laboratory contributes to the development of more durable cells by studying the electrode behaviour (both anode and cathode) under simulated operating conditions.

The project leverages the capabilities of each of the partners and offers perspective from suppliers, universities and end users in multiple European nations.




Energy Conversion Devices, Inc has received $200,280 in funding from South Coast Air Quality Management District

Demonstration of New Generation Alternative Energy Vehicle Proves The Hydrogen Economy is a Closer Reality; Air Quality Management District Provides Technology Incentive Funding
 

Energy Conversion Devices, Inc. (ECD Ovonics) (Nasdaq: ENER - News), the pioneer in hydrogen-based energy solutions, announced today that the company has received $200,280 in funding from South Coast Air Quality Management District (AQMD) for a project which will usher in a new generation of alternative energy vehicles and a refueling infrastructure -- moving the world closer to a fully realized hydrogen economy. As part of the project, ECD Ovonics will demonstrate a fuel system that allows for portable low pressure, solid hydrogen refueling and a hydrogen internal combustion engine (ICE) vehicle. Both the dispenser and the vehicle are seen as bridging the gap toward the commercial viability of vehicles powered solely by fuel cells.

This technology will be unveiled today at Challenge Bibendum, Michelin's premier environmental vehicle event in Sonoma, Calif., with further details highlighted in an announcement released earlier today by ECD Ovonics.

AQMD's investment will provide, in part, for the integration and demonstration of an electric hybrid/hydrogen ICE vehicle and refueling method that uses metal hydrides instead of high-pressure tanks. ECD Ovonics' industry leading work is providing the bridge between current liquid and high- pressure hydrogen storage systems to a new generation of safe and reliable hydrogen ICE vehicles.




Texaco Ovonic Hydrogen Systems Storage Technology to Bring Hydrogen Storage Systems

A Texaco Ovonic Hydrogen Systems (TOHS) innovation in compact, solid hydrogen storage enables hydrogen powered cars with a similar range, performance and refueling experience as vehicles today.

TOHS' solution is its proprietary hydride storage system, which can be used both at the refueling site and onboard the vehicle.  It uses a powdered metal alloy within a storage tank to absorb and store hydrogen in a significantly lower 1,500 psi pressure environment, a reversal of the current trend toward 10,000 psi gaseous storage.

This system works by absorbing hydrogen into a solid metal alloy while removing any heat released by this reaction.  The result is hydrogen that is now stored safely in a solid, inert state, only to be released on demand when heated.  This process would ideally make use of the waste heat from either an internal combustion or fuel cell powerplant.

Showcasing this breakthrough is a hybrid sedan (a 2002 Toyota Prius) that TOHS has modified to run on its new low-pressure, solid hydrogen storage system.  TOHS engineers identified the Prius as a logical platform for demonstrating solid hydrogen storage because of the hybrid's ability to integrate battery electric, internal combustion, and combined internal
combustion-electric propulsion to provide expected levels of performance while achieving high fuel economy.

"The distinction with the converted Prius is that it eliminates pollutant emissions except for low levels of NOx, even when driving under internal combustion engine (ICE) power," said Stanford R. Ovshinsky, president of TOHS, and ECD Ovonics' co-founder, president, and CEO.  "But the advantages of our storage technology do not stop there.  The technology can potentially be applied to all Internal Combustion Engine vehicles, not just hybrids and, of course, the Ovonic solid hydrogen system is also applicable directly to fuel cell models so it has potential application with a variety of models from the
automakers."

In the specially equipped modified Prius that is currently being used to demonstrate the technology, a trunk-mounted 60-liter pressure vessel stores three kg of hydrogen to provide a 130+ mile range.  Refueling at 1,500 psi takes 10 minutes, but could decrease to just five minutes with future designs.

According to Ovshinsky, DOE's 250-mile range target could be achievable with the use of a five kg Ovonic(TM) solid hydrogen storage system, and TOHS is already prototyping systems with potentially greater ranges.  Because refueling is done at such low pressure, no extraordinary improvements in station compressors, regulators, connectors, or new high-pressure pipelines are required.

Similarly sized 5,000 psi compressed hydrogen tanks hold just one kg of hydrogen while providing a range of about 50 miles.  In overcoming range and storage issues with current technology, TOHS' low-pressure solid storage allows today's internal combustion engine technology ?- as well as developing fuel cell technology -? to use hydrogen fuel.

TOHS' low-pressure, hydrogen fuel tanks can also be used at refueling stations allowing drivers to refuel their hydrogen-fueled vehicles safely and easily.  Because these solid storage systems are compact and work at low pressure, refueling sites can be smaller with simpler designs.  Expensive high pressure storage tanks and the compressors to fill them would no longer be needed.  The tanks can also be located underground similar to the way gasoline
tanks are now.

"Hydrogen is widely recognized as the most promising path to our transportation future," said Ovshinsky.  "But getting to that future is our current challenge.  We believe that taking an integrated system approach with onboard as well as off-board (refueling) storage of this fuel leads to a logical short- and even long-term solution."



QinetiQ and Voller Energy sign agreement to produce small tubular fuel cells

The dream of producing lightweight, portable fuel cell devices to power mass market power electronic devices such as laptops, video cameras or even mobile phones has come one step closer to reality. QinetiQ, Europe’s leading science and technology provider, and Voller Energy, a manufacturer of portable fuel cells signed an agreement today. 

The licensing agreement, signed during this year’s Grove Fuel Cell Symposium at the ExCel Centre in London, covers the manufacture of QinetiQ’s 2W tubular PEM fuel cell technology. 

The 30mm long tubular hydrogen based fuel cell can also be adapted to operate from liquid fuels. No pumps or fans are required for the tubular design. Fuel is fed into the cylinder and surrounding air provides the oxygen. When running on hydrogen, the fuel cell produces 2W. 

”The tubular fuel cell design is ideal as a battery replacement for smaller applications, including mobile phones” says Gary Mepsted, a QinetiQ technology manager. “We are very excited at the prospect, now to be accelerated through our agreement with Voller Energy.” 

Stephen Voller, CEO of Voller Energy, already produces a range of portable battery chargers and mobile generators that use the fuel cell technology. Voller’s new portable system, the Portapac VE100 is the size of a small attaché case and features a selectable 60Hz 110V or 50Hz 230V AC mains supply and a 12V DC battery charging supply. 

Stephen Voller said: “My priority is to provide the same talk time for a new style 3G mobile as users currently have with existing technology. We also want to provide notebook computer users who use power hungry wireless connections sufficient power for their laptops.” 




Toyota Expands Its Real-World Testing of Fuel Cell Hydrogen Vehicles-

Two more vehicles would be put into action with the assistance of the University of California, Irvine and the University of California, Davis.

Toyota's commitment to gaining real-world experience for its Fuel Cell Hydrogen Vehicles (FCHV) took another step forward today when it was announced that two more vehicles would be put into action with the assistance of the University of California, Irvine and the University of California, Davis.
   
The FCHVs will be leased by UC Irvine's National Fuel Cell Research Center ( http://www.nfcrc.uci.edu ) and by UC Davis' Institute of Transportation Studies ( http://its.ucdavis.edu ).  These will be the second Toyota fuel cell vehicles for each of the schools.  Since the first wave of vehicles was announced in December 2002, the two FCHVs have logged nearly 6,000 miles.
    
The new FCHVs have been improved for U.S. use, including left-hand drive operation, improved braking performance and a new navigation system.
    
The addition of these vehicles will bring the total number of FCHVs on the road to 18.  Four will be with the universities, three with the California Fuel Cell Partnership, one at Toyota Motor Sales, U.S.A., Inc. and 10 with Japanese government agencies and private companies.
    
"Fuel cell vehicles are widely hailed as the automotive technology of the future, but Toyota is taking the lead by getting hands-on experience today," said Jim Press, Toyota's chief operating officer.  "The universities are playing a vital role by providing feedback and data that will help us evolve this technology for tomorrow's consumers."
Toyota's FCHVs are based on the Highlander mid-sized sport utility vehicle and contain a Toyota-developed proprietary fuel cell system with four 5,000-psi hydrogen fuel tanks.  Hydrogen gas feeds into the fuel cell stack where it is combined with oxygen.  This generates a peak of 90 KW of electricity that powers the 109-hp electric motor (194 lb-ft of torque) and charges the vehicle's nickel-metal hydride batteries which also feed power-on-demand to the electric motor.  The only emission is clean water vapor.
    
By applying the hybrid technologies developed in the Toyota Prius gas-electric hybrid vehicle, the Toyota FCHV fuel cell electric system precisely regulates power flow from the fuel cell stack and battery to achieve high efficiency, excellent acceleration and a smooth quiet ride.  The FCHV has a top speed of 96 mph.  It has a lighter body shell than the Highlander,
thanks to the use of aluminum in the roof, fenders and other components.
    
The FCHVs have a maximum range of about 180 miles, so the development of a hydrogen fueling infrastructure is critical to fuel cell vehicle success.
Toyota has been working diligently with a variety of companies and agencies, including the California Air Resources Board (CARB), South Coast Air Quality District (SCAQMD), Air Products and Stuart Energy to establish fueling stations.
    
Toyota's commitment to real-world testing began in July 2001 in cooperation with the California Fuel Cell Partnership, a public-private venture dedicated to demonstrating fuel cell technology in California.
   
"We've come a long way in setting up this fuel cell community," said Press.  "This isn't a science project for Toyota and for the universities -- it's a real test of the strengths and liimitations of fuel cells.  And, now that each school has twice as many fuel cell vehicles, we look forward to even more feedback on how to make this technology feasible forthe future."



Palcan Fuel Cells Receives Funding to Begin Manufacturing Process;Natural Resources Canada

Palcan Fuel Cells Receives Funding to Begin Manufacturing Process; Natural Resources Canada to
Contribute $175,000 Towards Palcan's Membrane Electrode Assembly

Palcan Fuel Cells Ltd. (TSX-V: PC)  is pleased to announce that as a result of Canada's Efficiency  and Alternative Energy Program Contribution Agreement with  Palcan, the second phase in Palcan's Membrane Electrode Assembly  (MEA) automation process has been funded by Natural Resources  Canada for an additional $175,000. 
 
The objective of the joint "Milestones to Commercial Production Program" with Natural Resources Canada, a Federal Government  Ministry, is to improve the performance of the membrane electrode  assembly and increase the output capacity so that high quality  Proton Exchange Membrane (PEM) fuel cells can be mass produced at low, per unit cost. The current density (current produced per unit area) of the MEA is a critical performance factor in fuel cells and a larger current density is superior 

The MEA is the "heart" of the fuel cell and as the computer relies on the "computer chip" for its performance, similarly a 
fuel cell relies on the MEA. The total program for the MEA project encompasses a budget upwards of $500,000 for the combined research, development, and hardware costs associated with the work carried out by Palcan's engineering/technical team. 

Improved quality and reduced production costs of proton exchange membrane fuel cells will accelerate progress toward viable fuel cell powered systems covering all applications. Palcan's business mandate is to produce fuel cells stacks and systems to replace low output battery and internal combustion engine markets, representing the 100-watt to 5 kW range. 

"The Canadian Government's confidence in Palcan and in our unique fuel cell technology allows us to move forward on tooling up for commercialization. This is done by reducing the production costs of our fuel cells and increasing the ultimate performance of the MEA through automation of our production," stated Dr. John Shen, CEO and Founder of Palcan Fuel Cells. "This project targets a new material processing and application technology. It is the continuation of an earlier work which is focused on creating a new coating technology which can be computer controlled for designing MEA parameters," he added. 
 



San Francisco and Honda to Partner on Fuel Cell Car Program

American Honda announced todaythat it will supply two Honda FCX hydrogen powered fuel cell vehicles, the world's first commercially certified fuel cell car, to the City of San Francisco.  This makes San Francisco one of the first U.S. cities to commit to the use of Honda's advanced fuel cell technology in pursuit of improved air quality and energy sustainability.
    
"We're very pleased to have San Francisco as a customer for Honda fuel cell technology," said Gunnar Lindstrom, senior manager of Alternative FuelPrograms for American Honda Motor Co., Inc.  "We applaud the vision and commitment that the leaders of this City have demonstrated by investing in the environment and hydrogen power."
    
The City of San Francisco will add two Honda FCX fuel cell cars to its fleet of alternative fuel and advanced technology vehicles.  The City also intends to create hydrogen refueling infrastructure to support regular daily operation of the vehicles by city employees.
    
"This is a very exciting day for the city of San Francisco as it takes a leadership role by putting hydrogen-powered fuel cell vehicles into practical,everyday use," said Mayor Brown.  "San Francisco's commitment to becoming a hydrogen city is being realized today with the addition of Honda fuel cell vehicles to the city fleet."
    
The hydrogen-powered Honda FCX is the only fuel cell vehicle to earn full certification by both the California Air Resources Board (CARB) and the U.S. Environmental Protection Agency for everyday commercial use.  The FCX is also distinguished by being the first fuel cell vehicle to earn a place in the EPA fuel economy ratings (51city/48highway).
    
"San Francisco has more than 700 advanced technologies vehicles in the City's fleet and one of the nations largest alternative fuel infrastructures," said Jared Blumenfeld, Director of the Department of the Environment.  "Adding the Honda hydrogen-powered fuel cell car is the next critical milestone in our evolution towards non-polluting vehicles.  Over the next few years we hope to provide a model for other cities wanting to make hydrogen fuel cells a reality."
    
The FCX uses fuel cell technology to convert hydrogen into electricity with water and heat as the only byproducts.  The vehicle is driven by an electric motor with power assist provided by a Honda-developed ultra-capacitor.
    
As part of its efforts to bring fuel cell technology to the market, Honda plans to place about 30 fuel cell cars in the U.S. and Japan over the next three years.  Honda undertook fuel cell research in 1989 and has been road testing vehicles in the United States since 2000.  Honda has also been a member of the California Fuel Cell Partnership based in Sacramento, Calif.,
since 1999.
    
Consumer information regarding American Honda is available at
http://www.honda.com .



Plug Power to receive funding from $17.45M military appropriations bill

Once the lastest $17.45 million U.S. Department of Defense appropriations bill is signed off by President Bush, Plug Power will get $4 million for its Common Core Power Production  program. Plug Power through this program is seeking to develop a modular fuel cell system capable of powering a variety of equipment for the military. 

Plug Power will also get $2.5 million to continue to develop its proton exchange membrane  fuel cells. 

"Plug Power has really taken the lead in working with our office to make sure that the funds that were earmarked for the programs made it into the final appropriations bill," said Demetrios Karoutsos, a spokesman for Rep. John Sweeney, R-Clifton Park.




Mitsubushi Unveils a Fuel-Cell Vehicle

Mitsubishi Motors has built its first fuel-cell vehicle, based on its conventionally powered Grandis minivan and ready to begin testing in Japan.

The company is 37 percent owned by DaimlerChrysler, and the car uses that carmaker's technology and a Ballard Power Systems Inc. fuel-cell stack.

The Grandis, not sold in this country, seats five. The fuel-cell version has a top speed of 87mph and a range between refuelings of about 90 miles. Fuel cells generate electricity from a chemical reaction between hydrogen and oxygen.

There are no plans for now to offer this vehicle for sale. 
 


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