CERAMIC FUEL CELL 1 KW System

System description:

Gas supply max 0.2Nm3/h NG (2kW)Electric power DC 1.24kW

AC 1kWHeat recovery up to 500W (depends on coolant temperature)Efficiency (on NG) Electrical 50% net

Overall 70% typicalTechnology Stack Ceramic Fuel Cell (planar, not

pressurized, internal steam-reforming)System Ceramic Fuel Cell

References (field trials) Powerco, Szencorp and EWEState of art Product developmentFuture market Residential / small commercial up to 20kW

Chris WilcoxBusiness Development ManagerCFC Europe Ltdchrisw@cfcl.com.au

TECHNICAL ADVICE

Technology

Advantages:- Large experience- High electrical efficiency (better energy quality)- Steam-reforming before stack (in the case of biogas can work as a fuse in electrical circuits, and

protect the stack, the most expensive part of the SOFC system)- "non-binding" letter of intent showing the customer (or one of the partners) intends to make a

business out of using our units for biogas (or other) applications- Factory in Europe, although they still look for collaboration with other companies

Disadvantages:- Planar geometry, worse performance under thermal stresses- Cost per kW high - System development for system up to 5 kW, never over 20kW

Experience SOFC systems

4 units delivered to the field (Powerco, Szencorp and EWE), 10 for EWE in 2007

Experience with biogas

They can run a known composition through a test station

System suitable for demo yes

ITEM COST / TIME INCLUDED NOT INCLUDED

DELIVERY COST EVALUATION

System 70.000€

“out-of-pocket” expenses (including travel, accommodation and living expenses) incurred in providing the Products or Services.

Freight rate CFCL will arrange and pay for freight and

CFCL will on-charge customs duties and

transit insurance to the Site

taxes to Customer

Insurances

Delivery Time

Net~Gen system test (without stack) Q3 2007

Stack Q4 2007

Terms of payment

Little negotiable (significant percentage up front)

Typical (from the total of €140 000): pay around 33% on contract, 33% on hand-over and 34% at the end

OPERATION COSTS EVALUATION

Start-up yes

Monitoring yes

Operation costs

Training a technician

Telephone and e-mail support

Insure the Net~Gen unit against loss or damage to the value of €70 000

Maintenance

Repair or replace any part of the NetGen unit which fails to perform according to the Technical Specification under normal conditions

If the unit fails repeatedly such that it is not commercially viable for CFCL to continue to repair or replace it, both parties will discuss and in good faith attempt to agree an appropriate alternative

Warranty 70.000€

1 year support package

Unlimited replacement stacks, installation, commissioning and manuals in spanish

Additional costs (including delay) due to customer’s delay or failure to comply with its obligations, or events outside the CFCL Party’s reasonable control

After-sales service (logistics)

£500 per day plus taxes