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(Sharecast News) - Clean Power Hydrogen said in an update on Monday that it would stop manufacturing activities and shift to a capital-light technology development and licensing model after an incident damaged its MFE220 1MW electrolyser during final factory acceptance testing.
The AIM-traded green hydrogen technology company said its initial assessment indicated that a hydrogen-oxygen mixture ignited during automated depressurisation, causing a loss of containment.
No personnel were injured, and the company said its proprietary membrane-free stack and separators were not the cause of the incident, although the detailed failure remains under investigation and the unit is non-operational pending a root-cause analysis expected by 31 August.
CPH2 said its working capital position remained constrained and that its current cash balance was sufficient only until mid-July.
It is in talks over a potential equity fundraising to support the transition, reduce cash burn and potentially allow its AIM suspension to be lifted.
Chief executive Jonathan Duffy and non-executive chair Christopher Train have offered their resignations, with chief commercial officer Richard Scott set to become chief executive following the next fundraise.
Reporting by Josh White for Sharecast.com.
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