Proton Energy Systems' HOGEN Hydrogen Generators Help Assure Hydrogen Supply Reliability in a Volatile Industrial Gases Market
20 December 2000
Proton Energy Systems' HOGEN Hydrogen Generators Help Assure Hydrogen Supply Reliability in a Volatile Industrial Gases Market
ROCKY HILL, Conn.--Dec. 20. 2000--Proton Energy Systems, Inc. today announced plans for production of additional HOGEN 40 onsite hydrogen generators. These compact systems, introduced in late 1999 by Proton, produce hydrogen gas onsite at the gas users' sites reliably, safely and economically. Walter (Chip) Schroeder, Proton's President, stated "Onsite hydrogen production can ensure reliable hydrogen and reduce customer vulnerability to transportation problems, diesel and labor costs, natural gas price spikes and electrical cost volatility."The HOGEN 40 hydrogen generation systems being manufactured by Proton are expected to be placed both with industrial gas suppliers for use by their customers and with hydrogen end users directly. HOGEN 40 hydrogen generators are already in service with industrial customers in the U.S. and other countries. Customers report that the HOGEN 40 hydrogen generators are providing a cost-effective, steady source of hydrogen with a high degree of reliability based on more than 10,000 hours of operation.
"Recent spikes of natural gas prices have introduced further disarray into a strained hydrogen supply infrastructure in the U.S." stated Dave Wolff, Proton's VP of Sales. "Hydrogen is a key industrial reactant used to process crude oil, to hydrogenate vegetable oil, as an oxygen scavenger in metal heat treating, for making scientific glass articles, or to purify argon or nitrogen in industrial gas manufacture. Small volume pure hydrogen users have generally purchased merchant (delivered) gaseous or liquid hydrogen from industrial gas suppliers. As valuable as it is in an industrial setting, hydrogen is a very challenging gas to ship and store. Because of its extraordinarily low density, the shipping cost to deliver hydrogen by truck often exceeds the value of the hydrogen itself. Proton's HOGEN 40 hydrogen generators eliminate the delivery process to ensure reliability and save users' money."
Proton produces the HOGEN Proton Exchange Membrane (PEM) electrolytic generation system, which uses a solid polymer electrolyte to produce high purity hydrogen using only electricity and water as raw materials. The hydrogen produced by the HOGEN 40 onsite generator is inherently high purity (99.999%) as produced (without additional purification), and is produced at 200 psig without the use of mechanical compression. HOGEN hydrogen generators operate automatically and unattended, require minimal maintenance, and can be remotely monitored. Proton's HOGEN system offers "Hydrogen by Wire" - the ability to produce hydrogen anywhere where electricity can be provided.
Proton Energy Systems, Inc. (www.protonenergy.com) designs, develops and manufactures Proton Exchange Membrane, or PEM, electrochemical products that it employs in hydrogen generating devices and in regenerative fuel cell systems that function as power generating and energy storage devices. Proton's HOGEN(R) and FuelGen(TM) hydrogen generators produce hydrogen from electricity and water in a clean and efficient process using its proprietary PEM technology. Proton is currently manufacturing and delivering late stage development models of its HOGEN hydrogen generators to customers for use in commercial applications, and is currently developing FuelGen hydrogen fueling systems for transportation applications. Proton's UNIGEN(R) regenerative fuel cell systems, which it is currently developing, will combine Proton's hydrogen generation technology with a fuel cell power generator to create an energy device that is able to produce and store the hydrogen fuel it can later use to generate electricity.
This press release contains forward-looking statements for purposes of the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. Statements contained herein that are not statements of historical fact may be deemed to be forward-looking information. Without limiting the foregoing, references to our future growth or expansion or demand for our products are forward-looking, and words such as "anticipates," "believes," "could," "estimate," "expect," "intend," "may," "might," "should," "will," and "would" and other forms of these words or similar words are intended to identify forward-looking information. You should read these statements carefully, because Proton's actual results may differ materially from those indicated by these forward-looking statements as a result of various important factors. Factors that could cause results to differ materially from those contained in Proton's forward-looking statements include, but are not limited to, our failure to complete development of our products, failure of our products to achieve commercial acceptance, our inability to expand our production facilities, manufacture our products at commercially acceptable costs or establish distribution relationships, the impact of competitive products and other factors detailed from time to time in our SEC filings. For additional information regarding risk factors that could affect our future results, please refer to the discussion of "Certain Factors That May Affect Future Results" in our Form 10-Q for the quarter ended September 30, 2000 and other filings made from time to time with the SEC.