Environmental Companies Hit Their Commercialization Milestones
By Victor Bivell
Australia is well known for developing innovative technologies, and among these are many world leading environmental technologies. Despite the subdued stock market at present, many of our early stage companies continue to make progress in bringing their technologies to market, and some have recently achieved key commercial and technological milestones.
In this article we look at four of these exciting businesses: Ceramic Fuel Cells which is commercializing the world's most efficient gas to electricity fuel cell, Carnegie Wave Energy which is developing ocean energy projects in numerous locations around the world, Orbital Corporation which has its new LPG fuel system in the latest model Ford Falcons, and Galaxy Resources which is producing lithium for electric vehicle batteries.
Ceramic Fuel Cells
Ceramic Fuel Cells has developed the world's most efficient gas powered fuel cell. The Combined Heat and Power units come in two models: the BlueGen unit for homes and the Gennex fuel cell module for heating and appliance manufacturers.
The fuel cells produce both electricity and hot water. The BlueGen, which is the size of a dishwasher, can produce twice as much electricity as is needed by the average household, so half can be sold to the grid. At the same time its waste heat can be used to produce hot water for the family.
The fuel cells have the support of governments in energy constrained and cold climate countries such as Germany, United Kingdom, United States and Japan. These are also big markets and have feed-in-tariffs for the electricity.
Ceramic Fuel Cells recently commenced commercial production, and early sales have been very encouraging. Over the past six months, orders have doubled, with many from major utilities that are trying them out before offering them to their clients.
The rising sales are matched by rising revenue. The December 2011 half year sales revenue was triple that of the December 2010 half year.
Ceramic Fuel Cells also has the confidence of investors and recently raised $17 million to ramp up production.
Although the technology has taken 18 years to get to market, rising sales and revenue indicate the company is on the right track, and the size of its markets give enormous potential for growth.
A BlueGen home fuel cell unit
Carnegie Wave Energy
Carnegie Wave Energy is commercializing its CETO wave energy technology that can produce zero-emission baseload power and desalinated water. After 12 years of development, the technology is about to commence generating both power and revenue.
The Perth Wave Energy Project off Garden Island is Australia's most advanced wave power project. The first stage should be completed this year. It will be connected to the grid, produce up to 5 megawatts of electricity, and give Carnegie its first commercial revenues.
Carnegie also has projects in Victoria and NSW, and overseas at Réunion Island near Madagascar, Ireland, Bermuda, and British Columbia in Canada. It is looking at sites in England, Scotland, Chile, China and elsewhere.
Carnegie has won support from the governments of WA, France, Ireland and British Columbia, and has commercial partners in several countries including a very large French utility.
The company has raised over $60 million to get this far, itself a big achievement. It has strong investor support and recently raised $6 million in an oversubscribed share purchase plan.
Carnegie will soon announce the site for its commercial demonstration project. This will be at Garden Island, Réunion Island, British Columbia, Ireland or an as yet unnamed remote island. The project will also see design improvements that will double output and dramatically reduce installation time.
Carnegie's vision is global and its technology compares well with other Australian and international ocean energy developers. The vision of baseload power and desalinated water from wave energy is closer than we may think thanks to this Australian innovation.
How Carnegie’s wave energy technology works
Orbital Corporation
With petrol prices always a hot topic, motorists have for many years been converting their cars to alternative fuels such as LPG. This option is now easier and more attractive thanks to technology from engine efficiency company Orbital Corporation.
The company's new Liquid Propane Injection (LPi) systems overcome the drawbacks of older LPG systems, such as smell, poor cold start, and loss of power at low speed. The LPi systems inject the LPG as a liquid instead of a vapour, giving cooler combustion, better vehicle performance, lower running costs and reduced CO2 emissions.
The technology is part of the new Ford Falcon EcoLPi models which came out last year. It was the first time one of Orbital's projects went into series production, and the Ford Falcon EcoLPi won "Best Large Car Under $60,000" at the Australia's Best Cars awards run by the Australian Automobile Association.
The LPi systems are also available as an option for Holden Special Vehicles' high performance bi-fuel LPG vehicles, and in kit form for the after-market.
The conversion market is not an easy one, but the Australian Government's LPG Vehicle Scheme offers grants to those who convert their existing vehicles, as well as to buyers of new cars with LPG systems.
Orbital says Australia has an abundance of LPG and is the second largest Autogas/ LPG market per capita in the world. With LPG less than half the price of petrol and cleaner, Orbital is confident it is moving in the right direction.
A Ford Falcon EcoLPi
Galaxy Resources
The rise of electric cars and electric bikes is increasing the demand for batteries, and one company that has positioned itself to capitalize on this trend is Galaxy Resources. The company's Mt Cattlin project in Western Australia produces a spodumene concentrate that can be used to make high grade lithium for electric vehicle batteries.
In recent months Galaxy Resources has sent its first shipments of spodumene concentrate to China, where it has just completed the Jiangsu Lithium Carbonate Plant. This is about to commence producing battery-grade lithium carbonate for sale to manufacturers. The factory will be the largest producer of lithium carbonate in Asia-Pacific and the fourth largest in the world.
Despite the early days, Galaxy is already examining whether to expand the plant to also produce battery-grade lithium hydroxide, which can be sold at a higher price than lithium carbonate.
Galaxy also has plans for a lithium ion battery plant to produce 620,000 batteries per year. These would be sold to electric bike manufacturers in China, where the Government is encouraging the rapid rise of e-bikes.
Galaxy aims to be a vertically integrated lithium business. The company says it is bullish about the global outlook for lithium and is working to be involved in every step of the lithium supply chain.
The Jiangsu Lithium Carbonate Plant in China