Clean Power Hydrogen says all operations suspended after factory testing incident
Clean Power Hydrogen (CPH2) has revealed that all operations have been suspended after an incident which caused “significant damage” to its equipment.
The company said that, in the final stages of testing at the company's dedicated and secure test site facility in Rossington, near Doncaster, the unit experienced an unexpected error, causing it to start a standard shutdown procedure.
The statement added: "During that shutdown procedure, the unit experienced an incident which has caused significant damage to the equipment. In line with the company's health, safety and environmental protection processes, all operations have been suspended and a thorough investigation is underway into the causes of the original error and the subsequent failure.”
The company also confirmed it has been engaged in discussions with some shareholders and prospective new investors regarding a potential equity capital raise to support the next phase of technical and commercial development following completion of the Factory Acceptance Test (FAT)
The statement said: "In light of the incident during testing, these discussions have been paused pending greater technical clarity. As a result, the company has a constrained working capital position and the board is actively evaluating potential funding and strategic options to resolve the immediate liquidity requirement.
“Due to the ongoing uncertainty regarding the company's financial position, its current limited working capital and the circumstances noted above, the company has requested that its shares are suspended from trading on AIM.”
Chief Executive Officer of CPH2, Jon Duffy, said: "This is a disappointing outcome as we approached the final FAT Level 3 testing.
"However, we will immediately start work towards resolving this technical issue so that we are able to minimise any commercial impact on our business."