ITM Power Plc (ITMPF)

[Gerry321]

Will ITM licence OB distribution in the US ?
Bi Fuel Ltd folowing their extensive tests have advised ITM that despite the real savings being made by adding trace hydrogen to older HGV diesel engines in North America.......
....the very latest common rail engine design does not significantly benefit in mpg terms by adding H2 to the air intake manifold...
This result does not disprove the fact that adding H2 via the air intake manifold is a proven and viable way of improving mpg in non common rail engines with mpg improvements of 10% to 15%
All it says is that it doesn’t produce a significant saving in common rail engines
So presumably from an ITM standpoint
This rules out retrofitting OBs to any engine which has the common rail design
thus ruling out a deal with an OEM
However it stll leaves a very lucrative retrofit market where ITM can undercut current OB suppliers by up to 80% There are millions of older vehicles on the road today that are not of the common rail design


ITM have the choice of either selling direct or licencing the sale of their OB through one or more of the following
an existing electrolyzer supplier like Proton Energy or Hydrogenics
or
one of the current OB suppliers like CHEC or Hy Drive
or
a major distributor of diesel engine spares
or
A major fleet servicing chain
etc

So what do ITM need to do to exploit this lucrative opportunity ?

Simply to finalise a prototype OB of around 350w and complete the necessary

permitting work needed to obtain approval to sell the product in North America

ITM ought to be able to make a very good margin wholesaling a 350w OB for around $500 - $1000
Leaving the Retailer with a very healthy margin at a selling price of say $1500 -$2000

Versus the $6000 to $10000 being charged at present for these devices

And
By slashing the selling price there ought to be an exponential increase in demand particularly with the high price of diesel