Helbio Receives Order for Fuel Cell Power System with Reformer Operating on Bio-Ethanol


Helbio Receives Order for Fuel Cell Power System with Reformer Operating on
Bio-Ethanol

Helbio S.A. in Patras, Greece, a subsidiary company of Morphic Technologies AB,
has received an order from the University of Milano for a Fuel Cell Power System
operating on bio-ethanol (GH2-5000 Energy System). A group of Italian investors
has subcontracted the University of Milano to evaluate the unique power system,
and after this evaluation Helbio has agreed to discuss volume deliveries and/or
license cooperation.

The GH2-5000 Energy System has been designed to operate in remote locations,
without the need for external power input. It can be monitored and controlled
remotely. The integrated fuel cell is manufactured by Exergy Fuel Cells, a
Morphic subsidiary based in Bologna, Italy.

The Power System now ordered is the second ethanol- powered fuel cell of this
kind sold by Helbio. The first unit was sold to an ethanol- producing company in
Greece, and has now been in operation for about six months.

The GH2-5000 Energy System delivers 5 kW electrical energy and at least 5 kW
thermal energy, using bio-ethanol as the energy source. It consists of a fuel
processor which converts bio-ethanol and water into a hydrogen rich stream,
suitable to be fed into a PEM fuel cell. Reformation of ethanol is carried out
in the steam-reforming mode within specially designed reactor/catalyst system.
Elimination of CO is achieved by two water gas shift reactors and a methanation
reactor. The effluent contains less than 20 ppm CO. The fuel cell used in this
system is manufactured by Exergy Fuel Cells, The fuel processor and the fuel
cell are highly integrated and controlled via a common scheme, thus operating in
a very efficient manner. The overall efficiency of the system exceeds 90%.

“Helbio and Exergy are the only companies worldwide which can provide integrated
fuel cell energy systems based on renewable raw materials such as bio-ethanol,
and we are of course very proud that our new power system has been selected by a
major industrial actor for evaluation by the highly respected and qualified
University of Milano”, says Professor Xenophon Verykios, Managing Director of
Helbio S.A. 

Facts about Bio-Ethanol
Bio- ethanol is produced via saccharification/fermentation of biomass materials
containing starch and sugars. Second generation bio-ethanol production, by use
of lignocellulosic materials, is in demonstration phase. 

Use of bio-ethanol for power production has many advantages which include
CO2-nutral production, ease of transportation and storage, high energy density
of the stored raw material, local availability, etc. It must also be emphasized
that the Helbio Energy System does not require pure ethanol but an aqueous
solution containing about 60-80% ethanol. This makes the energy carrier
considerably less expensive since the energy intensive separation step is
reduced to a large extent.


Facts about Helbio and Exergy
Helbio and Exergy were acquired by Morphic Technologies during the second half
of 2007, as a part of Morphic´s strategic development and ambition to become a
world leading provider of fuel cell end energy conversion products for renewable
energy.
Exergy manufactures high performance PEM stacks and fuel cell systems for power
generation, back- up power for telecom, APU units for recreation vehicles and
boats, forklifts etc, and is now ready for volume production of these products.

Helbio has developed reformers for generation of extremely clean hydrogen from
raw materials as bio- gas, bio- ethanol, LPG and other hydrocarbons. Helbio also
possesses world- leading catalyst know- how and manufacturing technology, which
is the real core science for the development of all fuel cell and related energy
conversion products

The main purpose of acquiring the companies was to enable co- development and
integration of their products, since this is the only way to be able to produce
cost- efficient energy systems based on these new technologies.

“It is with great pleasure we note that the cooperation between our highly
specialized companies has already resulted in first in class integrated
products, and that the companies are receiving break-through orders for these
unique products. It means that the synergies between the companies, the people
and the technologies has been verified and applied into real products
successfully”, says Kurt Dahlberg, head of market development, Morphic
Technologies

Morphic's fuel cell power systems, which operate on renewable raw materials such
as bio-ethanol and biogas are addressing the need for power production with zero
emissions, using locally available raw materials or energy carriers. Such
applications are particularly advantageous in remote, out of grid locations,
such as islands, in farming areas, in locations where the network is not stable,
in agricultural and food industries which produce large quantities of organic
waste and in municipal waste water treatment plants and solid waste disposal
sites. 

Morphic, Fuel Cells and Energy Systems
Morphic's fuel cell business is run mainly through the four subsidiary companies
Exergy Fuel Cells, Helbio S.A., Accagen S.A. and Cell Impact AB. Morphic
Technologies is supporting its subsidiaries in strategic group marketing, market
development, as well as in forming of new strategic alliances.

Exergy Fuel Cells produces PEM fuel cells for stationary power systems, where
the market for standby generators for telecom applications, electricity supply
for house trailers and other areas of application are now starting to take off.

Helbio produces reformers and other fuel processors, and develops technologies
for next generation products for renewable energy in the field of catalysts,
hydrogen clean- up and storage, generation of synthetic liquid fuels, etc.

Accagen manufactures world leading pressurized electrolysers for hydrogen
production from water through electrolysis.

Cell Impact's focuses on cost-effective production of bipolar flow plates, one
of the most critical components of a fuel cell system. Cell Impact is currently
producing test series of fuel cell flow plates for applications that include
vehicles, standby generators, mobile electronics and portable computers, and
also has volume orders for flow plates used in portable electronics.

“The integrated development work in all companies of the Morphic group has been
efficient, commercial customer product orders are already starting to come. The
order to Helbio is very encouraging, since it also verifies that the market is
growing fast and the acknowledgment of our revised product offer originating
from our focusing following the recent re-organization”, says Martin
Valfridsson, CEO and President of Morphic Technologies.

Developing and commercializing energy systems based on fuel cells in combination
with hydrogen technology and fuel conversion is a strategic priority for
Morphic.

Morphic is the only company in the world that has the complete know- how and
technology base for fuel cells and related energy conversion and fuel processing
systems, including in- house manufacturing technology for most critical
components as catalysts, electrodes, bipolar flow plates and MEA:s.

For more information, please contact:
Johannes Falk, Executive Vice President Corporate Strategy & Investor Relations,
Morphic Technologies AB (publ)
Phone: +46 (0)70-676 73 93
E-mail: johannes.falk@morphic.com

This is Morphic
Morphic is a Swedish engineering group operating in the areas of fuels cells and
wind power. The Group has about 230 employees and conducts operations in six
countries - Sweden, Norway, Japan, Greece, Italy and Switzerland. Morphic
Technologies' B shares have been listed on the OMX Nordic Exchange since March
4, 2008, and the number of shareholders is about 28,800.

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