TECO 2030 Christmas Letter to Shareholders
LYSAKER, NORWAY / ACCESSWIRE / December 23, 2022 / Dear fellow shareholders and zero emission friends,
What a year!
We started of 2022 with a shareprice of NOK 4.775 and wow have we not only increased the shareprice since then, but the company has evolved at tremendous speeds and achieved beyond what I thought was possible. Partnerships have been established and grown. The fuel cell development project has progressed according to schedule, with an early Christmas present on December 14th where we physically could touch the first ever TECO 2030 fuel cell stack!
We have managed to raise capital through issuing a convertible bond with collateral in the Narvik building, thanks to our landlord Teknologiveien Eiendom AS who let us use the facility for security. This convertible bond facility allowed us to issue bonds of approx. NOK 100 million. We also issued new equity, through four capital raises and a total of approx. NOK 90 million through the year.
Through 2022 we almost doubled our list of employees adding resources to all offices including Lysaker, Narvik, Miami and Singapore.
During the winter months in early 2022, we signed several strategic partnership agreements with local hydrogen producers in northern Norway and established a formal cooperation with Al-Misehal Group in Saudi Arabia. The partnership with Al-Misehal Group will lead to a joint venture with a goal of providing leading fuel cell solutions to the highly ambitious region in the Middle East. Saudi Arabia has a Vision 2030 program in which they aim to not only reduce emissions but also increase quality of life.
In May 2022, our stocks became more liquid in the USA and Canada with an up listing on OTC Markets trading platform OTCQX. This means US and Canadian investors could access our stocks easier and more cost-effectively.
As you all know, the shipping industry is in my heart and been the core business of TECO Group since 1994. In June we secured the largest marine fuel cell project in the World, when we launched the HyEkoTank project together with Shell and Ektank. Since then, we received EUR 5 million to develop and retrofit the product tanker with 2.4MW of TECO 2030 fuel cells for Ektank AB’s vessel, a fantastic achievement! The hydrogen powered tanker will allow zero emission at berth, and up to 100% reduction of GHG emissions during voyage. The European Union signed the grant agreement right before Christmas and project start up is planned for February 2023.
First milestone achieved after a summer break, was when AVL invited TECO 2030 into the HyTruck project with the first DemoTruck, which will be rolling on European roads in mid-2023 powered by TECO 2030 fuel cell stacks!
During September 2022, we were nominated as a finalist in the ZeroEmission@Berth innovation competition in 2 out of 3 categories! The final result was that our concept proposal “TECO 2030 Power Barge” won the Innovation Concept Award! This concept has been well received in the market, and various ports around the world are now contacting us to learn more about the TECO 2030 Power Barge.
This will allow ships at berth to connect to zero emission power supply when the grid capacity is insufficient.
October past by, with a smaller capital raise in the beginning of the month. Followed by two dedicated hydrogen trade fairs in Bremen and Brussels, where we got loads of attention from clients, suppliers and partners.
Further on, November 2022 was a crazy month. We signed our first fuel cell contract with Implenia, signed an LOI for delivering 120 stacks to 30 trucks, and announced an EU grant of EUR 5 million for the development of the HyEkoTank vessel. All at the same time, I was in New York with a potential investor for a 9-day heavy work session to secure the additional funds from SunHydrogen. The 9-day session resulted in an initial investment of USD 7 million in new equity, and USD 3 million contribution in the convertible bond. Tim Young, CEO of SunHydrogen has since then become a board member and will be an essential partner for us when talking to US-based investors- and capital markets.
And finally in December 2022, we were witnesses to the first ever TECO 2030 fuel cell stack purposely developed for marine and heavy-duty applications. We closed and signed the deal with thyssenkrupp Automation Engineering for the full fuel cell stack production line, and this will be designed, built, and installed at our Innovation Center through Q1 2024. All in time for fuel cell demand to pick up in the maritime shipping world.
Another early Christmas gift was the sale of our first ever Future Funnel to an undisclosed large European shipowner, which aims for delivery during the end of Q1 and beginning of Q2 2023. I am confident that this market will pick-up in the months/years to come, as global shipping regulations are getting stricter.
We have welcomed several new shareholders through the year. The TECO 2030 story has been wide-spread even further, and our social media and newsletter followers are increasing. The stock price closed on December 22nd 2022 at 9.5 NOK, the result of a great year with tremendous progress by all stakeholders involved.
And with all that, I want to thank you for the continued support, and I am looking forward to maintaining the great momentum towards our common goal into 2023.
Tore Enger, Group CEO
TECO 2030, +4792083800
SOURCE: TECO 2030 ASA
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