Recently, the company was successful in receiving a Phase II SBIR grant from the Air
Force Research Laboratory (AFRL), Department of Defense, for developing the basic science
and technology for an amine-based fuel cell.  Prior to that, we had successfully completed a
Phase I award from the Air Force, as well two Navy – Center for Commercialization for
Advanced Technologies (CCAT) grants for developing membrane technologies for the above
amine-based fuel cells.  

The worldwide battery market is estimated at $30B/yr.  The following types of consumer
batteries are available in the market place:

• Primary alkaline zinc batteries (Duracell, Energizer)
• Nii-Cad (Duracell) - first generation rechargeable batteries.
• Nickel Metal Hydride (Ovonics, Motorola etc.)- second generation rechargeable batteries.
• Primary lithium batteries (Eagle Pitcher, SAFT, Ultralife)
• Lithium-ion (Sony, Sanyo) - Present generation rechargeable batteries.

The U.S. market for rechargeable batteries is estimated at $6B/yr, while the US military
market for batteries is around $1B per year. The Li-ion battery is the dominant portable power
technology for electronics, with a market penetration of 24%/yr; the US growth rate is 22%
(1996-2004).  The average selling price of NiMH batteries is $10-80 per unit, while the Li-ion
battery is approximately $20-150 per unit.  
  However, batteries are approaching their theoretical limits of energy density and specific
energy.  Fuel cells can improve energy density and specific energy over batteries by a factor
of 5-10.

Our Solution for Portable Power

• Amine-based fuel cells with oxidizer solutions.
• Amine solutions, instead of ammonia, to reduce toxicity concerns.
• Alkaline environments for improved energy density.
• Anionic membranes.
• Improvement in energy density: 5-10 longer battery life and run time.

Differentiation

We are the only company in aqueous amine fuel cells and batteries.  Aqueous amine
solutions have several advantages over hydrocarbon fuels like methanol for use in fuel cells.
Advantages of ammonia over methanol are:

• Higher electrochemical reactivity
• Cheaper catalysts like nickel
• Low temperature operation
• Higher power and energy density
• Cost-effective, benign and safe.

Our Development Plan

• Science & Technology validation: AFRL Phase II, by May 2007.
• Prototype development: May-Dec 2007.
• Membrane needs: CCAT grants, with DOE Ames Laboratory (Iowa State) collaboration.
• AFRL SBIR Phase II grant: a 3.5V, 20W and a 12V, 100W fuel cell.