Zenergy Power Plc (ZEN.L) Friday said it is now focusing on the market for non-superconductive magnetic Fault Current Limiters, or mFCLs, in which the company continues to see a commercial opportunity. The shares are up over 5 percent in morning trade on the London Stock Exchange.
"The Board continues to believe that there is a commercial opportunity for mFCLs and potential sales are being pursued with a number of companies," it said.
In mid-October 2011, Zenergy Power noted that further to its announcement of September 15, 2011 regarding corporate restructuring and the new design mFCL, it has commenced work on a full-scale demonstration. At that time, the company said it will immediately seek to secure sales orders and commence commercial production of mFCLs in voltage classes; ranging from 4kv to 154kv.
Simon Cleaver, Executive Chairman then said, "The non-superconducting MFCLs are attractive because they use technology that electrical network operators are familiar with, are significantly less expensive to build, smaller and quicker to manufacture and should require much lower maintenance than the superconducting version."
Zenergy also said it has come to a full and final settlement with the Administrator of its German subsidiary, Zenergy Power GmbH. The company has paid 150,000 euros in return for certain assets, settlement of all inter-company accounts and confirmation of full title to the necessary intellectual property rights to manufacture non- superconducting mFCLs.
In addition, the company will also receive a royalty on all sales of 2G wire for the next 10 years. This is based on the successful completion of development and commercialization of the Zenergy Power GmbH 2G wire program by the major industrial corporation that has acquired the technology.
In October, the company had said the Zenergy Power GmbH has entered into administration and is not expected to have any further material financial impact on the Group.
The company said it will announce its preliminary results for the year ended December 31 on February 10.
ZEN.L is currently trading at 6 pence, up 5.39 percent, on a volume of 239 thousand shares on the LSE.
by RTT Staff Writer
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