Palcan and Celco Sign Development Agreement

April 17, 2002 by Jeff Shepard

Palcan Fuel Cells Ltd. (Burnaby, BC) announced that it has signed a memorandum of understanding with Celco Profil SRL (Vigonovo, Italy) to jointly develop fuel cell power systems for the European scooter, electric vehicle and portable power industries. Palcan and Celco will jointly develop hybrid-fuel-cell battery-power systems for applications with peak power demands of up to 10kW.

The initial demonstration project will utilize an existing Celco electric scooter as the development platform. The objectives are to integrate the Palcan PalPac fuel cell power system with Celco's battery-operated scooter designs, and successfully demonstrate commercial performance of the system to major European scooter vehicle manufacturers.

"The large and innovative European scooter market is an important focus for us, and a key part of our business strategy. This solidifies our position in Europe with a base of operations and a strategic partner who has in-depth knowledge of the European electric-vehicle market, as well as the technical ability to successfully co-develop this program," stated Palcan President and CEO Jim McBeth.

"We are excited about the possibility to work with Palcan to strengthen our programs in fuel cells and hydrogen infrastructure. Our experience with battery-powered electric scooters, has convinced us that fuel cells are the best technology to achieve low emission goals while retaining the performance of the gas engine, an essential combination for major growth within the significant European ZEV market opportunity. Palcan's fuel cell technology is very well-suited for the requirements of this product sector," added Celco President Cesare Ceccangeli.