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57 min ago 2 min read
Clean Power Hydrogen (CPH2) plans to launch emergency fundraising, has replaced its CEO and Chair, and warned it only has sufficient cash to continue operating until mid-July as it restructures following the destruction of its flagship 1MW membraneless electrolyser.
The UK-based firm is carrying out a “significant cost reduction programme” as its working capital dwindles following an its first MFE220 unit during factory acceptance testing (FAT) on 28 May.
Membrane-less electrolysers operate without a physical membrane and instead use fluid dynamics or buoyancy to separate hydrogen and oxygen.
CPH2 today (22 June) said a hydrogen-oxygen mixture ignited during an automated depressurisation of the system, causing a “loss of containment.”
It said its own early findings suggested the incident was not caused by the company’s stack or separators, but the “detailed cause” of the failure remains under investigation.
In early June, CPH2 said it would its technology in-house and pursue an IP strategy after admitting it did not have the “financial, engineering, or technical” resources.
Now the company said the strategy would be centred on commercialising and licensing its technology globally, adding to licensing agreements signed before the incident.
“The current cash balance is sufficient for the company to continue operating through to mid-July 2026.”
CPH2 is talking with capital providers and brokers to secure more working capital to make the business model shift through a subscription, a placing, and a retail offer.
“Should the Fundraising be successful, the equity injection will support the realignment of corporate strategy towards strategic partnerships, manufacturing agreements and global licensing of its proprietary technology, within a significantly reduced monthly cash burn,” the firm said.
Shares in CPH2 remain suspended from trading on AIM, with the company stating the fundraising would also support the lifting of that suspension.
The restructuring will also trigger a leadership shake-up, with CEO Jon Duffy and Chair Chris Train stepping down after overseeing the company’s transition away from manufacturing.
Now, Richard Scott, who has served as Chief Commercial Officer since June 2025 will become CEO. Natalie Fortescue has been named Chair. CFO James Hobson will remain in post, as well as an independent non-executive director Rick Smith.
The executive changes will take effect after the fundraising is complete.
