Interim Results
29 September 2023
NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN OR INTO OR FROM THE UNITED STATES, AUSTRALIA, CANADA, JAPAN, OR SOUTH AFRICA OR ANY OTHER JURISDICTION WHERE IT IS UNLAWFUL TO DISTRIBUTE THIS ANNOUNCEMENT.
Hydrogen Utopia International PLC ("HUI" or the "Company")
Hydrogen Utopia International PLC, a company specialising in turning non-recyclable mixed waste plastic into hydrogen and other carbon-free fuels, new materials or distributed renewable heat, is pleased to announce its results for the six months to 30 June 2023.
Please see the full results here.
CEO Shareholders' Letter
Dear Shareholders,
The world is currently experiencing exceptionally challenging times, from which most of us are suffering. These are times of survival until circumstances improve, and companies that are willing to look ahead and attempt to address global issues are the ones that will thrive. It is a formidable task to request people to contemplate the future when dealing with the difficulties of the present. These are not times for traditional solutions and conventional thinking. These are akin to wartime conditions. Maintaining independence is crucial for the company's future growth and prosperity in the current market environment.
HUI is the most significant project in my life, which is why I have decided to take measures to help the company not only survive but also thrive in hostile and unpredictable circumstances.
We have made an unconventional decision to seek a revenue stream outside of our sector and have taken an option to purchase 49% of Ohrid Organics LTD, a company that specialises in cultivating high-quality medical cannabis. The option poses limited risk to HUI, as it would only be exercised if Ohrid Organics meets our expectations. What I anticipate is a cash runway, which translates into independence. Independence from reliance on shareholders' contributions, protecting their value.
While composing this report, I am confident that if we exercise the option, we will hopefully never be compelled to seek shareholders' funds at heavily discounted rates, as we have witnessed in recent months with other companies. During the course of 2024 Ohrid Organics will primarily target sales in Israel, once EU- GMP certification is received, Germany and the UK. Subject to meeting local specification requirements and quality standards Ohrid Organics expects to achieve, based on the current market, pricing per gram in Israel of between EUR 1,75 - 2.15, and between 2,50 and 4.0 for EU- GMP certified product. The figures which I am providing are exceedingly conservative. Watching the market, I expect Ohrid Organics to create very significant shareholder value.
Our ultimate goal remains unchanged: to build the world's first plastic-to-hydrogen plant. I believe that the revenue generated from the medical cannabis facility will provide HUI with the necessary funds to sustain its operations. We are advancing with all our projects at varying speeds, actively exploring opportunities for expansion while keeping costs to the company at a minimum. We are making steady progress with our joint venture with Powerhouse Energy Group (AIM:PHE) in the Irish Midlands. HUI is in the process of establishing a project pipeline in Poland, France, the Netherlands, Greece, and Estonia, relying on limited funds and benefiting from the generous assistance of embassies and chambers of commerce. The interest in our projects is on the rise, driven by the ever-expanding issue of plastic production. We are delighted to have received our first EU grant for 75% of expenditure of up to €450,000 in Ireland. I believe it will open doors to more significant funding in due course.
As previously mentioned, these are challenging times reminiscent of wartime conditions. Therefore, I made the decision to appoint Mr. Simon Mann as the Chairman of the Company during this period. Mr. Mann is a distinguished figure within the British Establishment, former member of the SAS and the Scotts Guards. Mr Mann's vast network of contacts across Europe and beyond will greatly accelerate the Company's reach and advancement. Mr. Mann's wealth of experience and his understanding of countries beyond the European continent will enable us to expand our horizons, fulfilling a dream I've held since the Company's inception. It is my utmost privilege to have successfully persuaded Mr. Mann to join the Company's Board.
For further information please contact:
Hydrogen Utopia International PLC
Aleksandra Binkowska
+44 20 3811 8770
Alfred Henry Corporate Finance Limited (LSE Corporate Adviser)
Nick Michaels
+44 20 3772 0021
Novum Securities Limited (Broker)
Jon Belliss/Colin Rowbury
+44 20 7399 9400
About Hydrogen Utopia International PLC
HUI aims to become one of the leading new European companies specialising in turning non-recyclable mixed waste plastic into carbon-free fuels, new materials or distributed renewable heat.
A HUI facility uses non-recyclable mixed waste plastic as feedstock and turns it into syngas from which new products and energy can be produced. HUI anticipates that its revenues will be derived from a variety of sources, dependent upon location and configuration of the HUI facilities, including the sale of syngas, hydrogen and other gases, electricity and heat sales, and the payment to it of fees for a given quantity of non-recyclable mixed waste plastic received at a HUI facility.
HUI will target areas where there is significant private sector interest or potential, financial backing is accessible and or where substantial EU and/or government funded sources of grants and loans are or may be available. The global increase in fossil fuel-based energy prices reinforces the need for alternative, price competitive energy sources, which HUI’s business model can provide.
The pressing need to deal with growing amounts of waste plastic combined with a real momentum in the use of hydrogen from renewable sources may pave the way for a rapid deployment of and investment in HUI facilities.