AIC Trading Update
03.10.08

APPLIED INTELLECTUAL CAPITAL

Trading Update

Applied Intellectual Capital (“AIC”) (AIM: AINC) funds, develops, patents and commercializes electrochemical and advanced separations technologies in clean energy, electricity storage, water treatment, metals recovery and other emerging markets. AIC today provides the following update on progress made with its electrode (BLAB), battery (Plurion), bio-fuels (RedOx) and mining & metals recovery (Everclear) technologies.

1. BACKGROUND

AIC is developing Bipolar Lead Acid Batteries (“BLAB”) for use in hybrid and light-duty electric vehicles. AIC has developed a novel class of electrodes that are positioned to begin early stage commercialisation of this thin-film battery technology.

The rights to AIC’s battery technology are owned by Plurion Limited (“Plurion”), in which AIC now holds a stake of approximately 80%.

AIC’s bio-fuel synthesis technology is licensed exclusively to RedOx Biofuels Limited (“RedOx”), in which AIC now holds a 100% stake.

The rights to AIC’s mining and metals recovery technologies are owned by Everclear Solutions, Inc. (“Everclear”), in which AIC owns an effective 45% interest. 

2. BLAB: NEW “FOIL” ELECTRODE TECHNOLOGY AND STRATEGIC RELATIONSHIP WITH PLASMA QUEST LTD

AIC is pleased to announce that it is developing a novel high performance electrode material which has broad applications such as advanced batteries, hydrogen generation, metal refining, bio-sensors and water purification.

The new electrode is based on an electrically conducting foil with a proprietary nano-coating which is highly conductive, adherent, corrosion resistant and flexible. The nano-coating is a proprietary glass material, which AIC is developing with the help of its strategic partner Plasma Quest and the sponsored research of Prof. Frank Walsh of The University of Southampton.

AIC has entered into an MOU with Plasma Quest Ltd., (“Plasma Quest”) to continue the development and commercialization of this technology across a range of applications.  AIC has separately engaged the University of Southampton to characterize these materials in a range of electrochemical applications.

The development of an electrically conductive glass coating is a significant scientific and engineering achievement.  This new coating should be compatible with a range of catalysts and has the potential to provide improved electrode performance with reduced catalyst loadings.

AIC is deploying its foil electrode in two of its advanced battery projects (BLAB and Plurion) and is evaluating its use in hydrogen production, bio-sensors and metal electro-refining.

Prof. Frank Walsh is a member of AIC’s Technology Advisory Board, Deputy Head of the School of Engineering Sciences and Professor of Electrochemical Engineering at The University of Southampton.

Robert Clarke, CTO of AIC noted:

“This has been a personal mission and a core research area of AIC’s for many years.  Our success demonstrates AIC’s ability to develop fundamentally new materials. The opportunity to share these technological advances across our projects and ventures is central to AIC’s value model.”

Prof. Mike Thwaites CEO of Plasma Quest commented:

“Plasma Quest is delighted that AIC has chosen our advanced plasma technology over competing systems.  We believe that we are uniquely positioned to assist with the scale-up and commercialization of this new material.”

Prof. Frank Walsh of Southampton University commented:

“The availability of suitable high performance electrodes lies at the heart of the successful commercialization of a broad range of electrochemical devices.  This is an exciting opportunity which continues Southampton’s capabilities in emerging nano-materials.”

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