Safe, clean and efficient
energy storage
Massive hydrogen storage systems
Corporate presentation
April 2011
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www.mcphy.com
Confidential
McPhy Energy S.A.
Headquartered in France, the company was created in January 2008, to carry out the
industrial development of a process developed by the CNRS (National Centre for
Scientific Research) & UJF (Université Joseph Fourier) in Grenoble.


Prior to the creation of the company, McPhy founders and the CNRS have worked
together on hydrides for more than 7 years (within the framework of the HYSTORY
2002-2005 and NESSHY 2006-2011 European programs).


Strong patents portfolio licensed to McPhy.


Financial support of Tier One investors :
Investors (Sofinnova Partners, Gimv, Amundi, Emertec, Areva) : 68%
Management : 23 %
Business Angels & Others : 9%



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McPhy Energy S.A.
The management board is composed of :
Mr. Pascal Mauberger, CEO, has gained over 25 years of management experience in high-tech
industries. Before joining McPhy, he was COO of SOITEC from 2003 until 2008, where he
successfully grew the company from 80m to 370m in revenue. Pascal is a graduate from Ecole
Polytechnique, ENSPM and INSEAD business school.

Mr. Michel Jehan, co-founder and CTO/COO, gained an expertise on magnesium and its industrial
applications through more than 30 years of professional experience with TIMMINCO Metals, INREC
SA and MCP Technologie SAS. Michel holds engineering degrees from IUT in Toulouse and ENI in
Metz.

Mr. Daniel Fruchart, co-founder and CSO, is an accomplished CNRS scientist on the subjects of
hydrogen and metal hydrides. He holds 2 Masters, a PhD and a Doctoral degree and is the author of
about a dozen patents, 5 of which are linked to the use of magnesium hydrides for hydrogen storage.


Mr. Adamo Screnci, VP Business Development, has a track record in the hydrogen industry as an
engineer. He successfully worked with Arkema and then Air Liquide (joined in 2000) as Sales &
Marketing Director of Advanced Technologies Division.




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McPhy :
-Designs large safe Hydrogen Storage Systems.
-Produces the MgH2 components and perform all
the technical expertise
-Commercialize these systems

Subcontractors are involved in other parts such as
steel manufacturing of storage
renewable energy storage,

long term,
green H2 production,
link electricity to H2
on site H production & storage
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green H2
Improve safety, and CO2 footprint
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H2 offers an excellent energetic
content per kg (33 kWh/kg), higher

Hydrogen has the highest
V)
than any other fuel (Methane, natural
C
energy density per kg

(
N
Gas ).
s
i
ty
kg

n
/
e
h


d
kW
rgy
But being a very light gas, its
e
n
E
densification
requires
ultra
high
pressure, creating safety issues and a
substantial waste of energy (10 to
25%)
Volume density (kgH2/m3)
Metal

higher
Liquid H
70
compressed

2
H2 gas (700 bar)
42
McPhy
hydrides
(MgH2)
for
mass
storage
MgH2
106
of
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Technology
McPhy has developed unique techniques that solve the traditional limits of solid state hydrogen.
Traditional
Uniqueness
challenges of MgH
Characteristics
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Slow kinetics
Nano structuring of the MgH
High density
2
Proprietary catalysts


Safe (low pressure, inert)
Low thermal conductivity

Expanded Natural Graphite
Negligible energy loss (max
increases conduction

3% of gas energy content vs.
15% to 25%)
No solution to store

thermal energy
Proprietary PCM (Phase
Change Material)
Mg is abundant and


inexpensive

Undesired mechanical
No compression (energy, cost,
properties and
Specific industrial design
maintenance)
reversibility
Use of a single element Mg
reversible
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MgH2 Hydrogen Storage System :


Reversible storage: Mg + H2
2


P
Absorption
Loading at electrolysis pressure (10
a
bar)
Unloading at fuel cell pressure (2 bar)
Desorption
P
+

No compression
H
d
2
(energy, cost, maintenance)

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McPhy Energy today
Realizations :
Short term project :


Industrial production site :
Launching of the commercial phase,
today for

Q1 2011 : A first production line of MgH2
stationary applications
with an initial capacity of 100 kg/day


References : first orders received
from
Projects :
Energy players (

3 pre-industrial systems (1kg H2 see next
Enel 2nd largest
European utility Company),
slide for a description) under test in
Grenoble, a 4th one (15 Kg H2) Q2 2011
And major actor of the hydrogen
market (Iwatani)


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First pre industrial tank
Hymage 1 delivered in March 2010
Specification
1 Kg H2 stored
Adiabatic storage
Loading/unloading time:
2h
Test campaign on going:
H2 purity
Cycling
H2 chain:
electrolysis/storage/ fuel
cell
High flexibility, reliable and stable in flow and pressure
Conclusions :

Next steps:
Continue cycling
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Hymage 2 = 15kg H2 storage system
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unique Know How
Know how to produce massive hydrogen storage tanks
Magnesium Metallurgy
McPhy Composite


3D view of

hydrogenation reactor
(Courtesy: NÉEL CNRS Institute)
-doser-press
Ball Mill
Combination and compaction
of MgH + ENG
2
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(Courtesy: NÉEL CNRS Institute)
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Hydrogenation Reactor
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Ball Mills Hall
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Dosing Mixing - Press
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Lab
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Product Range : McPhy Modular Solutions
End Products
In-House Production
Outsourced
PCM containers
Standard Modular Disks
Standard Modular Cartridges
43g or 0.5m3 of
H2
100 Disks
Metallurgical
processes
Fully autonomous Stationary adiabatic
4 Kg of H2
storage tank
> 70 kg H2 2,3 MWh
MGH containers
2 versions
Phase Change Material
with
different
Metallurgical
kinetics
processes
Magnesium
zinc alloy
External Heat Exchange Stationary storage tank
70O kg H2 23 MWh

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Small scale product : MCP N 4

« plug & play »

4 kg H2

Loading & unloading in 12
hours

10 bars maximum pressure

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The Hydrogen Value Chain
McPhy technology induces a disruption in the value chain enabling
2 production in existing
and new markets
Production
Storage

Use


Pressure : Cylinders/Trailers
Steam Reforming of Natural
High CO
Captive Users
2 foot print
Ammonia
Gas and other Thermal
Cumbersome logistic
Refineries
> 90 % of the
process
Waste of Energy
1
market
Methanol
95 % of the actual WW

production
Cryogenic

> 10 t CO2 /t H2
Less efficient and even more


difficult issues than pressure.
Niche market


Merchant


2 Hydrogen
initial

Pipe line

market

Heavy and Costly
Electrolysis
infrastructure
Only 5% today
Limited networks
> 70% efficiency
CO2 content of the
Electricity used

Energy
3
ramp up
Solid state
(new)
market
A game changing technology
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Business case: on site
Assumptions: industrial client

Electrolyser: 15m3/h = 120 000m3/an

Ensure a 3 days back-up

Process fluctuation: 20% of H2 stored


McPhy storage MGH: 80kg


H2flow rates : average flow: 15m3/h
maximum flow: 30m3/h

CAPEX:
TODAY prices
Target prices

Electrolyser:
230 000
115 000
Return on investment 12%
McPhy storage
365 000
121 000

BOP
145 000
145 000

TOTAL:
740 000
381 000
H2 price:
Today 1,21 /m3,
Target price < 2015 0,77 /m3
OPEX (Yearly):


Maintenance costs
8 000
8 000
Electricity costs (55 /MWh)
53 500
53 500



TOTAL:
61 500
61 500
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Business case:
Renewable energy with H2 valorization
Electricity price = 0 : Electrical Production Curtailing (as an example, or otherwise for fatal
electricity)
Example: in Spain 44 000 MWh from solar farms lost between January 2010 and April 2010 due to
curtailing (8 800 000 Nm3 H2)








Possibility to valorize this electricity into H2



Investment needed:
Cost:
Assumptions:
Electrolyzer 1MW
1 million
Power source: 5MWC
Storage system McPhy 300kg
1 million

Transformation of 30% of
electricity produced per year
into H2

Revenue generated:
Total investment: 2M
H2 price = 10 kg, equivalent
500 000 per year
Payback: < 4 years
to 200 / MWH
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Business case: H2 refueling station
Currently
Liquid storage
Gas storage
300
bars
 253 C
McPhy solution
Low
pressure
< 10 bar
No logistic /
Safety /
Ease of use
Minimize regulation issues
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isolément ou simultanément, fourniront une source de chaleur et de


«Yes, my friends, I believe that the water will be one day used as fuel,
that the hydrogen and the oxygen, which make it, used separately or
simultaneously, will provide a source of inexhaustible heat and light and
with an intensity the coal could never reach.»

- 1874
Thank you
for your attention
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