Flowgroup pushes back CHP boiler production
FLOWGROUP, the Cheshire company which has pioneered an environmentally-friendly micro combined heat and power boiler for domestic use, is pushing back production of the boiler into the first quarter of 2015.
The group had originally hoped to make a start later this year but said the introduction of new components meant it would be “prudent” to allow more time to set up the production facility.
The company, based at Capenhurst near Ellesmere Port, raised nearly £18m last year to fund continuing commercial development of its Flow boiler – a gas-fired domestic boiler that generates electricity at the same time as it uses gas to heat a home.
Its production partner is the US-based group Jabil which has placed “significant orders” with suppliers to kit out a 130,000 sq ft production line in Livingston, Scotland.
Flowgroup said its performance for the financial year remains in line with market expectations. “The board continues to believe the Company has sufficient cash resources to take it through to cash generation in 2015”.
Chief executive Tony Stiff said: “It is essential to customers, and indeed shareholders, to produce the very highest quality product when we move into volume production. Securing new component suppliers, beginning production in H2 2014 and moving to volume production in Q1 2015 will allow us to do this. Placing orders with our suppliers, as well as Jabil ordering production line equipment, shows that our plans are firmly in place for delivery of this unique product to the UK market and then beyond.”
