Our Managing Director, Richard Caldwell, answers your questions sent during the month of July 2018:
- Mr Caldwell does Greatcell Solar have the potential and the interest to commercialise the PSC Technology, if yes, where do you see the company in 5 years?
Given we believe that the technology is commercial ready, we anticipate that the next 5 years will bring global mass production for PSC PV on both glass and steel substrates. GSL’s exploitation model is to participate downstream as a JV production partner in mass production.
- Why is it necessary to establish a further prototype facility near Istanbul on top of Clayton?
The anticipated prototype activity in Turkey is low key and at the module rather than the panel level. This is mostly about fundamental technology transfer and showcasing the technology for significant later financial support and investment. The planned prototype facility for Clayton is the principal prototype activity, full-scale and will exist to assist the future development of next generation PSC PV technology for the foreseeable future.
- If the technology was truly credible, wouldn’t the market be far higher?
The growth in market cap will definitely benefit from the significant de-risking exercise that we are about to undertake in full-scale prototyping in collaboration with CSIRO at Clayton. That will, we expect, eliminate concerns about stability and durability. The Sun is the source of all science based creation, but also highly destructive. The translation of promising science from the lab to the factory has significant challenges for all PV technologies. Our considerable skills and IP include managing the harmful effects of UV radiation, for example. Try leaving your car out in the Sun for 25 years and you will see what we mean.
Bonus question (not included in video below):
- With the delay in resolving the new investment, will dilution be increased (due to terms, price, financing etc) than when GSL set out on this exercise in de-risking the company back in March/Apr 2018?
The negotiations etc. so far have not focussed on price per se. The typical discussion is more about technical due diligence. Investment in advanced technology is challenging from that perspective and considered higher risk for traditional portfolio investors. This is where government and emerging specialist funds have a big role to play.