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Gold/Mining/Energy : Global Thermoelectric - SOFC Fuel cells (GLE:TSE) -- Ignore unavailable to you. Want to Upgrade?

To: ddl who wrote (5627)	9/27/2002 5:53:22 PM
From: Gulo	Read Replies (2) \| Respond to of 6016

Thermoelectric generators are not at all like fuel cells. Besides the way they generate electricity, they differ in the application and balance of plant. TEG are used largely for cathodic protection of pipelines and for relay tower power. They do not suffer start-up and shut down cycles and are extremely reliable, but are very inefficient (<10%). To be viable for home use, GLE's SOFC needs to become twice as reliable (both sealing and membrane life) and the cost has to be reduced by half. The balance of plant issues, including reforming, control software, exhaust heat capture and emissions control, etc. are also unique - TEGs simply do not have the same concerns. You are right, however, in observing that "something does not add up." I guess liquidation of the large institutional holding is to blame for a large part of the discount. IR says the cash and short-term investments are for real and have not decreased in value. I'm taking a bet that GLE can either bring the cell to production or halt the money burn soon enough to keep more than $1.00/share cash. The company was worth $16M (=$0.50 per current share) before there was any mention of fuel cells (i.e., on its TEG business alone). I'm long average about $1.65 and may continue to average down. -g