Climeon's CEO, Lena Sundquist, sits down to answer five quick questions with Sweden-based financial news channel, Börsvärlden.
You can read the original, Swedish version here, or scroll down for our English translation.
What does Climeon do - and where are you going?
Climeon is a growing cleantech company, listed on Nasdaq First North Premier Growth Market since 2017. We have developed a patented product that converts low-temperature heat into sustainable electricity.
There is a vast amount of waste heat produced globally, for example in the cooling water of large marine engines, various industrial processes, as well as in the production of electricity for consumption. There is also heat underground, geothermal heat, which can be utilized for electricity generation. Such heat is found, among other places, in countries such as Japan and Iceland, but also in several places in Europe. Today, heat is often - and completely unnecessarily - wasted, but with our technology it can be used to produce sustainable electricity.
This means that we can offer a complement to the current supply of sustainable electricity from sources such as solar, wind and water. With our technology, electricity production is continuous, completely weather-independent, and also cost-effective.
Right now, we are in the commercialization phase of our new product - HeatPower 300. This summer, we received two important orders for HeatPower 300 from the maritime market and the energy and industrial markets, which are our two focus markets. The world's largest shipyard, South Korean HD Hyundai Heavy Industries, (HD HHI), ordered the HeatPower 300 for a series of six container ships. Our products will reduce fuel consumption and contribute to increased energy efficiency of the vessels, which can also run on green methanol.
In the energy and industrial markets, we received an order from one of Europe's largest suppliers of raw material for PET packaging, a company based in Lithuania. Two of our HeatPower systems will be commissioned there during the first half of next year in order to utilize the industry's residual heat to produce sustainable electricity directly on site and thus reduce the amount of electricity that the factory needs to buy.
Right now, we are focusing on intensified sales efforts and on scaling up our supply chain to meet the demand and needs we are confident exist in our markets. Over the past year, we have also strengthened our focus on our organization, welcomed new employees and built an experienced, competent and committed team.
What will affect the company the most in the near future?
Above all, the rapidly increasing interest from our markets, driven by rising electricity prices, demands for improved energy efficiency in the form of reduced fuel consumption, and of course, the clear and explicit need to move away from the use of fossil fuels.
We are also seeing increasingly tough regulations and legislation driving development, not least within the EU. If we are to achieve global climate goals, our carbon dioxide emissions need to be radically reduced, and Climeon can offer a cost-effective and customized product that solves, if not all, then part of that problem.
In the last few months alone, we have seen how the number of requests we receive continues to grow. It is a challenge that we are happy to take on.
What are your biggest challenges right now?
I would say that it is mainly about staying focused. There are many different interesting industries and geographic markets where our technology can be used in different applications, but it is the marine market, together with the energy and industrial markets in Europe, that we will be working on in the coming years.
The second major challenge is to scale up the business to meet the market's needs. We are a product company. We do not have our own production, but rely on our professional subcontractors in various areas, and this is the chain we are currently expanding and strengthening.
A third challenge is to build trust in us and in our product, among customers, with potential customers and, not least, with our shareholders. To get there, we need to be able to realize our ambitions, ensure we act in accordance with the customers', and our own expectations, and that, by succeeding, we create profitability for customers, for Climeon, and ultimately also for our owners.
What is Climeon's vision, why do you really exist?
Our vision is that we, through our proprietary and world-leading HeatPower technology, will reduce global carbon dioxide emissions and increase the pace of the sustainable energy transition.
This means that we want to increase the production of sustainable electricity, reduce the world's dependence on fossil fuels and thus contribute to reduced carbon dioxide emissions. It is my mission, along with Climeon’s business managers, to develop an understanding amongst shipping companies, shipyards, industrial manufacturers and energy producers that this is not only possible, but also that it can be done in a cost-effective way. And Climeon’s technology is a piece of the puzzle in that.
To succeed, we must have the ability to scale up both production and sales and make HeatPower 300 an industry-leading product, not only for new vessels, but also for retrofit applications. In the energy and industrial markets, it is about being visible and establishing ourselves as suppliers of a recognized product for industries and electricity producers who want to produce electricity in a more environmentally friendly way and, at the same time, reduce their carbon dioxide emissions.
What can a shareholder expect from you as a company?
We are back to the issue of confidence. We want them to expect us to be able to sell our products successfully, and have a consistent order intake from the markets we have chosen to operate in. We also want them to expect us to deliver a cost-effective and customized product that meets customer expectations and requirements, as well as our own. It is in this way that we can contribute to a better environment, while becoming a profitable company that provides an attractive return.
Our goal is to continue to be transparent, develop our IR communication and continue to have an active dialogue with our owners and other important stakeholders. We will inform our community of our current activities and how we see Climeon's continued development today and tomorrow. We think this is a reasonable expectation of a listed company and something that we take seriously.