FUEL CELL ECONOMY

**I think one of the greatest potential investment areas will be Fuel Cells. ANyone interested in my list please email me and I will happily send it to you. Of course this is JUST my opinion, and I am not offering advice, but if interested in seeing the companies involved in this area I have found, let me know, Duratek


Fuel cell sales up 41% in 2002-03 span Investments in R&D climb 13%, eclipsing industry sales

By Stephanie I. Cohen, CBS MarketWatchLast Update: 11:36 AM ET Nov. 1, 2004
WASHINGTON (CBS.MW) -- Companies involved in the development and manufacture of fuel cells reported a jump in sales of 41 percent, to $338 million, in 2003, according to an industry analysis by PricewaterhouseCoopers.
The increase compared to $240 million in sales in 2002, the analysis said.
Automotive manufacturers believe that vehicles powered by fuel cells -- which are more efficient than those that run on gasoline -- could become a commercial reality over the next two decades.
Fuel cells work by using hydrogen and oxygen to create a chemical reaction that produces electricity, rather than burning fossil fuels.
Investments in research and development for the 170 companies participating in the study increased by 13 percent to $859 million in 2003 from $764 million in 2002.
The boon in sales hasn't, however, lead to a surge in hiring, the report said. Industry employees remained relatively constant at 7,748 in 2003 compared with 7,750 in 2002.
Participants in the survey included both publicly held and privately owned companies located in North America, Europe and Asia. Fuel cell businesses are prominent in the United States, Canada, Japan and Germany, the report noted.
Two-thirds of the companies surveyed said they have been involved in the fuel cell industry for at least 10 years.
U.S.-based companies in the survey reported an increase in sales of 36 percent to $119 million between 2002 and 2003, along with a 62 percent jump in R&D spending to $460 million.
U.S. fuel cell companies include ChevronTexaco Technology Ventures (CVX: news, chart, profile), ConocoPhillips (COP: news, chart, profile), DaimlerChrysler (DCX: news, chart, profile), General Motors Corp. (GM: news, chart, profile), DuPont Fuel Cells (DD: news, chart, profile), and Dow Corning, the joint venture between Dow Chemical (DOW: news, chart, profile) and Corning (GLW: news, chart, profile).

A recent report by ABI Research indicates that the global fuel cell market, which will likely be "nominal" in 2004, could reach $35 billion by 2013.

Stephanie I. Cohen is a reporter for CBS MarketWatch in Washington.