EQTEC technology selected for 12MWe Power Plant

RNS Number : 4044R

EQTEC PLC

14 June 2018

 

14 June 2018

EQTEC plc

("EQTEC" or the "Company")

EQTEC technology selected for 12MWe Power Plant in Vietnam

MOU signed with CITRA for a contract worth up to €22 million

EQTEC plc (AIM: EQT), the technology solution company for waste gasification to energy projects, is pleased to announce that it has signed a Memorandum of Understanding ("MOU") with PT. CITRA METRO JAYA ENERGI ("CITRA"), which is part of the Energy division of the Citra Metro Group a leading group of companies headquartered in Indonesia involved in Energy, Technology and Telecommunications, to supply its EQTEC Gasifier Technology ("EGT") for a 12MWe power plant in Hanoi, Vietnam. 

Key Terms of the MOU

·     CITRA considers EQTEC as the exclusive technology supplier of the 12MWe gasification plant for the 12 months from the date of the MOU

·     CITRA will be responsible for obtaining the permits, licences and authorisations ("PLA"), Power Purchase Agreements ("PPA") and Feedstock Agreements for the 12 MWe Project

·     CITRA intends to contract EQTEC to execute the works in accordance with a quotation which EQTEC has supplied to CITRA which is to be finalised immediately after the PPA has been obtained by CITRA. The scope of supply of EQTEC will include two complete gasification lines with 4,5 tons per hour feeding rate each, four GE Jenbacher syngas engines, ancillary equipment as well as commissioning and start-up services.

·     PLA and PPA expected to be obtained in Q3 2018

·     Contract expected to be in the region of €20-22 million

·     CITRA or any third party associated to CITRA to provide the necessary equity and debt financing for the Project

·     CITRA to provide the Engineering Procurement Contractor ("EPC")

CITRA is working towards obtaining the licences, permits and concessions for a 12MWe Integrated Gasification to IC Engines Power Plant ("IWGPP"), which will use biochar briquettes as feedstock ("the Project").  Biochar is a solid material which will be produced by CITRA from municipal solid waste. In addition, feedstock agreements will incorporate EQTEC's specification for refuse derived fuel ("RDF"). RDF is a fuel produced from various types of wastes such as MSW, industrial wastes or commercial wastes and is the primary feedstock for EQTEC's UK project pipeline.

 

Luis Sanchez, CEO of EQTEC plc, commented: "We are delighted that our technology has been selected, on an exclusive basis, by CITRA for its 12MWe power plant. The MOU formalizes the first step towards what can become a fruitful relationship with CITRA and ties in with our strategy of looking for opportunities to utilise EQTEC Gasifier Technology, directly or through EPC contractors, in the UK and across the globe. We look forward to working together on this exciting project which has the potential to deliver significant benefits to both CITRA and EQTEC."

Enquiries

EQTEC plc	[phone]
Luis Sanchez - Chief Executive Officer Gerry Madden - Finance Director
Northland Capital Partners Limited - Nomad and Joint Broker	[phone]
Tom Price / Dugald J. Carlean
VSA Capital Limited - Financial Adviser and Joint Broker	[phone]
Andrew Monk / Andrew Raca
Luther Pendragon - Financial PR	[phone]
Harry Chathli / Alexis Gore / Ana Ribeiro

Notes to Editors

About EQTEC plc

EQTEC's business model involves sourcing and providing assistance in developing waste elimination projects to which it will ultimately sell its EQTEC Gasifier Technology ("EGT") and O&M services. EGT enables project developers to construct waste elimination plants and recover electrical and thermal energy from the waste streams.

EQTEC sources projects that have a local supply of waste in need of elimination and conversion. It builds relationships and brings together the developers, the waste owners, the building contractors and funders. It then supplies the energy recovery technology and provides engineering services to the projects. Furthermore, EQTEC will provide O&M services to the operating projects generating recurring revenues over the life of the projects.

The Company is quoted on AIM and trades as EQT. Further information on the Company can be found at www.eqtecplc.com

 

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