EQTEC technology selected for two US Power Plants

RNS Number : 6321B

EQTEC PLC

24 September 2018

 

24 September 2018

EQTEC plc

("EQTEC" or the "Company")

EQTEC selected as exclusive technology supplier for two Power Plants in USA

MOU signed with Phoenix Energy for two contracts totalling approximately EUR10 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 Phoenix Biomass Energy ("Phoenix"), a California based power company, to supply its proprietary EQTEC Gasifier Technology ("EGT") for two power plants in California, USA.

Ian Price, CEO of EQTEC plc, commented: "We are delighted to be the exclusive supplier of technology to Phoenix Energy. The USA is a key country for waste to gasification technology and we are excited to be entering this market with our first project with Phoenix Energy.

"These Californian projects are exciting opportunities for EQTEC and we're extremely proud to be selected by Phoenix. This demonstrates the flexibility of EQTEC technology and our ability to be commercially competitive in delivering projects of differing scale and operating on many fuel types globally.

"We are pleased to have been chosen by Phoenix Energy for the Californian projects and our new relationship with them supports our goal in making EQTEC the industry leader of energy from waste technology. The Company continues to make good progress in pursuing significant opportunities in the near term and we hope this is the start of a significant growth period for EQTEC."

Key Elements of the MOU

·     Two contracts collectively are expected to be valued in the region of EUR10 million

·     Phoenix considers EQTEC as the exclusive technology supplier of a 2MWe gasification plant and a 3MWe gasification plant for the 12 months from the date of the MOU

·     Phoenix is responsible for obtaining the permits, licences and authorisations ("PLA"), Power Purchase Agreements ("PPA") and Feedstock Agreements for both projects which are anticipated to be in place in Q4 2018

·     Phoenix or any third party associated to Phoenix to provide the necessary equity and debt financing for the projects

·     Financial close is expected in late Q4 2018 and the purchase contracts executed shortly thereafter

Subject to the outcome of these first two projects, Phoenix has indicated their desire to utilise EQTEC technology and equipment on other future projects in the USA in respect to its development pipeline that utilises gasification technology.

This announcement contains inside information for the purposes of Article 7 of Regulation (EU) No 596/2014.

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Enquiries

EQTEC plc	[phone]
Ian Price - 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

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

About Phoenix Energy

Phoenix Energy is a US based private label power company that builds, owns and operates on-site biomass gasification plants in partnership with businesses in the Agricultural, Waste, and Forestry industries. Phoenix Energy helps its partners become their own energy provider, selling energy at retail rates. Phoenix Energy is first and foremost a distributed generation ("DG") power company that sells KW over iron. They combine proven technologies to provide themselves, their partners, and their customers with profitable on-site power.

 

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