OCG Selected for Design of 1,100 bpd BTL Plant

RNS Number : 7184I

Oxford Catalysts Group PLC

08 July 2013

 



8^th July 2013

OXFORD CATALYSTS GROUP PLC

("Oxford Catalysts" or "the Group" or "the Company")

Oxford Catalysts Selected for Design of 1,100 bpd BTL Plant

Oxford Catalysts Group (OCG.L), the technology innovator for smaller scale Gas-to-Liquids (GTL), is pleased to announce that it has been selected as the Fischer-Tropsch (FT) technology provider for the design and possible construction of a commercial Biomass-to-Liquids (BTL) plant in the USA.

The BTL project was recently awarded a $4.1 million grant from the US Department of Defense (under the Defense Production Act Title III Advanced Drop-in Biofuel Production Project), which will help fund detailed engineering for a 1,100 barrels per day (bpd) BTL facility, following which the project will have an opportunity to apply for a further grant of up to $70 million to construct the proposed plant. 

The proposed BTL facility, led by Red Rock Biofuels, a subsidiary of IR1 Group LLC ("IR1"), an experienced biofuels project developer, will be located in Oregon and will be designed to convert some 170,000 tons per year of forestry derived biomass into approximately 1,100 bpd of liquid transportation fuels. Preliminary engineering is complete, and with the aid of this grant is expected to be progressing through detailed engineering and design over the course of some nine months. Following successful completion of the detailed design phase, IR1 expects to apply for the additional grant funding to support construction.

Roy Lipski, CEO of Oxford Catalysts Group, said:

"We are pleased to have our technology selected once again, this time for a promising opportunity in the growing area of Biomass-to-Liquids. We're also excited by the potential for this project to access $70 million of government funding to support early adoption of a synthetic fuels plant."

Terry Kulesa, CEO of IR1 Group, said:

"The choice of Velocys FT was easy. No other FT technology offered the combination of high performance and efficiency at a scale appropriate for a BTL facility. We're pleased to be working with the Group on this pioneering project."

- Ends -

For further information, please contact:

Oxford Catalysts Roy Lipski, CEO Susan Robertson, CFO	[phone] [phone]
Lionsgate Communications Jonathan Charles / Jessica Johnson	[phone]
Cenkos Securities (Nomad and Joint Broker) Ken Fleming / Neil McDonald	[phone] [phone]/1
Numis Securities (Joint Broker) Alex Ham	[phone]

Notes to Editors

About Oxford Catalysts
Oxford Catalysts enables modular Fischer-Tropsch plants to convert biomass, waste and low value feedstocks such as unconventional, remote and problem gas into valuable liquid fuels, including diesel and jet fuel. Systems based on the Group's technology (marketed under the brand name Velocys) are significantly smaller than those using conventional technology, enabling modular plants that can be deployed cost effectively in remote locations and on smaller scales than is possible with competing systems.

Oxford Catalysts Group PLC is listed on the AIM market of the London Stock Exchange (LSE: OCG). The Group has some 90 employees with facilities near Oxford, UK and Columbus, Ohio, USA.

www.oxfordcatalysts.com

www.velocys.com

About IR1 Group

IR1 Group LLC, is an experienced project developer currently developing next generation biofuels projects. IR1 brings a core set of project development disciplines to guide projects through feasibility, development, finance, design and engineering, construction and operations. In total, to date, IR1 plants represent more than $650 million invested and 325 million gallons of installed capacity.

www.ir1group.com

About DPA Title III Program

The Defense Production Act Title III Advanced Drop-in Biofuel Production Project ("DPA Title III Program") was established to provide incentives for US operators to create, maintain or expand second generation biofuel production facilities to better meet the needs of the US Department of Defense. The DPA Title III Program is a two phased $420 million initiative, including $210 million in government funding plus matching funds. The first phase awarded up to $5 million to each of four projects to complete detailed engineering, and the second phase will provide up to $70 million to help fund construction.

 

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