Ventech Order

RNS Number : 9607B

Oxford Catalysts Group PLC

10 April 2013

 



10^th April 2013

OXFORD CATALYSTS GROUP PLC

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

$8 million Ventech Reactor Order

Oxford Catalysts Group (OCG.L), the technology innovator for smaller scale Gas-to-Liquids (GTL), is pleased to announce that Ventech Engineers International LLC (Ventech) has placed an order with the Group for Fischer-Tropsch (FT) reactors worth $8 million.

This order, placed in accordance with the agreements between the parties announced on 19 November 2012, is expected to generate revenues to the Group of $8 million over the period of their fabrication, estimated at 18 months, with a minimum payment of $3.6 million guaranteed in 2013. The reactors will have sufficient capacity for a plant of approximately 1,400 bpd. At the time when they are transferred from Ventech to a plant owner, the Group expects to receive additional license and catalyst revenues.

Ventech, headquartered near Houston, Texas, is a global leader in the design and construction of modular refineries, and an early pioneer of modular GTL plants. Ventech's manufacturing complex specialises in completely assembled and tested modules that are easily transported by truck, rail, and barge. Through its affiliate, Ventech Project Investments LP, it has $200 million available to make equity investments in energy projects, including GTL plants.

In November 2012, Oxford Catalysts and Ventech announced that they had entered into a series of agreements whereby the Group became Ventech's preferred supplier of FT technology in North America, and Ventech was granted non-exclusive assured access to design, sell and deliver GTL plants incorporating the Group's FT product to customers in North America. In collaboration with the Group, Ventech has developed the design for a fully integrated, shop fabricated, modular GTL plant.

Roy Lipski, CEO of Oxford Catalysts Group, said:

"We are delighted to receive this order from Ventech and to further cement our partnership with them. It represents another important milestone in the commercialisation of our technology and will allow us to consolidate the readiness of our supply chain for large volume orders."

Kevin Stanley, CEO of Ventech Engineers International, said:

"We are pleased to be moving our relationship with Oxford Catalysts to the next stage. We continue to see many opportunities for modular GTL and are looking forward to building the first plant of its kind in North America."

- 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

Oxford Catalysts enables Gas-to-Liquids (GTL) plants to convert unconventional, remote and problem gas into valuable liquid fuels. 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 fields than is possible with competing systems. Together with world-class partners, Oxford Catalysts provides complete smaller scale modular GTL solutions that address an untapped market of up to 25 million barrels of fuel a day.

Oxford Catalysts Group PLC is listed on the AIM market of the London Stock Exchange (LSE: OCG). The Group has some 85 employees with facilities near Oxford, UK and Columbus, Ohio, USA.

www.oxfordcatalysts.com

www.velocys.com

About Ventech

Ventech Engineers International LLC is a global leader in the design and construction of modular refineries, plant relocations, and specialised market appraisals for the refining industry. It has offices in Texas, Moscow, and the Philippines.

www.ventech-eng.com

 

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