France government award for potential RNG project

RNS Number : 9341T

EQTEC PLC

23 March 2023

 

23 March 2023

EQTEC plc

("EQTEC", the "Company" or the "Group")

France government award towards potential waste-to-RNG project

EQTEC plc (AIM: EQT), a global technology innovator powering distributed, decarbonised, new energy infrastructure through its waste-to-value solutions for hydrogen, biofuels, and energy generation is pleased to announce that EQTEC France SAS ("EQTEC France") has been appointed by the French national government via the Préfet de la Région Provence-Alpes-Côte-d'Azur (the "Prefecture") to lead a technical and commercial feasibility (the "Feasibility") on the site of a decommissioned, coal-fired power station in Meyreuil, Aix-en-Provence, Bouches-du-Rhône, France (the "Site").

The Feasibility is fully funded by national and regional governments under the Pact for Ecological and Industrial Transition of Gardanne-Meyreuil with an initial budget granted to EQTEC France of €1 million. The Feasibility will consider one of four potential projects at the Site, where the Gardanne power station ("Gardanne") formally operated.  The Feasibility is expected to complete in the first half of 2023.

EQTEC France will lead the Feasibility, to review the Site's requirements and the potential for EQTEC solutions, working with local development consultants to assess the commercial viability and development requirements. EQTEC's engineering team will take the lead in assessing design, engineering and other technical considerations.

The intention of national and regional stakeholders is to revitalise the Site by deploying new energy infrastructure that is clean, sustainable, and commercially viable, and to employ local people, particularly workers from the legacy plant. Through the Feasibility, the Prefecture and other stakeholders intend to explore the technical and commercial viability of a potential facility built around EQTEC technology, with particular interest in production of renewable natural gas ("RNG") from a variety of wood waste types.

Following the Feasibility, the Company will have the opportunity for additional design work, in partnership with France-based developers, to formalise a project and advance it toward financial close. The Company will provide further progress updates in due course.

Gardanne, also known as the Provence power station, was an 850 MWe coal-fired power station owned by Gazel Energie France, the fourth largest provider of electricity and gas in France and a wholly owned subsidiary of Czech multinational energy infrastructure owner-operator Energetický a průmyslový holding, a.s. ("Group EPH"). Following its July 2019 acquisition of Gardanne and other assets previously owned by Uniper France, which coincided with the French government's pledge to phase out coal power by 2022, Group EPH closed the plant at the end of 2020 and in 2022 reopened part of the plant as a 150 MWe biomass incineration facility.

The Feasibility supports the Company's business strategy and is an important next step for demonstrating EQTEC's capabilities in applying its versatile synthesis gas ("syngas") technology to a variety of applications, including RNG. It builds on the steam-oxygen capabilities installed by EQTEC in 2022 at its R&D facility hosted by the Université de Lorraine in Épinal, France. It also builds on the RNG trials targeted for investment by the Company from the recent fundraise announced on 21 March 2023. Finally, because the Feasibility is fully funded from the outset of the project lifecycle, the payment structure realises the Company's intent to charge for engineering services prior to financial close.

David Le Saint, EQTEC Market Lead for France, commented:

"Gardanne was a huge plant and a big part of life in Gardanne-Meyreuil. When visiting the area, it is evident what an impact the plant made on the local community and what its closure has meant to so many families there. The opportunity to help revitalise the Site is extremely exciting for us and in line with our approach to local-for-local, waste-to-value solutions. With this initial Feasibility, we believe that the versatility of EQTEC technology will provide technically and commercially interesting propositions for the Site and for the community. It will also create another opportunity for EQTEC to deliver RNG in what is shaping up to be a very active market for it. I look forward to growing EQTEC France's partner network and local capabilities to support this exciting growth market for Gardanne-Meyreuil and for France more generally."

This announcement contains inside information as defined in Article 7 of the EU Market Abuse Regulation No 596/2014, as it forms part of United Kingdom domestic law by virtue of the European Union (Withdrawal) Act 2018, as amended, and has been announced in accordance with the Company's obligations under Article 17 of that Regulation.

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EQTEC plc David Palumbo / Nauman Babar	[phone]
Strand Hanson - Nomad & Financial Adviser James Harris / Richard Johnson	[phone]
Panmure Gordon - Broker John Prior / Hugh Rich	[phone]
Instinctif - Media & investor relations enquiries Guy Scarborough / Tim Field	[e-mail] [phone] / [phone]

About EQTEC plc

As one of the world's most experienced gasification technology and engineering companies, with a growing track record of delivering operational and commercial success for transforming waste-to-energy through best-in-class technology innovation, engineering and project development, EQTEC brings together design innovation, project delivery discipline and solid commercial experience to add momentum to the global energy transition. EQTEC's proven, proprietary and patented technology is at the centre of clean energy projects, sourcing local waste, championing local businesses, creating local jobs and supporting the transition to localised, decentralised and resilient energy systems.

EQTEC designs, supplies and builds advanced gasification facilities in the UK, EU and US, with highly efficient equipment that is modular and scalable from 1MW to 30MW. EQTEC's versatile solutions process over 50 varieties of feedstock, including forestry wood waste, vegetation and other agricultural waste from farmers, industrial waste and sludge from factories and municipal waste, all with no hazardous or toxic emissions. EQTEC's solutions produce a pure, high-quality synthesis gas ("syngas") that can be used for the widest range of applications, including the generation of electricity and heat, production of synthetic natural gas (through methanation) or biofuels (through Fischer-Tropsch, gas-to-liquid processing) and reforming of hydrogen.

EQTEC's technology integration capabilities enable the Group to lead collaborative ecosystems of qualified partners and to build sustainable waste reduction and green energy infrastructure around the world.

The Company is quoted on AIM (ticker: EQT) and the London Stock Exchange has awarded EQTEC the Green Economy Mark, which recognises listed companies with 50% or more of revenues from environmental/green solutions.

Further information on the Company can be found at  www.eqtec.com .

 

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