REG - Active Energy Group - Update on Ashland Facility

Active EnergyAnnouncement

23/02/2024 07:00

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20240223:nRSW1875Ea&default-theme=true

RNS Number : 1875E  Active Energy Group PLC  23 February 2024

23 February 2024

Active Energy Group Plc

("Active Energy" or the "Company")

Update on Ashland Facility and relationship with Player Design Inc

Active Energy (AIM: AEG, OTCQB: ATGVF), the international biomass based
renewable energy business, announces an update on the Board's strategy as a
result of the delays in construction, by Player Design Inc ("PDI"), of the
CoalSwitch® fuel reference plant at Ashland, Maine (the "Ashland
Facility").

On 26 January 2024, the Company announced that it had been informed by PDI
that it will not supply CoalSwitch® fuel to either Active Energy or any of
its prospective customers as it was obliged to under the terms of the take or
pay agreement between the two parties. PDI has continued to provide no
substantive reasons to Active Energy for this.

Furthermore, the Company has recently become aware that PDI and its owner,
Tyler Player, commenced legal action in January 2024 against Active Energy in
Aroostook County, Maine.  This legal action, which the Board of AEG believe
is completely without just cause, seeks alternative forms of redress and forms
an attempt by PDI to obfuscate its contractual responsibilities. The Company
will vigorously defend any baseless legal claims by PDI or Tyler Player.

Active Energy continues to seek resolution with PDI on various outstanding
matters, including the return of cash of $1.1m paid by Active Energy toward
development of the Ashland Facility and the return of additional prepaid
monies for future services amounting to $300,000. Active Energy also continues
to seek the return of its production equipment and components situated at the
Ashland Facility or to agreed alternative compensation from PDI. Finally, PDI
has presented the Company with unfounded claims in respect of the intellectual
property related to the CoalSwitch® production process, specifically for
black pellet production using steam treatment technologies. Active Energy will
vigorously act to defend its CoalSwitch® intellectual property and protect
its shareholders' interests.

In the absence of an agreement being reached between the parties in the
immediate future, the Board will have no alternative to launching legal
proceedings against PDI to recover these funds and for the significant damages
incurred by Active Energy as a result of PDI's actions.

The Board continues to examine the most expedient ways to commence
CoalSwitch® fuel production, using its proprietary technologies in North
America or Southeast Asia. Ongoing commercial conversations continue and
future customers, including companies operating in the pulp and paper, cement,
and power generation industries remain committed to the receipt of
CoalSwitch® fuel at the earliest opportunity.

Enquiries:

 Active Energy Group Plc        Michael Rowan (Chief Executive Officer)                                 info@aegplc.com

                                Michelle Fagan (Chief Financial Officer)
 Allenby Capital Limited        Nick Naylor/James Reeve/Daniel Dearden-Williams (Corporate Finance)   Office: +44 (0)20 3328 5656

 Nominated Adviser and Broker   Amrit Nahal (Sales/Corporate Broking)
 Camarco                        Tom Huddart / Emily Hall / Lily Pettifar                              aeg@camarco.co.uk

 Financial PR Adviser                                                                                 Office: +44 (0)20 3757 4980
 Scoville PR                    John Williams                                                         jwilliams@scovillepr.com

 US PR Adviser

 

 Website         LinkedIn                                         Twitter
 www.aegplc.com  www.linkedin.com/in/active-energy-group-plc/     https://twitter.com/aegplc (https://twitter.com/aegplc)

                                                                 @aegplc

 

About Active Energy Group

Headquartered in London with operations in the United States, Active Energy
Group plc (AIM: AEG, OTCQB:ATGVF) is a biomass-based renewable energy company
focused on the production and development of next generation biomass products
that have the potential to transform coal fired power and heavy industries and
the existing renewable biomass industry.

Active Energy has developed a proprietary technology which transforms waste
biomass material into high-value renewable fuels. Its patented product
CoalSwitch® is a leading drop-in biomass renewable fuel that can be blended
and co-fired with coal at any ratio without requiring significant plant
modification or wholly replacing existing biomass fuels.

 

 

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  UPDMZGZZZZZGDZZ