REG - EQTEC PLC - Collaboration Framework Agreement with CompactGTL

EQTECAnnouncement

07/07/2022 09:45

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20220707:nRSG6671Ra&default-theme=true

RNS Number : 6671R  EQTEC PLC  07 July 2022

07 July 2022

EQTEC plc

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

 

Collaboration Framework Agreement with CompactGTL

 

EQTEC plc (AIM: EQT), a world-leading technology innovation company enabling
the Net Zero Future through advanced solutions for hydrogen, biofuels, SNG and
other energy production, is pleased to announce that it has signed a
Collaboration Framework Agreement (the "Agreement") with CompactGTL Limited
("CompactGTL"), a leading, small scale, modular, gas-to-liquids ("GTL")
company specialising in the production and use of synthetic fuels from gases,
including natural gas, synthesis gas and off-gases.

 

With a strong track record applying innovative approaches to GTL in the oil
& gas industry, CompactGTL is actively considering application of its
capabilities to production of new fuels, and especially to conversion of
synthesis gas ("syngas") into sustainable, drop-in, liquid fuels for
industries that are more difficult to decarbonise, such as the aviation and
heavy haulage industries. Given EQTEC's track record with production of syngas
tuned to specific feedstock and offtake requirements, CompactGTL view EQTEC's
syngas as a strong complement to its GTL capabilities for production of
sustainable, synthetic fuels.

 

Through the Agreement, the Company and CompactGTL (together, the "Parties")
have agreed to collaborate on the design, development, construction and
operation of waste-to-fuel projects and other synthetic fuel and energy
infrastructure projects, with an initial focus on small-scale, modular,
waste-to-fuel plants. The Parties intend to integrate their respective
technologies and know-how to pursue a growing number of opportunities for
clean, sustainable liquid fuel production. The Company will provide project
development, syngas technology solutions, engineering and technical design
services. CompactGTL will provide GTL technology solutions and access to
development sites, funders, infrastructure investors and blue chip offtakers.

 

The Parties have also agreed to promote and introduce each other to commercial
opportunities and to jointly develop projects. The Parties have identified a
potential pilot-demonstration project (the "Project") for which they will
commence feasibility work as soon as possible. The Project would focus on
designing and developing the first, small-scale, commercial plant utilising
RDF as feedstock in the production of sustainable liquid fuels, applying both
Parties' technologies. The Parties have identified a location for the project
and are currently in discussions with the site owner about acquiring rights to
developing the project.

 

The Agreement, valid for an initial, two-year period, comes in the wake of
several similar announcements by the Company since 2021, whereby it has
confirmed formal agreements with a range of technology and delivery partners
whose capabilities complement the Company's own. Through these relationships,
the Company seeks to develop a global partner network to support delivery of
EQTEC's proposition of its world-leading syngas technology for a range of
baseload energy and biofuel solutions in the Net Zero future. With this most
recent Agreement, the Company aims to position itself in the emerging market
for synthetic fuels and commits its capabilities to developing clean,
efficient fuels through conversion of a variety of waste products.

 

Any projects the Parties elected to progress to full development would be
subject to separate, detailed contracts. The Company will update the market as
projects under review are qualified and managed through the pipeline.

 

David Palumbo, CEO of EQTEC, commented:

"EQTEC's ability to design, model, deploy and commission its proprietary and
patented process technology to produce highly efficient, versatile and clean
syngas from a wide range of waste types makes us uniquely fit for a range of
offtake applications, including liquid fuels. To date, we have targeted our
efforts on projects for clean power, thermal energy, hydrogen and synthetic
natural gas. I am especially happy now to add liquid fuels to that list, as
market interest grows for sustainable aviation and ground fleet fuels.
CompactGTL are uniquely positioned as partners, with the technology and a team
deeply expert in process technologies, to collaborate with us toward rapid
realisation of highly efficient fuels for the Net Zero future. We are excited
to get moving in this market."

 

Anar Asgarov, CEO of CompactGTL, commented:

"CompactGTL has already proven itself in the oil & gas sector and is very
happy now to be turning our attention to the growing sector for clean,
renewable energy. Our ability to transform a variety of gases into liquid
fuels is well suited to syngas conversion, and our technology works. Our
greatest challenge to date has been finding a sufficiently pure syngas that
can be tuned for the sorts of fuels that are suitable for markets such as
aviation and heavy haulage. Discovering EQTEC's end-to-end process
capabilities and the quality of syngas its technology produces was decisive.
We are delighted to formalise our relationship, with a view to joint work on a
demonstration plant that will open the door to new markets for syngas-to-fuel
solutions."

 

 

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.

 

ENQUIRIES

 EQTEC plc                                                     +44 203 883 7009
 David Palumbo / Nauman Babar

 Strand Hanson - Nomad & Financial Adviser                     +44 20 7409 3494
 James Harris / Richard Johnson

 Arden Partners - Joint Broker                                 +44 20 7614 5900
 Ruari McGirr (Corporate) / Simon Johnson (Sales)

 Canaccord Genuity - Joint Broker                              +44 20 7523 8000
 Henry Fitzgerald-O'Connor / James Asensio / Patrick Dolaghan

 Alma PR - Financial Media & Investor Relations                +44 20 3405 0205
 Josh Royston / Sam Modlin / Matthew Young                     EQTEC@almapr.co.uk (mailto:EQTEC@almapr.co.uk)

 Instinctif - General Media Enquiries                          +44 20 7457 2381 / +44 7887 884794

 Chris Speight / Tim Field                                     EQTEC@instinctif.com (mailto:EQTEC@instinctif.com)

 

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
(http://www.eqtec.com/) .

 

About CompactGTL

 

CompactGTL (CGTL), with headquarters in the UK, is one of the world's leading,
small scale, modular Gas- To Liquids (GTL) companies. Since its inception in
2006, CGTL has focused its technology development and commercialisation
programme on the upstream oil & gas sector, recognising problematic
stranded gas as the most compelling market opportunity.

 

CGTL has focussed its development activities on delivering what commercially
viable plants need to achieve and has developed a unique, patent- protected
and proven GTL process utilising Fischer Tropsch (FT) catalytic conversion.
The CGTL small- scale GTL technology has been proven to work for the
conversion of associated gas into synthetic liquids at the point of
production. The technology has powerful oil company endorsement by Petrobras
who successfully operated CGTL's Commercial Demonstration Plant for 3 years in
Brazil.

 

CGTL now sees a huge new opportunity to transition the company from a focus on
primary fossil derived feedstocks to a focus on biogenic feedstocks, such as
residual biomass, refuse derived fuels and municipal solid wastes, that can be
turned into valuable and sustainable liquid fuels. To achieve this CGTL has
partnered with EQTEC as we believe there is significant synergies in the
integration of CGTL's FT technology and EQTEC's proven ability to produce high
quality synthesis gas from a range of feedstocks.

 

 

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  AGREAPXXEDFAEEA