REG - EQTEC PLC - France project award with Idex Group

EQTECAnnouncement

27/03/2023 07:00

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RNS Number : 2183U  EQTEC PLC  27 March 2023

27 March 2023

 

EQTEC plc

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

 

France project award for waste-to-RNG plant with Idex Group

 

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 it
has been awarded a project in partnership with French utility company and
infrastructure owner Idex, by the Limoges Métropole ("Limoges Metropolis") in
Nouvelle-Aquitaine, France (the "Project").

 

The Project, to be developed by Idex with engineering and technology from
EQTEC, is expected to result in a plant able to convert up to 45,000 tonnes
per year of mixed waste, including contaminated wood waste, into up to nine
million normal cubic metres per year of renewable natural gas ("RNG") (the
"Plant). Once operational, the partners expect that Idex will own and operate
the Plant.

 

The Project was awarded to the Company and Idex through a competitive tender
and panel interview process that completed in late 2022. In addition to the
French national government and expert engineering laboratories, the panel
included Gaz Réseau Distribution France (GrDF) SA, France's primary natural
gas distribution network operator and the Nouvelle-Aquitaine regional
government, both of whom will supply funding to the Project. The Company and
Idex worked together throughout the process, with a joint submission and
presentation that won approval over competing bids. Limoges Metropolis has
reserved the right to join a consortium with the Company and Idex as the
project develops.

 

The Project supports the Company's business strategy and is an important next
step for demonstrating EQTEC's capabilities with applying its versatile
synthesis gas ("syngas") technology to a variety of applications, including
RNG. It builds on the waste wood conversion capabilities it is applying at its
France Market Development Centre ("MDC") in Villers-sous-Montrond, France and
on the steam-oxygen capabilities it installed 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.

 

The Company expects financial close for the Project to occur in the second
half of 2024 with the Plant completing construction and commissioning by early
2026, for live operation in the first half of 2026.

 

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

 

"The Project represents a major win for EQTEC and the first formal
collaboration with a significant partner in Idex. The RNG market in France has
substantial growth potential as the country moves to set its first RNG feed-in
tariff later this year, further supported by the anticipated announcement from
European Sovereign funds to accelerate project financing. EQTEC is already
pursuing several RNG opportunities in addition to the Project and will make
the most of the momentum toward RNG.

 

In addition to positioning itself as an innovative, decarbonising energy
company, Idex has been a constructive and valuable partner to the Company and
represents a strong, future route to market for EQTEC technology as well as a
collaborator in deploying our Utility solutions and a well-known name with the
capability to develop, own and operate a portfolio of plants with EQTEC
technology."

 

Stéphane Guillet, Idex New Energy Vectors Director, commented:

 

"Idex has a strong record deploying innovative technologies, which is closely
aligned with EQTEC's leading expertise and clean syngas technology. Idex has
committed itself to evolving its own business model to bring on new
technologies that decarbonise France's energy footprint and deliver
sustainable infrastructure to support baseload requirements. We look forward
to continued collaboration with EQTEC and to making the Limoges project a
success together."

 

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 20 3883 7009

 David Palumbo / Nauman Babar

 Strand Hanson - Nomad & Financial Adviser              +44 20 7409 3494

 James Harris / Richard Johnson

 Panmure Gordon - Broker                                +44 20 7886 2500

 John Prior / Hugh Rich

 Instinctif - Media & investor relations enquiries      EQTEC@instinctif.com (mailto:EQTEC@instinctif.com)

 Guy Scarborough / Tim Field                            +44 791 717 8920 / +44 788 788 4794

 

About Limoges

 

The communauté urbaine Limoges Métropole ("Limoges Metropolis") is a
community of municipalities that includes the City of Limoges and surrounding,
suburban municipalities. It is in the Haute-Vienne department, in the
Nouvelle-Aquitaine region, in southwestern France. Occupying an area of 520.6
square kilometres, its total population was 207,385 in 2018, of which 131,479
resided within Limoges city limits.

 

In 2021, Limoges Metropolis adopted a Climate-Air-Energy Plan for the Area
(the "Plan"), which set a target for annual energy production of 1,000
gigawatt-hours ('GWh") from renewable sources, including production of biogas
and specifically, a renewable natural gas ("RNG") capability. The feasibility
study undertaken as part of deployment of the Plan concluded that 40,000
tonnes per year of feedstock per year could be made available for waste-to-RNG
conversion, of which up to 60% would be Grade B wood waste.

 

About Idex

 

Founded in France in 1963, Idex develops, designs, finances, builds and
operates local energy and carbon-free infrastructure, which provides renewable
heat and local electricity supply to buildings, cities & industry.

 

With 5,700 employees and a turnover of €2 billion in 2022, Idex is currently
the only vertically integrated market operator delivering the complete value
chain for local energy provision. The Group is involved in the production of
thermal or electrical energy from local and low-carbon energy resources
(geothermal, solar, biomass, waste), the distribution of this energy through
district heating and cooling networks, to its final use in industrial,
residential and tertiary buildings and other applications.

 

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/) .

 

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