REG - Molecular Energies - Corporate Update

Molecular EnergiesAnnouncement

21/09/2023 07:00

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RNS Number : 1180N  Molecular Energies PLC  21 September 2023

21 September 2023

 

MOLECULAR ENERGIES PLC

("Molecular" or the "Company")

 

Molecular takes first steps to develop an industrial scale production of
synthetic fuel

 

Paraguay drilling and spin-out and IPO of Green House Capital on track

 

New Corporate Presentation

 

Molecular Energies (AIM: MEN), the international energy company, is pleased to
provide a corporate update ahead of the General Meeting being held at 3pm
today to approve the sale of the entire issued share capital of President
Energy Holding UK Limited.

 

Molecular Aviation

Molecular's management team has been evaluating alternative major energy
projects to place the Group at the forefront of the ongoing energy revolution
utilising its assets and knowhow. Molecular's focus has included sustainable
aviation fuel ("SAF"), being synthetic kerosene. SAF is the most impactful
initiative with regard to reducing carbon emissions in the hard to abate
aviation industry (McKinsey 2023). Many of the world's leading airlines have
committed to using SAF for up to 30% of their total jet fuel by 2030. SAF can
be produced through the interaction of hydrogen and carbon-based products such
as, but not limited to, biomass.

 

Due to the current high costs involved, SAF is currently significantly more
expensive than fossil fuel derived product. Molecular considers that it may be
in an advantageous position with access to economic feedstock and offtake,
capitalising on its presence in South America, all sourced from its know-how,
network of contacts and related companies. Accordingly, Molecular is
commencing feasibility planning for the industrial scale production of SAF.
The Company has incorporated Molecular Aviation Limited as a wholly owned
subsidiary.

 

Molecular's work is at a preliminary stage but it has already signed several
non-disclosure agreements with potential stakeholders and relevant partners
with whom it enjoys established relationships. Aecom, the international
engineering and infrastructure company with a turnover of over US$13 billion
in 2022 has been appointed Owners Engineer for the potential project. Aecom is
also the Owners Engineer of Molecular's sister company, Atome Energy, for its
industrial scale green hydrogen to green fertiliser project in Paraguay.

 

Paraguay Drilling

The high impact exploration well is now expected to spud at or around the end
this month or the first week of October. The Rig mast has been erected and rig
testing is now commencing with the repaired blow-out preventer after final
testing currently now scheduled for delivery at the end of September.

 

Green House Capital

The Company continues, with its advisors, to work on the spin-out and IPO of
Green House Capital which is progressing on all fronts. The Company expects to
provide further updates in the coming weeks.

 

New Corporate Presentation

Molecular has issued a new corporate presentation now available for investors
to see on the Company's website at www.molecularenergiesplc.com
(http://www.molecularenergiesplc.com) as well as on its social media channels.

 

Change of Name of Nominated Adviser and Broker

The Company also announces that its Nominated Adviser and Broker has changed
its name to Cavendish Capital Markets Limited following completion of its own
corporate merger.

 

Peter Levine, Chairman, commented: "The exit of the Argentine business
preserves an income stream for Molecular which we anticipate in the current
circumstances will commence in H2 2024.

 

"In the meantime, Molecular is shortly to spud its high impact Paraguay
exploration well and has the valuable Atome Energy investment complemented by
its exciting Green House Capital Group planned spin-off from Molecular and IPO
later this year.

 

"The potential move to industrial scale production of synthetic fuel for
Molecular is both logical and compelling and continues the Company's strategy,
successfully evidenced by Atome and Green House in capitalising on the Group's
existing contacts, know how and experience to move into alternative high
potential future technologies and industries."

 

For further information, please visit www.molecularenergiesplc.com
(http://www.molecularenergiesplc.com) or contact:

 

 Molecular Energies PLC                                            +44 (0) 207 016 7950

 Peter Levine, Chairman                                            info@molecularenergiesplc.com

 Rob Shepherd, Finance Director

 Cavendish Capital Markets Limited (Nominated Advisor and Broker)  +44 (0) 207 220 0500

 Simon Hicks, George Dollemore

 Tavistock (Financial PR and IR)                                   +44 (0) 20 7920 3150

 Simon Hudson, Nick Elwes, Charles Baister

 

Notes to Editors

Molecular Energies PLC is an AIM listed company at the forefront of energy
development and has interests across the energy spectrum, from oil and gas
projects to subdivisions in the green and alternative energy sub-sectors. The
Company has oil and gas production in Argentina as well as exploration assets
in both Argentina and Paraguay. The Company has two separate subdivisions
which are focused on early-stage opportunities in the green and/or alternative
energy sub-sector.

 

Activities in the green and alternative energy space are being carried out
under the Green House Capital brand and through AIM listed Atome Energy PLC, a
green hydrogen, ammonia, and fertiliser company operating in Paraguay, Costa
Rica and Iceland, in which Molecular currently has 20.5%.

 

With a strong strategic and institutional base of support, an in-country
management team as well as the Chairman whose interests as the largest
shareholder are aligned to those of its shareholders, Molecular gives UK
investors access to an energy growth story combined with world class standards
of corporate governance, environmental and social responsibility.

 

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 as it forms part of UK Domestic Law by virtue of the
European Union (Withdrawal) Act 2018 ("UK MAR"). The person who arranged for
the release of this announcement on behalf of the Company was Robert Shepherd,
Financial Director.

 

-ends-

 

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