REG - Sabien Technology - Update on US Waste Plastics to Oil Project

Sabien TechnologyAnnouncement

17/10/2024 07:00

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RNS Number : 5047I  Sabien Technology Group PLC  17 October 2024

17 October 2024

Sabien Technology Group plc

("Sabien" or the "Company")

 

Update on US Waste Plastics to Oil Project

 

Sabien (AIM: SNT), a leading provider of energy reduction technologies, is
pleased to provide an update on the City Oil Field ("COF")/b.grn Group Limited
("b.grn") business opportunity in the US focused on generating sustainable oil
products from mixed, contaminated waste plastics with zero emissions. This
follows US business meetings and site visits held by the Company during the
week of 9 October 2024.

 

Included in the announcement of 19 February 2024, as part of the half-year
report for the 6 months to 31 December 2023, it was stated:

 

"Sabien confirms that its affiliate company, b.grn Group Limited ("b.grn"), is
participating in a consortium of green energy and sustainability companies to
establish a resource cluster within a large, fast growing, environmentally
conscious, US city (the "City") which has approved this announcement. A
Mayor-led initiative established a global competition process more than two
years ago, and the successful responding group was selected in late December
2023. Under this initiative, through an agreement with the project
developer, b.grn will have the potential to construct and operate the first
US-based installation of COF technology on a site leased from the City. The
installation will process plastic waste both provided by the City and sourced
from private enterprises. b.grn envisions that the offtake products from the
proposed plant will be consumed within the City.

 

It is anticipated that this project, which is expected to be announced by the
City no later than Q3 of 2024, will attract significant funding and will be a
blueprint for wider technology adoption in the US and internationally. Under
existing contracts, Sabien will benefit for both sales commissions on the
supply of equipment to the project and a share of operational profits
generated by b.grn".

 

In meetings last week the Company was informed that the City will now confirm,
subject to final contracts, this project by the end of 2024 and consequently
Letters of Intent ("LOI") for Land Lease and local Project Development Support
including initial seed funding are this week in active negotiation.

 

Further, on 8 July 2024 the Company announced that:

 

"Sabien had extended its exclusive Sales Agency Agreement with COF for an
additional five years, covering the UK and a region of the United States.
Additionally, Sabien's associate company, b.grn, extended its supply contract
with COF for the first Regenerative Green Oil (RGO) recycling plant outside of
Korea by another three years". This extension will facilitate b.grn's progress
in waste plastic recycling, with advanced due diligence on selecting a
specific site location in the US."

 

In the meantime, the Company has evidenced that COF are well progressed in the
construction and fabrication of the first production scale Regenerated Green
Oil ("RGO") plant in Korea. This is anticipated to facilitate practical
demonstrations of performance to the City and financial institutions as early
as the first quarter of 2025.

 

Richard Parris, Executive Chairman of Sabien Technology, added:

"Based on meeting held during my visit to the City last week with public
officials and local partners, the earlier extensions of our agreements with
COF, and the imminent availability of a full scale production plant for
commercial inspection, I believe it is now probable that this project will
progress to execution in 2025, pending 3(rd) party funding of b.grn to
resource the project, operational permitting and the completion of contractual
negotiations. This project has international importance given the challenge of
plastic pollution and CO2 emissions from the incineration and landfilling of
waste plastic as highlighted this week by the BBC:

 

·    https://www.bbc.co.uk/news/articles/cp3wxgje5pwo
(https://www.bbc.co.uk/news/articles/cp3wxgje5pwo) );

·    https://www.bbc.co.uk/news/articles/cwylepd79d5o
(https://www.bbc.co.uk/news/articles/cwylepd79d5o) .

 

I anticipate making a further update at the Company annual general meeting in
early December 2024".

 

 For further Information, please contact:

 Sabien Technology Group plc                           +44 20 7993 3700

 Richard Parris, Executive Chairman                    investors@sabien.com

 Allenby Capital Limited (Nominated Adviser)

 John Depasquale / Nick Harriss / Vivek Bhardwaj       +44 203 328 5656

 Peterhouse Capital Limited (Broker)

 Duncan Vasey / Lucy Williams                          +44 207 469 0930

 

About Sabien Technology Group plc

Sabien Technology Group plc provides energy reduction solutions designed to
help businesses achieve their sustainability goals, with a particular focus on
reducing energy consumption and carbon emissions.

 

The Sabien Technology Group plc holds the Green Economy Mark from the London
Stock Exchange, recognising companies generating over 50% of their revenues
from sustainable products and services.

 

Website: www.sabien.com (http://www.sabien.com/)

 

ENDS

 

 

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