6th Sep 2018 12:44
LONDON (Alliance News) - Velocys PLC said Thursday that discussions with ENVIA Energy LLC are ongoing regarding funding options for the Oklahoma City plant.
Shares in the company were trading down 15% at 6.60 pence each.
The renewable fuels company said that among the various options there is the possibility of "seeking financial contributions from the joint venture partners including the Velocys" which, if not supported, could result in a decision to shut down the plant, sell to a third party, or liquidate the joint venture.
The plant had experienced a leak which, ENVIA, the plant's operator, investigated. The investigation into the leak identified the ancillary coolant system as the root cause, Velocys said.
"This determination has subsequently been independently endorsed, by ENVIA's appointed insurance company, which found that the leak it was not a result of any flaw in the core Velocys Fischer-Tropsch technology," Velocys said.
Additionally, the company said that its Mississippi biorefinery project remains on track.
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