15th May 2018 11:45
LONDON (Alliance News) - Shares dropped in Velocys PLC on Tuesday as it was informed by ENVIA Oklahoma City plant operator Envia Energy LLC of a leak within one of the plant's two Fischer-Tropsch reactors.
Shares in the renewable fuels company fell 20% at 13.40 pence on Tuesday.
Based on a preliminary investigation, Velocys believes that the root cause of the leak came from the design of an ancillary system, and will work the ENVIA and third party consultants to verify the cause and develop a solution to return the plant to full operations.
Until then, the plant will operate with only one reactor, meaning that the plant is unlikely to become cash flow positive in the second quarter of 2018 is previously expected.
Related Shares:
VLS.L