6th May 2008 07:03
Nviro Cleantech plc06 May 2008 Press Release 6th May 2008 Nviro Cleantech plc ("Nviro" or "the Company") Vertus Technologies' first China JV clean coal client Nviro Cleantech plc (AIM:NVR), a leader in commercialising environmentaltechnologies including clean coal for power generation, is pleased to announcethat its Chinese joint venture, Balama Nviro Limited ("Balama Nviro"), hassigned an Agreement with Shenyang Coal Trade Group (SCTG), of north-easternChina, under which Balama Nviro will build and operate Nviro's Vertus RTP unitsto remove environmental contaminants from SCTG's coal. Through Balama Nviro, this fuel evaluation and testing agreement brings Nviro'ssubsidiary, Vertus Technologies, its first clean coal relationship in China. Theagreement represents a significant corporate milestone, marking the commencementof the roll-out of Vertus' Reductive Thermal Processing ("RTP") technology inChina, and demonstrating substantive progress towards Balama Nviro's commitment,as announced in June 2007, to establish its first two installations in theregion. The Fuel Evaluation and Testing Agreement will involve the detailed analysis offuel sources, Vertus process plant facilities, and optimised fuel specificationsfor the various solid fuel resources outlined below. In addition, it willinclude detailed planning for a phased installation of Vertus RTP equipment toaddress the large volumes of each fuel resource. The modular format of theVertus RTP technology will enable Vertus and SCTG to manage both site logisticsand capital costs effectively, so that the installation of the Vertus technologycan occur over a practical period that suits both businesses. Under the Agreement, Balama Nviro will build and operate Vertus RTP clean fuelsystems to treat the following coal resources within SCTG: • High-sulphur coal from the ten SCTG mines in northern China, producing 1.5-5.0 million tons per year producing some 16 million tons of coal products each year. • Coal "gangues", a waste coal material with energy value that, uniquely, Vertus RTP can extract, thereby removing a significant environmental problem. The SCTG stockpile has reached more than 20 million tons, with the volume increasing at a rate of 2 million tons per annum. • Coal preparation to optimise fuel energy values for both an existing 50 MW power plant utilising 250,000 tons per year presently and a planned 300 MW, power plant to be operational in 2010. Derek Choi, Director of Balama Nviro, said: "We are delighted with thisopportunity to develop a long-term relationship with a large and fast growingcoal business like SCTG. We will work together to develop the most effective 'install and operate' programme possible, thereby ensuring that we add value toSCTG's businesses over the coming years by deploying the Vertus RTP technologyto improve its environmental and financial performance, whilst increasing itssustainability credentials." Chris Every, CEO of Nviro Cleantech, said: "It is great news for our Chinese JVto see the timely fulfilment of roll-out plans announced last year. SCTG is aleader in the coal and solid fuel Industry, and we are very excited to beentering into a relationship with them. The opportunity to address multipleprojects with the Group reflects both the strength and flexibility of the Vertustechnology platform. Furthermore this Agreement demonstrates the skill,dedication, and resourcefulness of our JV and I believe this is an excellentfirst step in addressing the Chinese solid fuels market and will give us astrong platform to continue to grow in China." - Ends - For further information:Nviro Cleantech plc Tel: +44 (0) 20 7451 2473 www.nvirocleantech.comChris Every, Chief Executive Officer [email protected] Grant Thornton Corporate Finance - Tel: +44 (0) 20 7383 5100Nominated Adviser www.grantthornton.co.ukFiona Owen Fairfax I.S. PLC Tel: +44 (0) 20 7598 5368Broker www.fairfaxplc.comEwan Leggat [email protected] Media enquiries:Abchurch Communications Limited www.abchurch-group.comJustin Heath / Monique Tsang Tel: +44 (0) 20 7398 7712 [email protected] About Nviro Cleantech plc Nviro Cleantech plc is a leader in commercialising clean technologies, such asrenewable energy, waste recycling, emissions control and air quality monitoring,that benefit the global environment. The Company operates by acquiring a strong,balanced portfolio of near-to-market technologies that address large demandneeds in a breadth of markets, and which are viable and cost-effective. The Company is developing a portfolio currently comprising five cleantechnologies. These include: • Vertus RTP, the Company's lead technology - the reductive thermalprocess (RTP) is designed to substantially cleanse low-quality coal and biomassto produce high-grade solid fuels which provide customers with a solid fuelsource optimized for both emission compliance and heat and power generation; • MicroRelease, the follow on technology coming to market - designed to recycle medium density fibre ("MDF") and particle board into a high-quality reusable wood fibre; • Additional technologies in air quality evaluation and air purification. Nviro Cleantech focuses on solutions that can be brought to market quickly, andwith maximised financial potential, using proven technologies and managementteams. It systematically targets environmental innovations that do not requireradical shifts in consumer behaviour nor large capital investments to adopt. About Balama Nviro Limited Formed in July 2007, Balama Nviro is a joint venture between Nviro subsidiary,Vertus Technologies and Hong Kong based company Balama Prima Engineering Ltd.The JV was established to develop the infrastructure and market for clean coaland clean biomass plants in China. Balama Prima Engineering Ltd is deeply involved in infrastructure engineering inChina via the application of leading technologies from the USA and Europe in theroad resurfacing market, slip form concrete, super-flat flooring and trenchlesslaying as well as a comprehensive range of grinding equipment for the biomassmarket. It was established over 25 years ago and now has 12 operating sites andtwo large manufacturing facilities in China, employing over 800 people. About Shenyang Coal Trade Group Shenyang Coal Trade Group (SCTG) was formed in 2001 by commercialization of theformer Shenyang City Bureau of Coal Industry. SCTG produces 16.4 tons ofvarious coal products annually. It operates 10 main mines in Liaolin Provinceand Heilongjiang Province with total area of operation covering over 370 squarekm. Total coal reserve is over 2 billion tons SCTG's main business operationsinclude coal, power generation, gypsum, cement, construction materials andmachinery. Future strategy includes investment in CHP coal-fired power plantsas one of the key business. SCTG currently operates a 50 MW facility and is building a 300MW facilityschedule to operate in 2010. SCTG is a part of Liaoning Hongyang EnergyInvestment Ltd, which is listed on the Shanghai Stock Exchange (ticket number -SH600758). In 2007, SCTG recorded a revenue of RMB 8 billion (US$1.15billion)and Hongyang Energy RMB150billion (USD21.4billion). This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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