EQTEC, based in Ireland, has signed a framework agreement with Phoenix Energy, a California based power company that builds, owns and operates on-site biomass gasification plants,
Syngas Italy (EQTEC)
Under the agreement, the companies will jointly develop biomass gasification power projects in the US, with five projects having already been identified. The target projects will generally be 2 to 3MW in size, with an estimated project value between $15 and $20 million each.
The agreement states once the parties have agreed to proceed with a project, EQTEC will provide its proprietary Gasifier Technology ("EGT"), together with technical design and engineering for the power plants and the parties will work together to secure the necessary funding to develop such projects.
Phoenix has confirmed that EGT is well positioned to address the requirements of its market and following a joint review of the Californian and US Biomass Markets, the parties have identified significant revenue generating opportunities which they wish to capitalize on in the near term. This includes developing biomass and waste gasification power plants and selling and distributing energy.
Ian Price, CEO of EQTEC, commented,"Phoenix has a track record of successfully delivering projects in California and the wider US and we are very pleased that our initial technical and commercial interactions have led to this important agreement. As announced in our Business Strategy Update, the Board believes that developing key partnerships with proven counterparties with a secured projects pipeline is the most effective way to deliver multiple projects."
Gregory Stangl, CEO of Phoenix Energy, added, "Having worked closely with EQTEC on our initial projects, we are delighted to be taking our relationship to the next level with the signing of the Agreement, as we seek to jointly exploit what we know to be significant opportunities for both parties in the Californian and US Biomass Distributed Energy markets."