PowerHouse Energy
Group plc
(“PowerHouse” or
the “Company”)
Cooperation
Agreement with Project Development Consultant
PowerHouse is pleased to announce that it has entered into a
Cooperation Agreement (‘the Agreement’) to appoint Waste2tricity
plc (Waste2Tricity) as its Project Development Consultant on an
initial 24 month contract. The purpose is to cooperate in the
development of multiple waste to energy (WTE) plants in the UK
using the PHE G3-UHT gasification technology (“G3”), subject to
both parties meeting specific performance criteria. The contract
may be extended if development milestones are met and is subject to
cancellation with a 90 day notice period.
The terms of the contract are such that Waste2tricity will
initially be compensated in PowerHouse shares for its fees of
£20,000 per month to be issued on a monthly basis. 51 per cent. of
the shares will be restricted until a final investment decision on
a commercial project is reached. Subsequent to successful project
development, and after each party recovers its project-related
costs (including PoweHouse recovering the expense of the shares
issued,) the profits of the project will be shared 50/50. In the
event it becomes necessary, each party will provide the other with
specialized, externally sourced, personnel at cost + 5 per cent.;
such cost to be recovered from the project related costs as defined
above.
Waste2tricity has a history of initiating projects both in the
UK and in Thailand and
PowerHouse had previously signed an exclusive distribution
agreement for Thailand with
Waste2Tricity, Thailand, a
subsidiary of Waste2Tricity.
Waste2Tricity’s staff and Board consist of well-respected
members of the WTE and Project Engineering communities;
Waste2tricity’s significant shareholders includes AFC Energy PLC.
PowerHouse has previously announced the intended acquisition of an
AFC Energy fuel cell (04/04/2014) for demonstration with PowerHouse
derived Hydrogen.
The Company believes that PowerHouse and Waste2tricity will be
able to identify and secure a suitably accessible, and highly
visible, demonstration site for G3 in advance of its arrival in the
UK. The Agreement seeks to successfully demonstrate the use of G3
in a commercial installation as well as to explore the potential
for the integration of AFC Fuel Cell technology, to which
Waste2Tricity has an exclusive WTE related licence in the UK, with
G3 for ultra efficient generation of electricity.
Subject to successful commercialisation, each of PowerHouse and
Waste2Tricity will have a right of first refusal for WTE projects
using each other’s technology for projects up to 1,000 tonnes of
waste per day. The continuation of the right of first refusal is
subject to a to be agreed minimum number of installations over each
24 month period.
Keith Allaun, Executive Chairman
of PowerHouse said: "We are delighted to have developed this
relationship with Waste2Tricity over the past several years. With
their involvement we now have ‘boots on the ground’ in the UK.
They are extremely well-connected, knowledgeable about the
industry, and we’re eager to work with their experienced and
talented staff. We are confident that together we will be able to
deliver successful projects far more rapidly than working
independently.”
John Hall, Managing Director of
Waste2tricity said: "This is a great opportunity for Waste2Tricity
to get involved at the early stage of commercialisation of a
product that we believe will have an enormous impact on the
distributed waste conversion market, distributed power market, and
in the future, the distributed hydrogen market. In addition to
working on deploying the systems we will also be working with
PowerHouse to endeavour to find ways to reduce the manufacturing
costs especially with our existing relationships in Thailand.”
The Company will keep the market apprised of any future
developments relating to the agreement between PowerHouse and
Waste2Tricity.
For more information, contact:
PowerHouse Energy Group
plc
Keith Allaun, Executive Chairman |
Tel: +44 (0) 203 368 6399 |
WH Ireland Limited (Nominated
Adviser)
James Joyce / James Bavister |
Tel: +44 (0) 207 220 1666 |
Vicarage Capital Limited
(Broker)
Jeremy Woodgate |
Tel: +44 (0) 203 651 2910 |
IFC Advisory (Financial PR &
IR)
Tim Metcalfe / Graham Herring / Heather Armstrong / Miles
Nolan |
Tel: +44 (0) 203 053 8671 |
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About PowerHouse
PowerHouse is the holding company of the G3-UHt System Ultra
High Gasification waste to energy systems.
The Company is focussed on technologies to enable energy
recovery from municipal waste streams that would otherwise be
directed to landfills and incinerators; or from renewable and
alternative fuels such as biomass, tyres, and plastics to create
syngas for power generation, high-quality hydrogen, or potentially
reformed into liquid fuels for transportation. These waste to
energy systems aim to provide the “best solution” to the
on-site energy market.
PowerHouse is quoted on the London Stock Exchange's AIM Market.
The Company is incorporated in the United
Kingdom.
For more information see www.powerhouseenenergy.net