LONDON (Alliance News) - Quadrise Fuels International PLC Monday reported a narrowed loss for the first half of its financial year after the year-earlier period was hit by a writedown on the company's Canadian assets.
The developer of fuel oil alternatives for the shipping, refining and power generation markets isn't currently earning any revenues and so its losses are mainly down to costs and expenses. Its loss from continuing operations for the six months to end-December, 2013 was GBP1.8 million, compared with a loss of GBP3.4 million a year earlier when the company had booked a GBP1.8 million writedown of its Canadian assets.
Its cash reserves stood at GBP2.1 million on December 31, 2013, down from GBP4.0 million a year earlier, but earlier this month it raised GBP10.7 million in a placing. It thinks it should now have enough money to accelerate the development of its various potential products.
"We expect a change in pace to build progressively through 2014 as the company transitions from pre-commercial development to substantive commercial operations with our key clients and partners in the marine and power sectors," Chairman Ian Williams said in a statement.
The company's main potential product is its MSAR fuel and technology.
It claims its MSAR technology can render heavy hydrocarbons easier to use by producing a low viscosity fuel oil using water instead of oil-based diluents. That would benefit refiners by freeing up distillates used to extract heavy oil from the bottom of a barrel to produce fuel oil. It has already produced a bunker fuel using the technology, which is currently being tested at sea.
Quadrise Fuels shares were down 0.1% at 35.347 pence Monday morning.
By Steve McGrath; stevemcgrath@alliancenews.com; @SteveMcGrath1
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