(Alliance News) - EQTEC PLC on Wednesday said it has signed an equipment sale and services contract with ewerGy GmbH for a waste gasification project in Larissa, Greece.
Shares in waste-to-energy project developer EQTEC were up 9.3% at 0.67 pence in London in morning trading.
The fully financed and permitted 0.5 megawatt electrical plant, which is to be owned and operated by Agrigas Energy SA, is the first waste gasification plant in the country. Construction is set to start in September and and complete in the fourth quarter of 2021.
EQTEC signed a nominated subcontractor agreement with ewerGy, which operates in Greece through local partner ECO Hella SA, for the sale of equipment and engineering and design services worth EUR2.0 million to EQTEC. This will be paid in stages over a period of up to 18 months.
Financial close for the plant has been achieved and the first EUR200,000 milestone payment to Cork, Ireland-based EQTEC is expected to be paid in September.
With the addition of another 6 projects, a total of 22 projects located in Greece and the Balkan region are included under a collaboration framework agreement for potential joint development after additional due diligence by ewerGy and EQTEC.
This agreement has seen the two companies work closely together and is progressing well with a portfolio of projects that would use EQTEC's advanced gasification technology.
EQTEC Chief Executive David Palumbo said: "EQTEC's cooperation with ewerGy and ECO Hellas continues to strengthen and deliver results and we are pleased to have signed an equipment sales and services contract with them. With the strong and increasing appetite from traditional banking institutions to provide financing for projects applying EQTEC's advanced gasification technology, we look forward to commencing the construction of Greece's first waste to energy gasification plant, which is fully permitted and fully funded."
By Anna Farley; annafarley@alliancenews.com
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