(Sharecast News) - Sabien Technology Group announced that its sales agency agreement with City Oil Field (COF), has been rolled forward for a further 12-month period from 14 September.
The AIM-traded firm said the contract extension came on the back of the ground-breaking ceremony for the first COF production plant on 28 July in Korea's Jeonnam Province.
Located on the 2nd Chonam Industrial Complex in Gwangyang, Jeollanam-do, the company said the plant's footprint would occupy 6,611 square metres, and would be capable of treating 7,920 tons of waste plastic each year.
The Jeonyoung Regenerated Green Oil Company was in charge of the construction and operation of COF's regenerated green oil (RGO) technology-applied plant, with completion expected in March next year.
COF was expecting to produce an average of 4,752 tons of high-quality recycled oil annually by normal operations after completion.
To support the development of the first COF RGO outside of Korea, specifically in the UK, Sabien also said it would be hosting an executive-level delegation from its Korean partner and the quasi-governmental Korean Environmental Corporation in September.
Senior officials from the Korean Environment Corporation would visit the UK to undertake knowledge exchange with UK government agencies, and to support the commercial development of COF's partnership with Sabien and its development partner B.grn Group.
The board said the partnership with COF had developed further since the end of the financial year on 30 June, with a number of sites identified and work continuing towards securing them for deploying the COF technology.
In addition to reviewing that work, the delegation would also attend meetings with a number of stakeholders and officials in order to gain a better understanding of the UK's emerging environmental programme.
"Over the last 12 months we have achieved significant progress positioning COF technology with key UK influencers, and we look forward to enabling the first production deployment outside of Korea," said Sabien chairman Richard Parris.
"We are honoured to host this important delegation - the UK's credentials within environmental innovation are well known."
Parris said the combination of an "urgent need" for an alternative to traditional fuel supplies and COF's lead in recycling technology was "unparalleled" in the UK.
"Through our commitment to the circular economy, Sabien is positioned to accelerate the UK's transition to net-zero.
Sabien, B.grn and COF are all excited to demonstrate this opportunity to South Korean and UK officials."
At 1410 BST, shares in Sabien Technology Group were up 3.82% at 11.68p.
Reporting by Josh White at Sharecast.com.
Sabien Tech. (SNT)