RE: RNS7 Jul 2023 07:23
Morocco
In June 2022, QIL signed a new Material Transfer & Cooperation Agreement with its client in Morocco, a major chemicals Company, under which QIL will manufacture trial quantities of MSAR® and bioMSAR™ for the purpose of an industrial demonstration test at the Client's 'Site-B' facility. QIL will then provide the Client with a written report on the efficacy of using MSAR® and bioMSAR™. Provided the client-specified deliverables regarding performance and product quality are met, the parties will enter into discussions for a potential commercial supply of MSAR® and/or bioMSAR™.
In parallel with preparations for the site demonstration tests, Quadrise has since completed a technical and economic feasibility study for a potential additional industrial demonstration test at a second site of the client. This additional industrial demonstration test will be subject to future agreement, once confirmed.
Following signature of the new Agreement, volumes of MSAR® and bioMSAR™ were produced by Quadrise at a site in Europe and shipped to Morocco. Due to the process of clearing a new fuel through Moroccan customs, the commencement of the MSAR® demonstration test was subject to delays, with 60mt of MSAR® and 10mt of bioMSAR™ arriving at Site B in late February 2023. Following the completion of the site engineering set up, and finalisation of the client's production schedule, the trial commenced in May 2023.
Cold start-up of the client's combustion unit was carried out and the initial unit warm-up sequence was tested using MSAR® fuel. Whilst running at 100% a mechanical component in the pumping and heating unit failed progressively, reducing the available unit load achievable from the burner, and it became impossible to complete the testing during May as originally planned. The parties agreed to pause the trial so that the client could complete their scheduled production run, and the respective part could be replaced.
The replacement mechanical parts are now on site at the client's premises, enabling Quadrise to finalise optimisation of combustion at full load when the trial resumes.
Quadrise personnel are regularly visiting the client's site preparing for resumption of the trial in July 2023, with results expected shortly after completion of testing and joint review with the client.
Upon success, the parties will enter discussions for potential commercial supply, with a view to signing a fuel supply agreement in Q3 2023, in addition to concluding agreements for testing at other client sites as required.
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