Last checked at 23 Feb 2024 07:00
23 February 2024
Active Energy Group Plc
("Active Energy" or the "Company")
Update on Ashland Facility and relationship with Player Design Inc
Active Energy (AIM: AEG, OTCQB: ATGVF), the international biomass based renewable energy business, announces an update on the Board's strategy as a result of the delays in construction, by Player Design Inc ("PDI"), of the CoalSwitch® fuel reference plant at Ashland, Maine (the "Ashland Facility").
On 26 January 2024, the Company announced that it had been informed by PDI that it will not supply CoalSwitch® fuel to either Active Energy or any of its prospective customers as it was obliged to under the terms of the take or pay agreement between the two parties. PDI has continued to provide no substantive reasons to Active Energy for this.
Furthermore, the Company has recently become aware that PDI and its owner, Tyler Player, commenced legal action in January 2024 against Active Energy in Aroostook County, Maine. This legal action, which the Board of AEG believe is completely without just cause, seeks alternative forms of redress and forms an attempt by PDI to obfuscate its contractual responsibilities. The Company will vigorously defend any baseless legal claims by PDI or Tyler Player.
Active Energy continues to seek resolution with PDI on various outstanding matters, including the return of cash of $1.1m paid by Active Energy toward development of the Ashland Facility and the return of additional prepaid monies for future services amounting to $300,000. Active Energy also continues to seek the return of its production equipment and components situated at the Ashland Facility or to agreed alternative compensation from PDI. Finally, PDI has presented the Company with unfounded claims in respect of the intellectual property related to the CoalSwitch® production process, specifically for black pellet production using steam treatment technologies. Active Energy will vigorously act to defend its CoalSwitch® intellectual property and protect its shareholders' interests.
In the absence of an agreement being reached between the parties in the immediate future, the Board will have no alternative to launching legal proceedings against PDI to recover these funds and for the significant damages incurred by Active Energy as a result of PDI's actions.
The Board continues to examine the most expedient ways to commence CoalSwitch® fuel production, using its proprietary technologies in North America or Southeast Asia. Ongoing commercial conversations continue and future customers, including companies operating in the pulp and paper, cement, and power generation industries remain committed to the receipt of CoalSwitch® fuel at the earliest opportunity.
Enquiries:
Active Energy Group Plc | Michael Rowan (Chief Executive Officer) Michelle Fagan (Chief Financial Officer) | info@aegplc.com |
Allenby Capital Limited Nominated Adviser and Broker | Nick Naylor/James Reeve/Daniel Dearden-Williams (Corporate Finance) Amrit Nahal (Sales/Corporate Broking) | Office: +44 (0)20 3328 5656 |
Camarco Financial PR Adviser | Tom Huddart / Emily Hall / Lily Pettifar | aeg@camarco.co.uk Office: +44 (0)20 3757 4980 |
Scoville PR US PR Adviser | John Williams | jwilliams@scovillepr.com |
Website | ||
www.aegplc.com | www.linkedin.com/in/active-energy-group-plc/ | https://twitter.com/aegplc @aegplc |
About Active Energy Group
Headquartered in London with operations in the United States, Active Energy Group plc (AIM: AEG, OTCQB:ATGVF) is a biomass-based renewable energy company focused on the production and development of next generation biomass products that have the potential to transform coal fired power and heavy industries and the existing renewable biomass industry.
Active Energy has developed a proprietary technology which transforms waste biomass material into high-value renewable fuels. Its patented product CoalSwitch® is a leading drop-in biomass renewable fuel that can be blended and co-fired with coal at any ratio without requiring significant plant modification or wholly replacing existing biomass fuels.