21 Jun 2017 07:00
21 June 2017
Quadrise Fuels International plc
("Quadrise", "QFI" or the "Company")
Update on Interim LONO
Quadrise Fuels International plc (AIM:QFI) announces an update in relation to the Letter of No Objection ("LONO") from Wärtsilä Services Switzerland Ltd ("Wärtsilä").
Further to the Company's announcement on 7 June 2017, Quadrise is pleased to confirm receipt of the Interim LONO issued by Wärtsilä which confirms that:
· The MSAR® emulsion fuel has satisfactorily completed 1370 hours of a 4000 hours validation test on-board the vessel SEAGO ISTANBUL equipped with a Wärtsilä 12RT-flex96C-B engine, including a maximum duration of MSAR® continuous operation of 139 hours.
· Based on the results of engine inspections and cylinder condition monitoring, Wärtsilä has envisaged no detrimental effect on the RT-flex96C-B engines with the use of MSAR® fuel used during the test. With the number of hours on test being lower than the full test requirement of 4,000 hours, together with the current maximum continuous hours of operation on MSAR®, there remain points that would be assessed further in the next stage of testing as part of the normal process for issuing a full LONO.
Mike Kirk, Executive Chairman, said:
"We are pleased that Wärtsilä has confirmed its satisfaction in recent MSAR® testing and inspection, and the interim LONO states that no detrimental effects have been shown from MSAR® fuel in the Wärtsilä engine.
The outcome is just as we expected - MSAR® fuel is safe to use in these diesel engines. It was always anticipated that continued operation to achieve the full 4,000 hours LONO validation, post the interim inspection, would be confirmatory in nature. With the trial having ended early, for reasons unrelated to the use of MSAR® fuel, the Wärtsilä Interim LONO reflects the positive results and the exemplary work of the Quadrise team to date.
We will be using this positive endorsement to enhance our business development activities in the marine market.
QFI continues to believe that the marine industry will ultimately acknowledge and adopt the use of exhaust gas cleaning systems and high sulphur heavy fuel as the most economic compliance option for the International Maritime Organisation's 2020 sulphur limit environmental legislation. The adoption of Marine MSAR® will enable operators to obtain additional economic and environmental advantages over the use of heavy fuel oil."
This announcement is inside information for the purposes of Article 7 of EU Regulation 596/2014.
For further information, please refer to the Company's website at www.quadrisefuels.com or contact:
Quadrise Fuels International Plc |
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Mike Kirk, Executive Chairman | +44 (0)20 7031 7321 |
Hemant Thanawala, Finance Director |
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Nominated Adviser |
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Smith & Williamson Corporate Finance Limited |
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Dr Azhic Basirov | +44 (0)20 7131 4000 |
Ben Jeynes Katy Birkin |
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Broker |
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Peel Hunt LLP |
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Richard Crichton | +44 (0)20 7418 8900 |
Ross Allister Chris Burrows
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Public & Investor Relations |
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FTI Consulting |
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Ben Brewerton | +44 (0)20 3727 1000 |
Sara Powell |
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Notes to Editors
QFI is the emerging supplier of MSAR® emulsion technology and fuel, enabling a low-cost alternative to heavy fuel oil (one of the world's largest fuels markets, comprising over 450 million tonnes per annum) in the global shipping, refining and power generation market.
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