23 Sep 2013 07:00
23rd September 2013
OXFORD CATALYSTS GROUP PLC
("Oxford Catalysts" or "the Group" or "the Company")
2,800 bpd US Gas-to-Liquids Plant
Oxford Catalysts Group PLC (OCG.L), the technology innovator for smaller scale Gas-to-Liquids (GTL), is pleased to announce selection of the Company's technology and progress towards a 2,800 barrels per day (bpd) GTL plant in the US.
The GTL facility is being pursued by project developer Pinto Energy, LLC ("Pinto") at an 80-acre industrial site that it owns in the Port of Ashtabula, Ohio. Pinto will convert abundant low-cost natural gas from the Utica and Marcellus shale region into high value specialty products (solvents, lubricants and waxes), as well as ultra clean transportation fuels.
The plant's location will also benefit from access to substantial existing infrastructure, including a waste water treatment plant, an air separation unit, a gas pipeline, product loading facilities for both barge and rail, and local customers for some of the plant's bi-products.
Following selection of the Group's FT technology and agreement on commercial license terms, Pinto began designing the Ashtabula plant with Ventech Engineers International LLC in April 2013, and recently filed the project's air and water permit applications.
The design is expected to be completed by the end of 2013, and Pinto is working towards issuing the final notice to proceed in the first half of 2014. Mechanical completion of the plant is expected in late 2015, with start-up in early 2016. Pinto has secured funds to complete the engineering, permitting and all other upfront work; construction financing is scheduled to close in the first quarter of 2014.
This 2,800 bpd project is planned to be the first phase of a multi-train facility at Ashtabula. In addition, Pinto has a portfolio of other sites where it intends to develop smaller scale GTL projects with the Group's technology.
Roy Lipski, CEO of Oxford Catalysts Group, said:
"We are delighted to see such significant progress towards a smaller scale GTL plant in North America using our technology. This highlights the unique opportunity presented by the region's abundant shale gas reserves, as well as the drive for energy security and cleaner fuels. We're pleased to be working with Pinto on this project local to us in Ohio."
Guy Dove, Chairman of Pinto Energy said:
"Our team's experience in the energy sector and project development gives us great confidence in selecting Velocys' technology as the best choice for smaller scale GTL. We look forward to developing the project at Ashtabula as the first of many."
- Ends -
For further information, please contact:
Oxford Catalysts Roy Lipski, CEO Susan Robertson, CFO
|
+1 614 733 3300 +44 1235 841 700 |
Numis Securities (Nomad and Broker) Alex Ham - Corporate Broking Stuart Skinner / Jamie Lillywhite - Nominated Advisor
| +44 20 7260 1000
|
Lionsgate Communications Jonathan Charles/ Jessica Johnson | +44 20 3697 1209 |
Notes to Editors
About Oxford Catalysts Group
Oxford Catalysts enables Gas-to-Liquids (GTL) plants to convert unconventional, remote and problem gas into valuable liquid fuels. Systems based on the Group's technology (marketed under the brand name Velocys) are significantly smaller than those using conventional technology, enabling modular plants that can be deployed cost effectively in remote locations and on smaller fields than is possible with competing systems. Together with world-class partners, Oxford Catalysts provides complete smaller scale modular GTL solutions that address an untapped market of up to 25 million barrels of fuel a day.
Oxford Catalysts Group PLC is listed on the AIM market of the London Stock Exchange (LSE: OCG). The Group has some 90 employees with facilities near Oxford, UK and Columbus, Ohio, USA.
Oxford Catalysts Group PLC is changing its name to Velocys plc on 25th September 2013.
www.oxfordcatalysts.com
www.velocys.com
About Pinto
Pinto Energy, LLC is a Houston-based developer of GTL facilities in the United States. The principles of Pinto Energy have been developers of clean energy projects in the US since 1986.
www.PintoGTL.com
About Ventech
Ventech Engineers International LLC is a global leader in the design and construction of new modular refineries, gas processing systems, plant relocations, specialised fabrications and market appraisals for the chemical, refining and gas production industries. Ventech's headquarters and fabrication complex are located in Pasadena, Texas. Subsidiary offices are situated in Moscow, Russia; Alabang, Philippines; and Ankara, Turkey.
www.ventech-eng.com