5 Jun 2017 07:00
News release
Velocys plc
("Velocys" or "the Company")
5 June 2017
Selection of IHI E&C for feasibility engineering
Velocys plc (VLS.L), the company at the forefront of smaller scale gas-to-liquids (GTL), is pleased to announce that it has selected IHI E&C International Corp ("IHI E&C") to carry out the pre-FEED (FEL-2) engineering for its first biomass-to-liquids (BTL) plant. IHI E&C is working with Velocys and its technology partners to support the rapid deployment of the BTL plant offer to the renewable fuels sector. This aligns with both Velocys' and IHI E&C's strategic intent to enter the US renewable transportation fuels market. The engineering study will be completed in the second half of 2017.
IHI E&C is part of IHI Corporation's global network of companies and joint ventures. IHI E&C specialises in engineering, procurement and construction (EPC) services with the expertise, experience and capability to take a project from conception through completion, including commissioning, start-up and ongoing support. IHI has experience with solid feedstocks through its work on numerous BTL, gasification, alternative energy and waste-to-power facilities around the world throughout the last several decades. IHI E&C also has extensive experience in engineering and construction of projects employing gasification processes and Fischer-Tropsch technology.
The selection of IHI E&C for the FEL-2 engineering stage for the BTL route to market is an important step forward in identifying the right collection of strategic partners that are best positioned to deliver the Velocys offer to customers - fully integrated and financed, cost effective and operations-ready plants.
David Pummell, CEO of Velocys, said:
"We believe IHI has the right experience and capabilities to advance the pre-FEED engineering of our integrated BTL offering. IHI is a world class EPC and they have an excellent track record across the entire BTL value chain that will drive further reductions in costs for our customers and accelerate the timeline to renewable fuels produced on a scalable and repeatable basis."
Chris Celano, President of IHI E&C, said:
"IHI E&C is pleased to have been awarded the pre-FEED for Velocys' first biomass-to-liquids plant and welcomes the opportunity to work with Velocys and its strategic partners on this project. The award supports IHI E&C's strategy within the renewables market and aligns with IHI Corporation's mission to provide engineering solutions for social problems."
- Ends -
For further information, please contact:
Velocys David Pummell, CEO Susan Robertson, CFO
| +44 1235 841 700
|
Numis Securities (Nomad and Broker) Alex Ham Stuart Skinner Jamie Lillywhite Tom Ballard
| +44 20 7260 1000 |
Canaccord Genuity (Joint Broker) Henry Fitzgerald-O'Connor Ben Griffiths
| +44 20 7523 8000
|
Camarco (financial communications & PR) Billy Clegg Georgia Edmonds | +44 20 3757 4983
|
Certain information contained in this announcement would have constituted inside information (as defined by Article 7 of Regulation (EU) No 596/2014) prior to its release as part of this announcement.
Notes to editors
About Velocys
Velocys is the company at the forefront of smaller scale gas-to-liquids (GTL), providing the bridge connecting stranded and low value feedstocks such as natural gas, landfill gas or biomass with markets for premium products such as renewable diesel, jet fuel and waxes.
With its partners, Velocys aims to deliver the most economically compelling conversion solution; a fully integrated offer that can be deployed at scale into the growing, attractive markets on which it focuses. Velocys technology, protected by several hundred patents in over 30 countries, is specifically designed for smaller scales, combining super-active catalysts with intensified reactor systems. Standardised modular plants can be deployed readily in a wide range of locations, and Velocys' capabilities and extensive experience deliver a proven route to operation.
Velocys plc is admitted to trading on the AIM market of the London Stock Exchange (LSE: VLS). The Company has a strong, multi-disciplinary staff operating from its commercial centre in Houston, Texas, USA and technical facilities near Oxford, UK and Columbus, Ohio, USA. First product has been produced at its commercial reference plant, which is located adjacent to Waste Management's East Oak landfill site in Oklahoma City.
www.velocys.com
About IHI E&C
As an engineering procurement and construction company, IHI E&C is an integral part of IHI Corporation's global network of companies and joint ventures. IHI E&C specialises in engineering, procurement and construction (EPC) services.
With approximately 27,000 employees in more than ten major manufacturing centres in Japan and 142 subsidiaries world-wide, IHI Corporation helps its customers solve their most challenging environmental, industrial and social energy-related problems through its depth and breadth of engineering expertise.
Founded more than 160 years ago and with its headquarters in Tokyo, IHI Corporation manufactures many types of products, including jet engines and turbines, heavy industrial equipment, ships, offshore facilities, gas processing plants and more.
Its acquisitions, subsidiaries and overseas joint ventures add more experience and expertise to its portfolio. IHI E&C is a flexible company that can take a project from conception to completion to supporting ongoing operations with the highest of safety standards in place.
www.ihi.co.jp/en
http://ihi-ec.com/