Highlights:
Environmental Clean Technologies Limited (ASX: ECT) (“ECT” or “Company”) is pleased to announce the signing of a Memorandum of Understanding (MoU) with Green Distillation Technologies Limited (GDT) for the development of a collaborative project which could lead to the deployment of GDT’s proprietary technology at ECT’s site in Bacchus Marsh, northwest of Melbourne.
ECT recently announced the recommencement of Phase 2 of its COLDry upgrade project at Bacchus Marsh (“Bacchus Marsh Project”), aimed at delivering an integrated small scale commercial demonstration of its Net Zero Emission Hydrogen Refinery planned for the Latrobe Valley (“Latrobe Valley Project”). In the same announcement, the Company outlined its intent to develop a fully integrated ‘waste-to-clean energy hub’ at its Bacchus Marsh site, complimenting the Net Zero Emission Hydrogen Refinery demonstration.
In delivering on this strategy, ECT has identified partnerships that it believes will support the long-term sustainability and development of the Bacchus Marsh facility. ECT Managing Director Glenn Fozard commented:
“We continue to focus on those commercial partnerships that can assist our company deliver on both the Bacchus Marsh and Latrobe Valley projects. We are targeting those opportunities that can improve our delivery timeframe, broaden the depth of our technical integration and expertise both upstream and downstream, and provide access to critical energy, waste and carbon markets. The current GDT opportunity fits well in this profile with both expanded market opportunity and direct integration with our COLDry technology process.”
GDT, led by John Fletcher and Trevor Bayley, has developed a process called ‘destructive distillation’ that effectively deals with one of the most significant and challenging waste issues; end-of-life tyre (EOLT) processing and resource recovery.
GDT Chairman John Fletcher commented:
“There is a rapidly growing waste stream of end-of-life tyres in Australia, with over 26 million units generated each year.
“With export of whole baled tyres now banned by the Federal Government, and hefty ‘gate fees’ for landfill, domestic processing capacity must be increased.
“GDT’s technology is a timely solution to one of Australia’s significant waste issues. Operating under a carbon-negative footprint and delivering commodities that supplement, substitute or replace fossil-derived products.”
The non-binding MoU brings ECT and GDT together to investigate the potential development of GDT’s first Victorian plant at ECT’s Bacchus Marsh site. The Company notes that the MoU is non-binding and it is possible that a partnership may not eventuate.
Most importantly, the parties will explore the opportunities for integration between the technology platforms of each company in support of a net-zero emission waste to energy hub, which may lead to a direct investment into GDT by ECT.
Of particular interest is the opportunity to harvest waste heat via integration of COLDry’s drying system with the discharge chamber of GDT’s process (see diagram below).
ECT will provide access to its technology, process, engineering, and R&D resources. GDT will contribute its technology, project and development knowledge and suite of partners.
Trevor Bayley, Director at GDT, commented:
“Destructive Distillation, as GDT’s technology is known, is unique in several aspects, from the feedstock of whole tyres to the high-quality, stable oil and the clean steel wire.
“Moreover, the obvious synergies with ECT make this an exciting proposition for both of us. All the products from our process need to be cooled to ambient temperature for collection and sale. The energy released is ideal for collection and consumption within the COLDry process to support drying operations.”
The material terms and activities under the MoU will include:
Reclaim. Reuse. Recycle.
The GDT process contributes to the circular economy, breaking the tyres down into solid carbon (47%), recovered oil (33%) and steel (20%).
The carbon product is the residue of ‘carbon black’ used in the tyre manufacturing process – an additive that strengthens the rubber and makes it more durable. The recovered carbon (rCB) can be used in a wide range of applications, from rubber additive to asphalt modifier and many in between. Further R&D will also be undertaken to determine approaches to higher-value markets.
The oil produced would be suitable as one of the fuels for the multi-fuel turbine to be installed under Phase 2 of the Bacchus Marsh Project. Producing the oil on-site has logistics benefits expected to result in lower-cost fuel for electricity generation. Further, the oil could be stored and used at select times at higher rates to take advantage of peak electricity pricing during ‘shoulder periods’ in the morning and evening.
The steel comes from the wire used to build and reinforce the tyres and can be directed to the scrap markets for recovery via electric arc, induction or blast furnace recycling.
ECT Chairman Jason Marinko commented:
“Establishing partnerships like this one further underpins the ongoing commercial life of the Bacchus Marsh Project beyond the demonstration of ECT’s technology. It also showcases ECT’s role in supporting conventional industries' zero net emissions transition in recycling, energy and minerals recovery and how COLDry plays a part in this.”
Notwithstanding the planning and preparations outlined in this MOU with GDT, the Company maintains the completion of Phase 1 (COLDry) and the planning, design and construction of Phase 2 (Syngas and char production and refinement into hydrogen derivatives) as the core priorities of the business.
This announcement was approved for release by the Board of the Company.
For further information, please contact:
Key points:
Environmental Clean Technologies Limited (ASX: ECT) (“ECT” or “Company”) advises that it has received formal notification that it has not received a grant offer under the Federal Government’s Clean Hydrogen Industrial Hub grant program.
The Company previously mentioned it had applied under the program, which seeks to support Australian industry to establish hub projects in regional Australia, including a focus on reducing the cost of clean hydrogen production.
ECT Managing Director Glenn Fozard commented:
“In applying for the grant, we presented our compelling business case for a net-zero emission hydrogen refinery, which has a low projected cost per kg of hydrogen at a relatively modest scale, without the need for carbon capture and storage.
“We highlighted within our submission that while we view the project as commercially viable without a grant, and while any grant would have been welcome, it does not change our objective of delivering competitively priced hydrogen to support early market activation well before 2030, and critical mineral (battery anodic materials) and soil health (agricultural char) products.”
The Company’s planned Net-Zero Emission Hydrogen refinery takes an innovative approach to hydrogen production via a proprietary production process that utilises lignite and biomass. Building on this unique production approach is a similarly innovative downstream process that produces formic acid, a liquid organic hydrogen carrier and product in its own right. Core to delivering this hub of technologies is ECT’s partnership with technology firm GrapheneX, which is developing a range of processes around the production and utilisation of formic acid in the hydrogen supply chain.
GrapheneX Managing Director Stephen Wee commented:
“We are in no way discouraged by this news, and our commitment to working with ECT to deliver our projects will not waiver.”
The Company will provide further updates on the development of its Net Zero Emission Hydrogen Refinery project in due course.
This announcement was approved for release by the Board of the Company.
For further information, please contact:
29 April 2022: Environmental Clean Technologies Limited (ASX: ECT) (ECT or Company) is pleased to provide the following update and Appendix 4C for the quarter ending 31 March 2022.
The Company announced a significant step forward with the commissioning program for Phase 1 of the Bacchus Marsh COLDry Demonstration Project.
The engineering team has identified significant potential process efficiency gains which centres on a new, five-pass conditioning system. If confirmed, the efficiency gain would produce substantial CAPEX and OPEX savings across Phase 1 and Phase 2 of the Bacchus Marsh Project and flow-on benefits for the planned Latrobe Valley project.
Project partner discussions progressed over the quarter, culminating in the GrapheneX JV announced subsequent to the end of the quarter. The company continues discussions with other partners and will update the market as and when they become certain.
Group Chief Engineer Ashley Moore commented:
“The engineering, research and project management teams have developed a deep understanding of low-temperature drying and substrate plasticisation and densification, with the Bacchus Marsh Project representing the culmination of that knowledge and experience in action. Phase 1 of the Bacchus Marsh Project has seen significant advancements to the milling, mixing, extruding and, most notably, the conditioning of the pellets, which targets performance improvements of 3-10x better than the previous pilot-scale design.”
Chairman, Jason Marinko, commented:
“I am pleased to see the Bacchus Marsh project progress to a key milestone this quarter, as planned. This is despite confronting significant industry-wide labour shortages, supply chain delays and COVID related impacts on the workforce. The Board of ECT is proud of the team’s commitment to this achievement and how the demonstrable progress is leading to greater engagement and opportunities with commercial partners.”
On 22 February 2022, the Company announced the property purchase settlement adjacent to the Yallourn power station and mine complex.
The site has been acquired to host the deployment of the Company’s proposed headline Latrobe Valley Net Zero Emission hydrogen refinery project, which aims to deliver:
The Company signed a binding purchase agreement with the vendor in late November 2021, with cash and share payments completing the settlement of the land acquisition. Covering an area of 4.2Ha, the acquisition enables the Company to progress its full feasibility study for the Latrobe Valley Project. In addition, the property is strategically located adjacent to the T15/16 upgrade program that is being co-developed by ECT and the owner of the Yallourn mine and power station, Energy Australia.
The Company engaged engineering firm GHD to commence the approvals planning process, covering EPA works approvals and licensing and local government planning application requirements. Additionally, GHD has undertaken process modelling activities in preparation for engineering development works. This work package has been completed, and actions as a result are underway.
The Company previously submitted an application under the Federal Governments Clean Hydrogen Industrial Hubs program in support of its Headline Project, with the outcome initially expected to be announced during March 2022. The results will now be announced sometime after the 21 May Federal Election.
The Company continues to investigate opportunities to access government support and industry partnerships.
During April, ECT announced the signing of a binding Joint Venture Agreement (JVA) with GrapheneX. This agreement supports the rollout of Phase 2 of ECT’s Bacchus Marsh Project to deliver a world-first demonstration of the Company’s proposed commercial-scale net-zero hydrogen and electricity production. To support the rollout of Phase 2, ECT also announced the completion of a $5m capital raising to fund its commitment to the JVA and provide additional working capital.
During the December 2021 quarter, the Company established a $1.968M low-interest R&D loan with Invest Victoria, with $1.18M drawn in December. The remaining balance on this facility of $788K was drawdown during the March 2022 quarter.
Following the Company’s decision to divest the Wood247 pilot retail business and focus on its Bacchus Marsh and Latrobe Valley Projects, the sale of Wood247 occurred in April 2022.
Further to the acceptance of the Company’s first HydroMOR patent application in the jurisdiction of Russia, notification has been received confirming the acceptance of the patent in the European Union. Subsequent to the period, the Company received confirmation that the HydroMOR patent had been issued in Russia.
The HydroMOR process offers an alternative to conventional CO2-intensive blast furnace steelmaking, enabling the use of lower-cost, abundant lignite in place of higher-cost coking coal, delivering a lower emission, lower cost, metal production process. The Company remains committed to the potential industrial applications for this technology.
Key aspects of IP protection include:
The table below outlines the status of the various international patent applications for HydroMOR.
| Case Ref. | Country | Case Status |
|---|---|---|
| 35519103 | India | Response to Exam Report Filed |
| 35526602 | Australia | Exam requested |
| 35526603 | Canada | Application filed |
| 35526604 | China | Response to Exam Report Filed |
| 35526605 | European Patent Office | Accepted |
| 35526606 | Russian Federation | Issued |
| 35526607 | United States of America | Examination report received |
| 35527133 | Indonesia | Response to Exam Report Filed |
| 35540529 | Hong Kong | Application filed |
ECT continues to be assessed by, and report to, the ESG framework under the World Economic Forum (“WEF”) Environment, Social and Governance (ESG Metrics).
The Company has decided to take a best-of-peer approach to ESG and, over the reporting period, has initiated or progressed key developments in support of our continued commitment to the WEF Pillars of Governance, Planet, People and Prosperity, and associated 21 core ESG metrics. The ESG Dashboard below (provided by ESG technology partner, Socialsuite) provides a snapshot of the Company’s progress from the end of the previous quarter to 31 March 2022.
Full details of the quarter’s ESG progress and achievements are detailed in the Company’s report, ESG Highlights Q3FY22, which can also be found on the Company’s ESG web page: www.ectltd.com.au/esg.
Approximately $1.7M was spent on property, plant and equipment during the quarter. Of this, $640K was the cash portion for the property settlement at Yallourn (see announcement 23 February 2022), including $95K for GST, which will be refunded in April 2022. The remaining expenditure of $1.06M (prior quarter $594K) is related to the COLDry Project. This increase is due mainly to capital expenditure on electrical works that have been undertaken now that the primary process equipment has been installed.
Product manufacturing and operating costs were reduced by $165K compared to the prior quarter. These costs are associated with the Wood247 business, which was being readied for sale (see announcement 17 January 2022). Receipts from customers are also reduced during the sale process. Sale proceeds of $66K have been received in April 2022, which are not included in the Appendix 4C.
The prior quarter included cash receipts from government grants and tax incentives of approximately $2M. This was the receipt from the ATO following the lodgement of the Company’s 2021/22 income tax return, which included the R & D tax incentive. As such, there was no corresponding receipt in the current quarter. $1.3M of these funds was used to repay the 2021/22 R & D loan facility.
The Company has a loan facility with Invest Victoria of $1.968M, of which $1.18M was drawn down during the quarter ended 31 December 2021. In the quarter ended 31 March 2022, a further $788K was drawn down, which took the facility to its limit.
During the quarter, the Company received payments totalling $650K which were the repayment of 3 Equity Lending Facilities (refer to ASX announcement 8 February 2022).
Payments of $68K to related parties of the entity include payments of directors’ fees and payments to the Company’s full-time executive director.
// END //
This announcement is authorised for release to the ASX by the Board.
For further information, please contact:
Highlights:
Environmental Clean Technologies Limited (ASX: ECT) (“ECT” or “Company”) is pleased to announce the signing of a binding Joint Venture Agreement (JVA) with GrapheneX. This agreement supports the rollout of Phase 2 of ECT’s Bacchus Marsh COLDry project (the Project) to deliver a world-first demonstration of the Company’s proposed commercial-scale net-zero hydrogen and electricity production. To support the rollout of Phase 2, ECT is also pleased to announce that it has received firm commitments from sophisticated investors to raise $5m under a placement which was joint led by Kaai Capital and Peak Asset Management.
The JVA upgrades will enable the first-of-a-kind demonstration of low emission electricity production from syngas and the generation of hydrogen derivative products from lignite and waste biomass blends, making it the largest demonstration of its kind in Australia.
“Based on ECT’s internal engineering modelling, the upgraded Bacchus Marsh plant would have the capacity to produce up to 1000 tpa of Hydrogen that can be used for derivatives like formic acid and dimethyl ether (DME).”
Ashley Moore, Chief Group Engineer, ECT
GrapheneX will commit to supplying a multi-feedstock 39MW turbine to be installed at ECT’s Bacchus Marsh site. GrapheneX will also supply funding of $3.5m for installation of the turbine and the formic acid process equipment. The formic acid plant will demonstrate the production of formic acid (HCOOH) from the syngas product stream. Formic acid is a liquid organic hydrogen carrier that provides a safer, lower-cost hydrogen transport alternative[1] to ammonia or cryogenic hydrogen. In addition, it is also a product in its own right, used as a livestock feed preservative, amongst other applications.
ECT will commit $3.5m to the JVA, from which the company will fund the installation of the pyrolysis kiln and ancillary plant to produce char and syngas from COLDry pellets made from a blend of biomass and lignite.
ECT Managing Director, Glenn Fozard commented:
“Once installed, the process will be the largest hydrogen production capability from lignite. Add to that the largest demonstration of low emission electricity from lignite syngas, and we have a site of national significance. ECT shareholders and GrapheneX should be proud of this proposed development and the facility’s national profile will support increased interest from both industry and Government.”
The Project, similar to the HESC[2] project, aims to be a fully integrated supply chain solution for hydrogen. However, the key difference for ECT’s project is that, instead of focusing on high purity hydrogen, it will focus on hydrogen derivatives, which solve the immediate storage and transportation challenges. In addition, the Project does not require the CCS infrastructure that is being planned to curtail emissions for Blue Hydrogen projects. By eliminating two of the biggest challenges facing the immediate deployment of hydrogen production plants, the Project allows ECT and GrapheneX to focus on technical scale-up, commercial optimisations and further emissions and waste improvements.
Phase 2 of the Project was placed on hold in October 2021 as part of the Company’s strategic review to allow a re-focus on formalising relationships with potential project partners, with the view to accelerate commercialisation and diversify project risk and funding.
The rollout of Phase 2 will establish R&D capability to support the development of:
The Company’s recently released corporate presentation highlighted the revised Phase 2 development plan, outlining the objective of demonstrating a net zero-emission hydrogen and agricultural char process, including:
Phase 1 of the Project, focusing on the scale-up of the Company’s world-first zero-emission COLDry lignite drying process, commenced commissioning in March.
The commitment to Phase 2 of the Bacchus Marsh COLDry project also marks the next major step for the Company’s previously announced headline NZEH2 Refinery Hub project planned for deployment adjacent to the Yallourn mine and power station complex in Victoria’s Latrobe Valley.
Managing Director, Glenn Fozard commented:
“We are excited to continue developing our demonstration project at Bacchus Marsh in joint venture with GrapheneX. The addition of a turbine on-site, along with funding to build the pyrolysis kiln and formic acid process, will elevate the profile of our Hydrogen Hub at Bacchus Marsh and provide a working demonstration of technology that is proven, ready for deployment and most importantly, demonstrably net zero emission.”
Chairman of GrapheneX, Stephen Wee, commented:
“By providing the use of the turbine at the Bacchus Marsh site, GrapheneX is pleased to support the establishment of Australia’s largest demonstration of low-emission syngas as a feedstock for electricity. We see this as clear evidence that the partnership of ECT and GrapheneX is leading the charge towards implementing Victoria’s net-zero hydrogen refinery project in the Latrobe Valley.”
With a rapidly emerging hydrogen space and a range of production methods competing for market share, colour codes have been loosely adopted to identify the production source and, by extension, the emissions profile.
The process being developed by ECT and GrapheneX is in a colour category of its own due primarily to its net-zero emission profile without the need for CCS (see table below).
The critical point of difference is the effective transformation of lignite, combined with waste biomass, into a valuable multiproduct stream:
This outcome is achieved with net-zero emissions and zero waste discharge, delivering a transformative solution that allows for billions of dollars of improved economic value to be derived from Victoria’s lignite resource, aligned to emerging clean and circular industries and environmental sustainability.
ECT has commenced planning for the long-term use of its Bacchus Marsh site to become a fully integrated waste-to-clean energy hub.
The aim is to collaborate with both current and new partners to showcase a commercial application of many different low emission processes for turning waste into valuable energy products with a low to net-zero emission profile.
This will see further collaboration with industry partners over the coming weeks and months to identify leading-edge technology, recycling and refinery solutions for:
All technologies will be selected for their impact targeting:
ECT is currently in discussions with multiple parties, some advanced and some emerging, for technology acquisitions, collaborative integration of plant and equipment and strategic joint ventures in support of this initiative.
ECT is responsible for the completion of the COLDry plant:
GrapheneX will be responsible for:
ECT is responsible for:
GrapheneX will be responsible for:
ECT is responsible for:
ECT will have no claim over any IP generated from the FA process or turbine demonstration and GrapheneX will have no claim over any IP generated from the COLDry-pyrolysis kiln demonstration or the char and syngas generation.
GrapheneX is an Australian pioneer in developing innovative manufacturing processes and material technologies capable of powering the fourth industrial revolution. The company is focused on developing technically feasible and commercially viable manufacturing processes for smart materials and digital platforms to enable Industry 4.0. GrapheneX Pty Ltd is also a founding industry partner of the Clayton Hydrogen cluster and plays a key role to test, trial and demonstrate new and emerging hydrogen technologies.
The Company is pleased to advise that it has received firm commitments to raise gross proceeds of $5m via a share placement to institutional and sophisticated investors. The share placement was strongly supported and will see several new institutional shareholders join the Company’s register.
The share placement will comprise the issue of 166,666,667 new fully paid ordinary shares (“Placement Shares”) at an issue price of $0.03 per share (“Placement”). Completion of the Placement is expected to occur on or around 3 May 2022. In addition to the Placement, for every 3 shares issued under the Placement, the Company will issue 2 free attaching listed options with the same terms as the Company’s existing listed option on issue (each exercisable at $0.03 expiring 23 February 2023 with ASX code ECTOE (‘’Placement Options’’). The first attaching Placement Option will be issued pursuant to the Company’s 15% capacity under Listing Rule 7.1 and at the same time as the Placement Shares. The second Placement Option is subject to shareholder approval to be sought at a general meeting of the Company proposed to be held in June 2022 (Meeting).
166,666,667 of the Placement Shares shall be issued pursuant to the Company’s 15% capacity under Listing Rule 7.1.
The issue price represents a 9% discount to the last traded share price of 0.033 cents, 9% discount to the 5-day volume-weighted average share price, and 10% discount to the 30-day volume-weighted average share price.
Kaai Capital Pty Limited (‘’Kaai’’) and Peak Asset Management (‘’Peak’’) have been separately appointed to act as Joint Lead Manager for the Placement (JLM's). In consideration for lead managing the Placement, the Company will pay the JLMs a fee of 6% of the amount raised and issue to them (or their nominees) a total of 10.2M ECTOE options. Funds raised under the Share Placement will be applied as follows:
This announcement is authorised for release to the ASX by the Board of ECT.
For further information, please contact:
[1] Formic acid is liquid at ambient temperature and pressure, unlike other proposed methods which require low / extremely low temperature and high pressure, and specialised transport vessels.
[2] HESC refers to the Hydrogen Energy Supply Chain pilot project which aims to safely demonstrate the production and transport of clean liquid hydrogen from Victoria’s Latrobe Valley to Japan.
Environmental Clean Technologies Limited (ASX: ECT) (“ECT” or “Company”) is pleased to announce a significant step forward in the commissioning program for the Phase 1 commercial demonstration of COLDry at its Bacchus Marsh site.
Over the recent weeks, the Company has made substantial progress in the dry commissioning program for the scaled-up COLDry demonstration plant, specifically the primary processing train and conditioning system.
To date, no material concerns have presented, positioning the project team to commence ‘wet commissioning’.
The R&D team has been working in parallel to evaluate samples taken from commissioning and support further downstream optimisation as the plant comes online.
With the introduction of lignite during wet commissioning, the project team is able to fully test all components, as an integrated plant, ultimately moving to steady-state operations.
During dry commissioning, a potential process efficiency gain was identified in the conditioning system. This opportunity centres on the potential of the new, five-pass conditioning system and direct supply to the planned downstream “phase 2” pyrolysis kiln. This would produce significant CAPEX and OPEX savings across Phase 1 and Phase 2 of the current demonstration project and for the planned Latrobe Valley project.
The engineering team has modelled the conditioning system’s likely performance and the current estimations indicate a significant efficiency improvement and potential for greater moisture reduction prior to transfer to the Packed Bed Dryer (PBD).
The materiality of this improvement warrants increased commissioning focus and development activity and may represent a significant capital and operational cost-saving opportunity for downstream applications, including:
Group Engineer, Ashley Moore commented:
“The engineering, research and project management teams have developed a deep understanding of low-temperature drying, substrate plasticisation and densification, and the COLDry demonstration project represents the culmination of that knowledge and experience in action. Phase 1 of the Project has seen significant advancements to the milling, mixing, extruding and, most notably, the conditioning of the pellets, which targets performance improvements of 3-10x better than the previous pilot-scale design.”
Managing Director, Glenn Fozard commented:
“The target here is to define the efficiency gains so that we can further refine the capital estimates for our Latrobe Valley project. When you consider that the PBD represents ~30% of the footprint of the COLDry plant and up to 40% of the capital expenditure, it’s critical to consider how we can reduce the need for this step in the process. The commercial benefits would be substantial if we can direct-feed COLDry processed pellets from the conditioning system into a pyrolysis unit. Confirming and quantifying this opportunity will be the focus of our efforts over the coming weeks.”
As the Company moves closer to full commercialisation and design improvements are identified during demonstration and scale-up, ECT will continue to evaluate opportunities for improved protections of its technology suite. By example, and through the current commissioning program, ECT has identified potential for the new conditioning system to hold novelty of design, enough to warrant consideration for starting the patent process.
Additionally, given publishing “prior art” may void claims of novelty ahead of filing a patent application, the Company has chosen not to include photos of the COLDry plant.
The Company is keenly aware that as we progress through each stage of our commercialisation program, at Bacchus Marsh and towards the Latrobe Valley project in Yallourn, ECT is attracting increased attention from potential commercial partners.
As a result of the development of Phase 1, including the potential efficiency improvements of the drying system, leading to a shorter timeframe to Phase 2 and potential CAPEX savings for the Latrobe Valley project, the Company has continued to prepare for and engage with key prospective industry groups and refine the approach to funding and development of Stage 2 at Bacchus Marsh.
Given the limitations of publicising our novel technologies before patent protection, the Company has been organising selective tours through the site for stakeholders such as government, institutional investors and partners, to verify the progress. The Company will continue to organise these tours for qualified parties and progress formal partnerships in accordance with the strategy outlined in the Corporate Presentation released to the ASX on 9th March 2022.
Chairman, Jason Marinko, commented:
“I am pleased to see the project progress to a key milestone this quarter, as planned. This is despite confronting significant industry-wide labour shortages, supply chain delays and COVID related impacts to workforce. The board of ECT is proud of the team’s commitment to this achievement and how the demonstrable progress is leading to greater engagement and opportunities with commercial partners.”
The Company is also pleased to advise that it has finalised an incentive option plan for Non-Executive Director, Mr James Blackburn. Mr Blackburn was first appointed a director of ECT in September 2019 and has previously held the roles of Chief Operating Officer and Executive Director. Mr Blackburn plays a key operational oversight role for the Board and has worked actively with the executive team to plan the next phase of operations at ECT’s Bacchus Marsh facility and the development of the H2Hub project in Yallourn.
As part of their remuneration package and subject to shareholder approval, the Company intends to offer Mr Blackburn 40 million options, with an exercise price of $0.050. These options will be subject to the following vesting conditions, which are designed to align the interests of the Directors with shareholders:
The options will be granted under an employee option plan adopted by the Board. The Company will seek shareholder approval for the issue of options to Mr Blackburn at the next shareholders meeting. Where shareholder approval is sought but not obtained, Mr Backburn will be compensated with cash equal to $50,000.
This announcement has been approved for release to the ASX by the Company’s Board of Directors.
//END//
For further information, please contact:
Environmental Clean Technologies Limited (ASX: ECT) (“ECT” or “Company”) is pleased to provide the following update on the status of its R&D Loan facility provided by InvestVictoria, a business of the Victorian State Government.
In line with previous announcements, the Company is pleased to announce it has received its second draw of $788,000 from the $1,968,000 R&D loan facility with InvestVictoria, for FY22.
This loan facility allows the forward factoring of accrued R&D Tax Incentive refunds, providing flexibility to the capital management plan by delivering cashflow when required, rather than waiting until after the tax return is lodged each year.
About the InvestVictoria R&D Cash Flow Loan
The R&D Cash Flow Loans program provides low-interest loans of up to $4 million, for a period of between 12-28 months, to innovative Victorian SMEs that meet certain eligibility criteria including:
Managing Director Glenn Fozard noted:
“The InvestVictoria loan provided by the Victorian State Government continues to provide valuable non-dilutive cash flows for the business. Additionally, the savings of over $100,000 in interest expense is being re-directed into further R&D."
This announcement is authorised for release to the ASX by the Board.
//END//
For further information, please contact:
Environmental Clean Technologies Limited (ASX:ECT) is pleased to provide the following half-year report to shareholders.
Environmental Clean Technologies Limited (ASX: ECT) (“ECT” or “Company”) is pleased to announce the settlement of the recently announced property purchase adjacent to the Yallourn power station and mine complex and the acceptance of its HydroMOR patent application in the European Union.
The site has been acquired to host the deployment of the Company’s proposed headline hydrogen refinery project in Victoria’s Latrobe Valley (the Project), which aims to deliver:
The Company signed a binding purchase agreement with the vendor in late November 2021. With the final cash and share payments made today, completing the settlement of the land acquisition. The Company notes that the 25,000,000 shares transferred are subject to voluntary escrow for six months (to 22 August 2022). Refer to the ASX announcement entitled ‘Site Purchased for Proposed Hydrogen Refinery Project’ dated 23 November 2021 for transaction details.
Covering an area of 4.2Ha, the property (shown below) will allow the Company to progress its full feasibility study with the confidence that work may start on this site at ECT’s discretion, as and when feasibility results drive activities. The property is strategically located adjacent to the T15/16 upgrade project that is being co-developed by ECT and the owner of the Yallourn mine and power station, EnergyAustralia.
The site's suitability is reinforced by the fact that a previous lignite de-watering and briquetting project underwent significant site feasibility and planning approvals in 2013. Although that project did not proceed, the vendor has shared planning documents with ECT. The site also includes the formerly named “Powerhouse Hotel” building, leveraging existing infrastructure to provide office space, training and laboratory facilities for the Project.
Further to the acceptance of the Company’s first HydroMOR patent in the jurisdiction of Russia, notification has been received confirming the acceptance of the patent in the European Union.
The HydroMOR process offers an alternative to conventional CO2-intensive blast furnace steelmaking, enabling the use of lower-cost, abundant lignite in place of higher-cost coking coal, delivering a lower emission, lower cost, metal production process. The Company remains excited about the potential industrial applications for this technology.
The table below outlines the status of the various international patent applications for HydroMOR.
International Patent Application Status - HydroMOR
| Case Ref. | Country | Case Status |
|---|---|---|
| 35519103 | India | Response to Exam Report Filed |
| 35526602 | Australia | Exam requested |
| 35526603 | Canada | Application filed |
| 35526604 | China | Response to Exam Report Filed |
| 35526605 | European Patent Office | Accepted |
| 35526606 | Russian Federation | Accepted |
| 35526607 | United States of America | Examination report received |
| 35527133 | Indonesia | Response to Exam Report Filed |
| 35540529 | Hong Kong | Application filed |
This announcement is authorised for release to the ASX by the Board of ECT.
For further information, please contact: