Rotary Kiln Acquisition Fast Tracks Phase 2 of Coldry Project
Environmental Clean Technologies Limited (ECT or Company) (ASX:ECT) is pleased to announce the purchase of a rotary kiln, a key Phase 2 component of its Coldry-enabled char project. The total cost of the acquisition (including transport) is estimated to be $300,000, and is anticipated to deliver savings of up to $500,000, reducing Phase 2 lead time by up to four months.
Originally intended to be sourced internationally, the rotary kiln is the single most expensive and longest lead time piece of equipment for Phase 2, originally budgeted at a cost of $800,000 with a seven month lead time.
Given the recent experiences with international procurement delays arising from the COVID19 pandemic, the Company has been exploring alternative local suppliers for a range of equipment and identified a fit for purpose, second hand, unused rotary kiln in Geraldton, Western Australia.
Arrangements are underway to transport the equipment from Western Australia to Victoria.
Executive Chairman, Glenn Fozard commented:
“We have lost around three months in phase one of the Project, driven by the COVID19 impact on overseas and domestic procurement. Securing this critical piece of equipment here in Australia allows us to keep the broader project timetable and budget on track, as we save on procurement costs and shorten the original lead time we had anticipated from having to acquire this critical piece of equipment from overseas.”
The Company looks forward to providing further updates on its Coldry Project in due course.
This announcement has been approved for release by the Board.
For further information, contact:
Glenn Fozard – Chairman[email protected]