June 26 (Renewables Now) - Active Energy Group Plc (LON:AEG) has raised GBP 1 million (USD 1.3m/EUR 1.1m) to help commercialise its biomass drop-in coal replacement fuel, called CoalSwitch, and related products PeatSwitch and the coal blended SuperFuel.
The company said today it will use the proceeds to fund the execution phase of its business plan which is concentrated on developing its forestry management operations and commercialising its products.
The London-quoted biomass-based renewable energy and forestry management firm, which has tested the first CoalSwitch plant in Utah, raised the funds in an oversubscribed placing with new and existing investors.
As previously announced, Active Energy is currently focused on commercial opportunities in Canada, the US and Europe and is reorganising its management team in line with this strategy. Richard Spinks will lead the development of the forestry division, mainly in Canada, and the company said it expects to be soon granted forestry management agreement by the Newfoundland government. Active Energy added it has already secured indicative funding arrangements for the envisaged CoalSwitch plant and forestry management business.
(GBP 1 = USD 1.324/EUR 1.135)