- Press Releases
ZAGREB (Croatia), August 11 (SeeNews) – Irish gasification technology and engineering company EQTEC [LSE:EQT] said on Wednesday it has completed the acquisition of a 1.2 MWe waste-to-energy gasification plant in Belisce, eastern Croatia.
The acquisition was carried out through through Synergy Projects, a joint venture between EQTEC and its Croatian project development partner Sense ESCO, EQTEC said in a statement.
The company also said that the JV has signed a share purchase agreement for the acquisition and funding of the project special purpose vehicle and that the acquisition was funded by EQTEC via a 550,000 euro ($644,000) loan and a 1.65 million euro 10-year loan provided by a third party.
The plant, originally commissioned in 2016, will be recommissioned and repowered for operations towards the end of next year to convert 8,000 tonnes per year of forestry wood waste from local farms and forests into 1.2 MW of green electricity and heat for use in the local community, EQTEC noted.
A grid connection application will be made for the plant in the second half of this year.
EQTEC also said that active discussions with investors regarding the plant are currently underway, toward financial close in the coming months. It estimates that the plant, built around EQTEC's Advanced Gasification Technology, will generate an unlevered IRR of 12% and annual EBITDA in excess of 850,000 euro. The contract value of EQTEC's technology sales for the plant is expected to be 1.7 million euro in technology and engineering upgrades.
In addition to being co-owner, operator and Advanced Gasification Technology supplier to the plant, EQTEC is to be contracted as the operation and maintenance contractor after commissioning;
EQTEC designs, supplies and builds advanced gasification facilities in the EU and the US, with highly efficient equipment that is modular and scalable from 1MW to 30MW.
($= 0.8539 euro)