Sign up UNITED KINGDOM
Proactive Investors - Run By Investors For Investors

Active Energy Group PLC hails test results for new fuel

CoalSwitch is an environmentally-friendly process that cleanses the raw biomass by removing salts, minerals and other contaminants that harm the atmosphere and damage power plant furnaces.
Active Energy Group PLC hails test results for new fuel
Power to the coal industry?

Active Energy Group PLC (LON:AEG) chief executive Richard Spinks has hailed the success of the company’s CoalSwitch technology, which he said “fully justified” the investment made over the past 12 months.

CoalSwitch is an environmentally-friendly process that cleanses the raw biomass by removing salts, minerals and other contaminants that harm the atmosphere and damage power plant furnaces.

Crucially, and this is significant, it means the fuel can be burned in coal fired power stations, or alongside coal – negating the need for an expensive conversion.

Today, the company, which also has forestry and timber assets, unveiled the results of a University of Utah study that looked at the commercial viability of this game-changing technology.

The testing process compared CoalSwitch with Illinois number 6 coal, a typical feedstock used for industrial power generation in the US, and a CoalSwitch/ Illinois coal mix under the same test conditions.

THE RESULTS

The data from burn tests of the fuel, which can be used on its own or in combination with coal, were impressive.

Researchers from the university's Clean and Secure Energy Institute found:

  • CoalSwitch fuel burned at near-identical temperatures to coal.
  • It burned more efficiently than coal, and produced far less ash.
  • It burned cleaner than coal.
  • The mineral ash particle size distribution of CoalSwitch fuel was nearly the same as that for coal.
  • The fuel was essentially free of both potassium and sodium, so combustion did not cause the fouling issues that are commonly a barrier to the use of biomass fuels in coal-fired power plants.

WHAT BOSS SAYS

In an interview with Proactive’s Juliet Mann, chief executive Richard Spinks said…

The technology

It has exceeded our expectations. With chemistry and physics you generally know what expect, particularly in a reaction; there’s only so many elements in the equation. But we found through these tests there are kinds of other exciting benefits CoalSwitch brings power operators that mean they don’t have to close their plants, or have expensive refits.

The opportunity

This changes the whole way the coal industry’s going to look at moving away from coal and making coal a clean alternative where it has to be used. I think a lot of coal mining and coal-reliant regions will come to look at this in a positive light.

Worth the time and money?

The investment has been clearly vindicated; you can’t put a price on what we have found.  

 

AND THE REST

As mentioned earlier, the company has two other businesses – AEG WoodFibre and AEG TimberLands.

The former supplies the base material used in medium density fibreboard. It has an agreement with Turkey’s Yildiz Entegreto supply up to 300,000 tonnes of its hardwood and 200,000 tonnes of its new softwood material.

TimberLands, meanwhile, has a joint-venture with indigenous Métis Settlements to commercialise 200,000 hectares of mature forests in Western Canada.

THE SHARE PRICE 

The shares, up 10% in afternoon trade and 19% in the last year, are currnetly changing hands for 6p each. That values the business at £35mln.

Ian_55ae0ddd437b7.jpg
Why Invest In Active Energy Group PLC? Read More Here

Register here to be notified of future AEG Company articles
View full AEG profile

Active Energy Group PLC Timeline

Big Picture
September 05 2016

Related Articles

Ghazalat.jpg
November 23 2015
Production received a big boost from the joint venture that holds the East Ghazalat concession in Egypt.
Premier subsidiary E3 offers an extensive line of energy efficiency products and services including LED lighting and lighting controls
May 11 2016
Premier's subsidiary, Energy Efficiency Experts, has signed a letter of intent with Firefly Systematics
8746565923_3c8b3fa542_o_opt.jpg
October 23 2015
History tells us success is often forged from adversity. Take, for example, the early noughties, when Brent was trading well below its current level. We saw the emergence of a number of entrepreneurial mid-caps, which took advantage of the downturn to pick assets on the cheap. Will the contrarians win this time round? Jersey Oil & Gas hopes so.

© Proactive Investors 2016

Proactive Investor UK Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.