EQTEC PLC (AIM:EQT) said it was awarded a project in partnership with Idex, the French utility company and infrastructure owner.
The bioscience energy company focused on turning waste to fuel said the project should result in a plant able to convert 45,000 tonnes of mixed waste per year, including contaminated wood, into 9mln normal cubic meters of renewable natural gas per year.
"The project represents a major win for EQTEC and the first formal collaboration with a significant partner in Idex,” said David Le Saint, EQTEC market lead for France.
EQTEC said the project supports its strategy and is the next step in demonstrating its capabilities in applying its versatile synthesis gas technology to a variety of applications.
The project also builds on waste wood conversion capabilities it is applying at its France Market Development Centre in Villers-sous-Montrond and on its steam-oxygen capabilities at its R&D facility hosted by the Université de Lorraine, according to a statement.
Financial close for the project is expected to occur in the second half of 2024, with the plant completing construction and commissioning by early 2026, with operation expected in the first half of 2026.
EQTEC and Idex were awarded the contract following a competitive tender and panel interview process in late 2022, according to a statement.
The regional government of Nouvelle-Aquitaine, the area where the project will be created, and France’s primary natural gas distribution Gaz Réseau Distribution were on the panel alongside the French government and will provide funding for the plant.
Limoges Metropolis, a region within Nouvelle-Aquitaine, has reserved the right to join a consortium with EQTEC and Idex as the project develops, the AIM-quoted company said.