EQTEC PLC (AIM:EQT) has agreed to sell its French marketing centre (MDC) at Grande-Combe to utility group partner Idex, which will take on the responsibility for its construction.
Through the deal, Idex will acquire 95% of Grande-Combe through an initial €750,000 payment followed by a further €750,000 in milestones up to commissioning.
EQTEC, which is retaining a 5% stake, will also receive fees for engineering services, equipment, commissioning and licensing over the period until the first quarter of 2025 worth €15mln.
Under the terms, EQTEC is allowed to use the MDC for one client visit per month.
Idex and EQTEC are currently working together on a separate mixed waste-to-energy project at Limoges.
David Palumbo, EQTEC chief executive, said: "We believe this agreement cements our commitment to the live operation of the France MDC whilst evidencing the growing profile of EQTEC technology among well-established utilities and operators of energy infrastructure.
"This third MDC and second project in partnership with Idex indicates the growing demand from innovative, blue-chip partners and funders."
Benjamin Fremaux, Idex chief executive, added: "Idex has a strong track record deploying waste-to-energy infrastructure in France that contributes to French baseload energy requirements.
“We are delighted to cooperate with EQTEC at both Limoges and now Grande-Combe.”