Rentech and DKRW Confirm Coal-to-Liquids Plans
Monday December 10, 9:00 am ET
Rentech's PDU Remains on Track for Fuel Production in 2008
biz.yahoo.com
LOS ANGELES--(BUSINESS WIRE)--Rentech, Inc. (AMEX:RTK - News) announced today that the DKRW Advanced Fuels (DKRW) Medicine Bow Fuel & Power Project (MBFP) is continuing to develop its coal-to-diesel project under its site license agreement with Rentech for a synthetic fuels project under development in Medicine Bow, Wyoming.
DKRW is planning to expand its production capability to include gasoline at the Medicine Bow Project in Carbon County, Wyoming and will be announcing further details on this expansion shortly. However, it will continue to develop on a parallel path a Fischer-Tropsch coal-to-diesel facility under its existing site license agreement with Rentech. Upon successful completion of this development, MBFP would use the Rentech Process and purchase catalyst developed by Rentech for the plant. In addition, Rentech would receive license fees based on plant production capacity and achievement of certain milestones as set forth in the agreement.
Rentech and DKRW still maintain the Master License Agreement under which DKRW will use the Rentech Process at any domestic or international Fischer-Tropsch fuels plants DKRW builds.
Plans for the proposed Medicine Bow Project were revised to accommodate changes in the testing timeline at Rentech’s Product Demonstration Unit (“PDU”).
Robert Kelly, Chairman of DKRW Advanced Fuels, stated, “DKRW remains committed to developing coal-to-liquids projects using Rentech’s technology, including at the Medicine Bow site. We believe in the value of Rentech’s technology in advancing DKRW’s plans in the production of Fischer-Tropsch fuels.”
Rentech’s PDU is designed to produce ultra-clean diesel and aviation fuels and naphtha using natural gas and various coals and biomass on a demonstration scale. Construction of the PDU is nearing completion and Rentech remains on its current schedule to begin synthetic fuel production at the PDU in the spring of 2008.
D. Hunt Ramsbottom, President and CEO of Rentech, said, “Once the PDU begins producing ultra-clean synthetic fuels in 2008, we will be delivering sample products to potential customers for testing purposes. In addition, the PDU will enable us to demonstrate our process from three types of feedstocks—natural gas, coal and biomass. We believe the ability to test our products as well as the demonstration of the process at the PDU will enhance our ability to enter into long-term off-take contracts for the products from our commercial facilities.”
[ snip ] |
