Dan and Larry, thanks for your comments.
I am unaware of any existing orders for Xonon.
I had to reread that press release a couple times, but I think technically, Larry, you are correct. I guess when you come right down to it, you cannot really receive commercial orders for something before you have proven its viability. While Xonon has achieved success on full load testing on the GE E-series turbine, I have never read anything that indicates Xonon has been tested, successfully or not, on the GE F-series.
Cliff Baxter, chairman and CEO of Enron North America. ``We're pleased to be working with GE and Catalytica towards the commercialization of Xonon for use on large-scale turbines.'
I do believe, however, that Enron has every intention of purchasing the Xonon units when/if it proves to work in the F-series, so I think it is not particularly relevant whether these are actually "orders" which would be cancelled should Xonon not work, rather than "preferred emission control technology" culminating in orders should it prove effective. The difference I see between this (what I would call an order) and the Kawasaki turbine at SVP (simply a test platform) is Enron is saying they want to equip their turbines at this project with Xonon as the control technology and are willing to pay for it should it meet the requirements of a commercial application. Nothing like this exists, that I know of, for the Kawasaki turbine at SVP, which is owned and operated by Catalytica. So I see the Pastoria project announcement as a willingness to pay for the technology, not as a "We'll let Catalytica test their product on our turbines and decide later if it is something we would consider buying." My guess is that Catalytica already has a contract and agreed price for the combustors when/if the requirements are met. I sincerely believe that neither Pres/CEO of GE power systems nor Chairman/CEO Enron North America would allow themselves to be quoted in the release unless they believe the system has an excellent chance of achieving the necessary objectives. Nor do I think Catalytica would be willing to spend the $9 million on the project unless they feel the same.
Just my thoughts, and always open for debate,
Erik |
