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Gold/Mining/Energy : Gasification Technologies -- Ignore unavailable to you. Want to Upgrade?

To: Dennis Roth who wrote (931)	6/25/2007 9:31:08 AM
From: Dennis Roth	Read Replies (2) \| Respond to of 1740

Denbury Signs Agreement to Purchase Additional Manufactured CO2 news.tradingcharts.com DALLAS, Jun 25, 2007 (Canada NewsWire via COMTEX) -- Denbury Resources Inc. (NYSE:DNR) ("Denbury" or the "Company") today announced that is has entered into an agreement with Rentech Inc. (AMEX:RTK) to purchase all of the CO2 captured from a planned synthetic fuel plant to be built in Natchez, Mississippi, which is scheduled to commence operations in the next four to five years. Denbury is expected to purchase between 350 MMcf/d and 400 MMcf/d of captured CO2 from Rentech, a by-product of this proposed plant's anticipated production of 25,000 Bbs/d of clean synthetic diesel fuel. The base purchase price of this CO2 is currently expected to be slightly higher than the base price of CO2 from the Company's two other contracted synthetic sources (at today's oil price), but the higher base price for CO2 from this plant is expected to be offset by a higher percentage of future potential carbon emissions credits generated by this sequestration process. The Company has previously signed CO2 purchase contracts for two other planned gasification plants proposed by Faustina Hydrogen Products LLC, one expected to be built near Donaldsonville, Louisiana and another planned for construction near Beaumont, Louisiana. If all three plants are built, these synthetic sources will provide the Company with an aggregate of 750 MMcf/d to 850 MMcf/d of CO2 by 2012. The base price of CO2 from all of these synthetic sources is currently expected to be 1.5 to 2.0 times higher than the Company's most recent all-in cost for its CO2 from natural sources (calculated based upon today's oil prices and roughly equivalent pressures). These predicted synthetic CO2 prices are expected to be competitive with prices for CO2 from Denbury's natural sources after adjusting for the Company's share of carbon emissions credits using estimated current prices of CO2 carbon credit futures. The Company plans to connect these manufactured sources of CO2 to the Company's natural source of CO2, which will allow the Company to allocate production as required between the two sources. Gareth Roberts, CEO of Denbury, commented on the transaction, saying: "We plan to use the CO2 produced from this proposed plant to further expand our tertiary operations in the Gulf Coast area. By injecting this CO2, a by-product of the proposed plant, into mature oil fields, we not only help to protect the environment by reducing greenhouse gases, but also produce additional oil to help reduce our nation's need for imported oil." This press release, other than historical financial information, contains forward-looking statements that involve risks and uncertainties relating to proposed gasification plants and anticipated CO2 production levels therefrom as detailed in the Company's filings with the Securities and Exchange Commission, including its reports on Form 10-K and 10-Q. These reports are incorporated by reference as though fully set forth herein. These statements are based on assumptions concerning commodity prices, existing market conditions, scheduling, engineering assumptions, anticipated legislation and assumptions regarding carbon credit futures market that management believes are reasonable based on currently available information; however, management's assumptions and the Company's future performance are both subject to a wide range of business risks, and there is no assurance that these goals and projections can or will be met. Actual results may vary materially. Denbury Resources Inc. (www.denbury.com) is a growing independent oil and gas company. The Company is the largest oil and natural gas operator in Mississippi, owns the largest reserves of CO2 used for tertiary oil recovery east of the Mississippi River, and holds significant operating acreage onshore Louisiana, Alabama, in the Barnett Shale play near Fort Worth, Texas, and properties in Southeast Texas. The Company's goal is to increases the value of acquired properties through a combination of exploitation, drilling and proven engineering extraction practices, including secondary and tertiary recovery operations. SOURCE: Denbury Resources Inc. Denbury Resources Inc. Gareth Roberts, 972-673-2000 President and CEO or Phil Rykhoek, 972-673-2000 Sr. VP and Chief Financial Officer www.denbury.com

To: Dennis Roth who wrote (931)	6/4/2008 8:09:52 AM
From: Dennis Roth	Respond to of 1740

Eastman bows out of La. deal 2theadvocate.com * By GARY PERILLOUX * Advocate business writer * Published: Jun 4, 2008 - Page: 1D - UPDATED: 2:10 a.m. Eastman Chemical Co. will sell its partial ownership of a planned $1.6 billion gasification plant near Donaldsonville and invest more money in a similar plant in Beaumont, Texas, the company said Tuesday. An Eastman official said the company expects the Louisiana project to move forward, but neither the Louisiana project manager nor representatives of an investment company backing the project returned messages. A Fortune 500 chemical manufacturer based in Tennessee, Eastman will buy out Green Rock Energy LLC’s 50 percent stake in the Texas gasification plant and sell its 25 percent stake in the Louisiana plant to Green Rock. Terms of the sale weren’t disclosed. Green Rock is an investment company formed by the New York-based D.E. Shaw Group (not related to the Baton Rouge company) and the Goldman Sachs & Co. investment banking firm. The Faustina Hydrogen Products LLC project in Louisiana is on the west bank of the Mississippi River in St. James Parish, just south of the Sunshine Bridge. It’s projected to create 1,400 construction jobs and 200 positions. The plant would use petroleum coke and coal to produce ammonia for fertilizers, along with methanol, sulfur and industrial carbon dioxide beginning in 2010. Construction is expected to begin later this year, and the company has submitted revisions to its air quality permit that are under review by the state Department of Environmental Quality. Eastman Chemical said the moves announced Tuesday don’t reflect negatively on the Louisiana project but helped the company better meet its investment criteria. The company didn’t elaborate on those criteria. “We have confidence in the success of both the Texas and Louisiana industrial gasification projects; however, differences with Green Rock led us to agree to end our joint investment,” said Eastman’s Richard Lorraine in a statement. Lorraine is the company’s chief financial officer. A key reason behind the move came in September, when Eastman said it had exercised an option to buy the Beaumont assets of Terra Industries, including methanol and ammonia production facilities. “We are purchasing a site that has been idled by Terra Industries there,” said CeeGee McCord, a spokeswoman for Eastman Chemical. “This is not a reflection on the (Louisiana project) at all. We feel like they’re both very strong projects. We were just able to acquire the assets of the Texas project and, of course, Green Rock purchased our 25 percent ownership in the Louisiana project. It was a mutual decision.” In Louisiana, the Faustina plant would be next door to Mosaic Fertilizer LLC, which plans to buy the majority of the ammonia and all of the sulfur produced at the new plant, project officials said last year. The facility would make daily amounts of about 4,000 tons of ammonia, 1,600 tons of methanol and 16,000 tons of carbon dioxide. Chemical gasification facilities, like those used by Eastman since the 1980s in Kingsport, Tenn., capture carbon dioxide for industrial uses and release fewer harmful emissions into the environment than other chemical refining processes.