Biogas Upgrade Licence Extension

About this update from Chesterfield Special Cylinders Holdings Plc

[{"type":"text","content":"\n \nRNS Number : 1915E Pressure Technologies PLC 04 April 2011  \n \n\nBiogas Upgrade Licence Extension\n \nPressure Technologies plc (\"Pressure Technologies\") is pleased to announce that its subsidiary, Chesterfield BioGas Limited (\"CBG\"), has extended its current 5 year exclusive licence to market and manufacture Greenlane® biogas upgrade equipment in the UK and Eire. The new agreement extends the current exclusive licence in perpetuity at a cost of £800,000. \n \nCBG provides turnkey solutions for the cleaning, storage and injection into the gas grid of biomethane, produced from waste water treatment and anaerobic digestion of organic waste. It also sells a range of Compressed Natural Gas (\"CNG\") filling stations for CNG powered vehicles.\n \nCBG successfully completed the UK's first biogas upgrading project for injection of gas to grid at Thames Water's site in Didcot, Oxfordshire in October 2010. However, the UK market for this proven technology has remained under-developed due to prolonged uncertainty over the level of subsidy Government would provide under the Renewable Heat Initiative (\"RHI\").  On 10 March 2011, however, the Department of Energy and Climate Change announced that it had set the RHI for biomethane combustion or injection at 6.5 pence per kWh, allowing CBG's technology to compete directly with Combined Heat and Power projects in the UK. \n \nThe Board of Pressure Technologies is pleased to report that, following the announcement of the RHI at 6.5 pence, CBG has experienced an increase in the level of sales enquiries and a number of large utility companies are setting up dedicated Biogas to Grid development teams. The directors believe that customer confidence will be boosted further by today's announcement of CBG's new licence agreement with Greenlane®.\n \nJohn Hayward, Chief Executive of Pressure Technologies, said: \"The securing of a long term exclusive agreement with our partners, Greenlane®, coupled with a realistic level of RHI, gives a strong platform for growth at Chesterfield BioGas. The UK gas to grid market has massive potential and we look forward to reporting significant progress in the coming year.\"\n \n \nFor further information, please contact:\n \n\n\n\n\nPressure Technologies plc\nJohn Hayward, Chief Executive\nJames Lister,...

More updates from Chesterfield Special Cylinders Holdings Plc