A share purchase agreement has been signed in a deal that could create more than 50 waste to energy jobs in North Wales.
Business Live reported in August that EQTEC plc had an agreement with Logik Developments to purchase and develop land off Weighbridge Road, Deeside Industrial Estate, Flintshire.
Today they announced the Share Purchase Agreement(SPA) had been agreed.
The site of the former Gaz De France power station already has planning for a £50m waste management facility comprising a materials recycling facility and anaerobic digestion facility which would manage residual waste of up to 182,000 tonnes per annum.
EQTEC plc wants to enhance this process by making the waste to energy solution more complete by adding a gasification plant to the existing planning permission.
The original proposed facility would enable residual wastes to be diverted from landfill, producing up to 2MW of green energy and maximising the recovery of recyclate.
Adding their Advanced Conversion Technology to the existing planning permission with the gasification plant could generate a further 20MW’s of green electricity (which would be enough to power 37,500 homes) and 27 MW of thermal heat production.
This would be used to power the plant and the surplus would be exported either to the grid or locally.
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The project is part of a portfolio of projects currently under review by a European owner-operator of waste to energy infrastructure. They are expected to provide the financing required for the construction phases and commercially operate the plant.
Assuming the requisite financing is provided, EQTEC expects to act as the project developer on the project, providing the design and core advance gasification technology and retain a portion of the O&M contract.
David Palumbo, CEO of EQTEC, said: “ We are pleased to have signed this SPA to acquire the Project SPV for the Deeside RDF Project after completing our due diligence, making good progress on funding discussions and shortlisting EPC companies for the project.
"We estimate that, with the application of EQTEC’s advanced gasification technology, the project would convert hundreds of thousands of tonnes per year of non-recyclable everyday household and commercial waste otherwise destined for landfill or incineration."
Key terms of the SPA
- Initial consideration of £2,310,000 of which a deposit amount of £300,000, from which the existing exclusivity payment of £100,000 will be deducted, is payable on signing of the SPA and the balance of £2,010,000 payable on or before a date 12 months from the date of signing of the SPA.
- Additional deferred conditional consideration of £2,290,000 payable on the achievement of certain conditions precedent related to development milestones of the project.