ShareCast
Josh White
Quadrise Fuels has signed a material transfer and cooperation agreement with an unnamed international chemicals and mining group headquartered in Morocco, it announced on Friday.
The AIM-traded company said that under the agreement, both itself and the client would work together in a joint project team, to carry out an ‘MSAR’ trial on a pilot plant test facility located at one of the client’s facilities in Morocco, and then complete technical and economic feasibility studies for demonstration tests on commercial units owned by the client that would be covered by future agreements.
It said the first phase of work under the agreement included an MSAR trial on a pilot plant unit on a shared cost basis, to be completed by the end of the first quarter of 2020.
The second phase, subject to the client’s approval of a successful outcome for the first, would see Quadrise undertaking feasibility studies in preparation for commercial scale trials on an industrial unit and a steam boiler, owned and operated by the client, which would be carried out on a paid basis.
Any future commercial MSAR trials with the client would be subject to new agreements.
“We are very pleased to have entered into this agreement with this major industrial group in Morocco, which is a world leader in the sectors in which it operates and is a material consumer of fuel oil,” said executive chairman Mike Kirk.
“We are looking forward to working with the client’s team in Morocco to develop and deliver the MSAR pilot trial and feasibility studies and, ultimately to demonstrate the wider potential for MSAR use in the industrial sector, in addition to the power and marine markets.
“We are confident that we will successfully demonstrate the economic and environmental benefits of MSAR and, therefore, be able to progress through to commercial supply of MSAR to the client in due course.”
At 0846 GMT, shares in Quadrise Fuels International were down 3.52% at 3.56p.
