RI firm purchases MicroCoal Technologies? clean coal upgrading facility
Tuesday, July 30 2013 - 03:11 AM WIB
Canada-based clean energy technology firm MicroCoal Technologies Inc, formerly Carbon Friendly Solutions Inc, said that its wholly owned subsidiary, MicroCoal International Inc (MCII), has entered into a sales agreement with PT Wijaya Tri Utama (PWTU).
The company said in a statement obtained Monday that it provides for the design, construction, operation, and maintenance of the first MicroCoal? commercial facility utilizing the company's proprietary ground-breaking coal drying technology.
The contracted price for the construction of the facility's installation is US$6 million. A portion of the construction fee is to be paid up front, with the balance of the funding for the facility to be secured by an irrevocable letter of credit arranged by PWTU for the benefit of MCII. In addition to the one time construction fee, PWTU has agreed to pay MCII an annual fee for a period of six years and maintenance fees pursuant to the supporting agreements to be entered by the parties.
The facility will be located on-site at the PWTU coal-fired power plant on the island of Kalimantan, Indonesia, and will be designed to upgrade the calorific value of approximately 190,000 tons per year of low-rank coal (approximately 8,000 Btu/lb.) to a higher calorific coal (approximately 9,000 Btu/lb.) by removing up to 10% of the total moisture. MicroCoal has concluded that its technology can substantially increase the calorific content of this specific low-rank Indonesian coal above 11,000 Btu/lb. by further reducing the moisture content.
Editing by Reiner Simanjuntak