Vancouver’s MicroCoal Technologies inks major deal with Indonesian company
Slawek Smulewicz, CEO and director of MicroCoal Technology. — Photo courtesy MicroCoal.
MicroCoal Technologies Inc. is pleased to announce that its wholly owned subsidiary, MicroCoal International Inc, has entered into a sales agreement with PT Wijaya Tri Utama.
It provides for the design, construction, operation, and maintenance of the first MicroCoal™ commercial facility utilizing the company’s proprietary groundbreaking coal drying technology.
The contracted price for the construction of the facility’s installation is USD $6,000,000. A portion of the construction fee is to be paid upfront, 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 tonnes 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.
Slawek Smulewicz, CEO and director of the company, states: “The execution of this master agreement is a validation of the importance of our technology as part of a global energy solution that improves the thermal output of coal and reduces the pollution it generates. We are extremely delighted that PT Wijaya Tri Utama has purchased the MicroCoal™ technology to optimize the performance of their coal plant, as Indonesia is one of the world’s largest consumers of low-rank coal. This first commercial installation will serve to showcase the scalability of our modular microwave coal drying technology, which we plan to apply to coal-fired power plants world-wide. We are excited to see the global commercial roll-out for this revolutionary technology.”
