Sep 8 2008
Doosan Babcock jointly with Doosan Heavy Industries of Korea have announced a Global Technology Licensing Agreement with a leading Canadian CO2 management technology company, HTC Purenergy Inc. In conjunction with the Licensing Agreement, Doosan Babcock and Doosan Heavy Industries will subscribe to a Private Placement for an approximate 15% equity share ownership in HTC and seat on HTC's Board of Directors with the investment of CDN$10 million.
The Global Technology Licensing Agreement for HTC's carbon capture technology now means Doosan Babcock has both pre and post combustion technology capabilities within their portfolio to reduce CO2 emissions from power stations. The agreement will put Doosan Babcock, whose headquarters are in Crawley, UK, at the forefront of carbon capture technology.
The agreement includes the right to utilise products and technologies developed by HTC and the University of Regina Green House Gas Technology Centre located in Saskatchewan, Canada. The University of Regina is a leading institution in Carbon Capture and Storage (CCS) technologies with many of the world's most recognised scientists and developers of CO2 Capture. The CDN$10 million investment will be utilised by HTC to deliver leading edge CO2 capture technology and further the development of the next generation technologies at the University of Regina.
This investment will provide Doosan Babcock and Doosan Heavy with a leading technology platform, further strengthening their position in the world's power generation CCS market. It is expected that in future, from around 2015, roughly half of the global new build coal and gas fired power projects in the world (80-100GW annually) will use CCS technology to reduce carbon emissions. Access to the world leading HTC CCS technology, which delivers 30% greater efficiency than existing CCS technologies, will enable Doosan Babcock to participate in large-scale CO2 capture projects in Europe and the USA that will demonstrate how CO2 emissions from existing and new build coal plants can be significantly reduced.
Iain Miller, CEO, Doosan Babcock said, "We are delighted to announce the agreement with HTC. Doosan Babcock is committed to developing and providing technology and service solutions to the challenges facing the energy industry. This agreement is an important step towards the full-scale demonstration of carbon capture and storage."
Lionel Kambeitz, CEO of HTC Purenergy Inc. welcomed the announcement and commented, "HTC is pleased to have the opportunity to partner with Doosan, an internationally renowned Engineering Procurement Constructor (EPC) and OEM of clean coal power plants and emission control technologies. The partnership with Doosan will immediately provide engineering, construction and execution capability to facilitate deployment of the HTC/University of Regina, CO2 Capture Technology."