Powerhouse Enrgy Grp Containerisation of the G3-UHt Gasification System

 
TIDMPHE 
 
PowerHouse Energy Group plc 
                        ("PowerHouse" or the "Company") 
 
              Containerisation of the G3-UHt Gasification System 
 
PowerHouse (AIM: PHE), the company focused on ultra-high temperature 
gasification waste to energy systems is pleased to announce that it has 
arranged for a G3-UHt Gasification System ("PHE-G3"), complete with power 
generation capabilities, to be containerised, to allow it to be shipped to the 
UK for pilot testing on one of several sites under consideration. 
 
The PHE-G3 has been undergoing testing and continued enhancement, coupled with 
data gathering on the operational characteristics of the unit and its balance 
of plant. Subject to containerisation the PHE-G3 is now ready for in-situ 
demonstration.  The final phase of containerising the unit will begin in the 
new year, with the expectation that the total system will be ready for delivery 
to the UK by the end of Q1 2017. 
 
The UK sites under consideration are active waste and recycling operations with 
whom the Company has been in discussions regarding the integration of the 
PHE-G3 into their facilities. 
 
The Company has entered into an agreement with Hill Grove Investments Pty Ltd 
("Hill Grove") whereby OrePro pty ltd ("OrePro") for a fee of GBP180,000 (the 
"Agreement") will undertake the containerisation engineering work. As it is 
understood that OrePro is related to Hill Grove via common ownership interests 
and as Hill Grove, through its convertible loan note, has the ability to 
convert into a shareholder holding more than 10 per cent. of the share capital 
of the Company it has been deemed a substantial shareholder and consequently 
the Agreement is considered a Related Party Transaction under the AIM Rules. 
 
To address any potential claims that Hill Grove or OrePro may have over the 
intellectual property from its work in assisting in the development of the 
PHE-G3 the Agreement also contains provisions relating to the intellectual 
property. 
 
The agreement states that on redemption of the loan note or if the 
containerisation of the fully operational PHE-G3 system is not completed by 31 
March 2017: (a) Hillgrove will, and will procure that Ore-Pro will, deliver to 
PowerHouse a deed of assignment of all intellectual property rights in the 
PHE-G3, such assignment to be for nil consideration and (b) PowerHouse will 
deliver to Hillgrove and/or Ore-Pro a royalty free, fee free, perpetual licence 
to exploit the intellectual property rights in the PHE-G3 (i) Australia and New 
Zealand and (ii) worldwide for coal gasification projects. 
 
The Agreement also confirms that upon repayment of the Convertible Loan Note, 
or conversion by Hill Grove of the loan notes into shares, all intellectual 
property rights in relation to the PHE-G3 will be absolutely owned by 
PowerHouse. 
 
The Agreement stipulates that the amounts due under the convertible loan 
agreement with Hill Grove ("Convertible Loan Note"), which was due for 
repayment on or before 30 June 2017 will now be extended by 12 months, with 
repayment now due on the earlier of 30 June 2018 or the date the loan becomes 
otherwise payable earlier in accordance with the  terms of the Loan Note. 
 
The Board (all of whom are independent in this matter) consider, having 
consulted with WH Ireland Limited, that the terms of the Agreement are fair and 
reasonable insofar as its shareholders are concerned. 
 
Keith Allaun, Executive Chairman of PowerHouse commented: "We are delighted 
with our testing results in-house, however, testing on-site, in real-world 
conditions, processing waste, and economically extracting the energy value of 
that waste in an environmentally responsible manner on customer premises will 
be the best validation for our single-step, tremendously efficient, process. 
 
I look forward to updating the market as additional progress on site 
determination is made." 
 
For more information, contact: 
 
PowerHouse Energy Group plc                          Tel: [phone] 
Keith Allaun, Executive Chairman 
 
WH Ireland Limited (Nominated Adviser)               Tel: [phone] 
James Joyce / James Bavister 
 
Vicarage Capital Limited (Broker)                    Tel: [phone] 
Jeremy Woodgate 
 
IFC Advisory (Financial PR & IR)                     Tel: [phone] 
Tim Metcalfe / Graham Herring / Heather Armstrong / 
Miles Nolan 
 
 
About PowerHouse 
 
PowerHouse is the holding company of the G3-UHt System Ultra High Gasification 
waste to energy systems. 
 
The Company's is focussed on technologies to enable energy recovery from 
municipal waste streams that would otherwise be directed to landfills and 
incinerators; or from renewable and alternative fuels such as biomass, tyres, 
and plastics to create syngas for power generation, high-quality hydrogen, or 
potentially reformed into liquid fuels for transportation. These waste to 
energy systems aim to provide the "best solution" to the on-site energy market. 
 
PowerHouse Energy Group Plc is quoted on the London Stock Exchange's AIM 
Market. The Company is incorporated in the United Kingdom. 
 
For more information see www.powerhouseenenergy.net 
 
 
 
END 
 

(END) Dow Jones Newswires

December 06, 2016 06:05 ET (11:05 GMT)