Environmental Clean Technologies Limited (ASX: ESI) (ECT or Company) is pleased to announce the successful completion of a placement of $695,000. An additional $405,000 has also been identified, however this amount will be subject to shareholder approval at an Extraordinary General Meeting (EGM) at a date to be fixed.
These placements are in addition to the recently concluded Rights Issue and subsequent Shortfall program (announcement 23 December 2011).
Executive Chairman & Managing Director Mr. Michael Davies stated, “We are very pleased with the ongoing commitment from shareholders as we continue to deliver in line with our stated commercialisation strategy. These funds will provide ECT the opportunity to further the delivery of Coldry and Matmor.”
The Board of ECT is in the process of reviewing a number of funding options for the delivery of stages two and three of the Design for Tender (DFT) program for the Victorian Coldry project (announcement 31 October 2011).
Mr. Davies said, “The delivery of the DFT program is central to the activities of ECT. In recent discussions in India with three of that country’s largest coal producers and consumers significant interest was shown in Coldry. Strong interest was also shown in Matmor by one of India’s largest steel producers. ECT has been invited to present at an energy conference in New Delhi during mid-February to introduce Coldry to the broader Indian power generation industry and to engage in follow-up discussions with the three companies with whom ECT representatives met with during the first week of January.”
ECT is progressing discussions with a major South Korean coal trading company which has very strong relationships with the two largest coal consumers in that country. Negotiations are underway to agree an arrangement whereby Coldry is promoted to major Korean coal consumers through this coal trading company, which sought out ECT when it identified Coldry as the preferred coal de-watering technology as part of its own technology evaluation program.
A comprehensive update will be provided to Shareholders by the end of January 2012 and advice as to the EGM will be posted when the date is fixed.