Green Car Congress  
Home Topics Archives About Contact  RSS Headlines

« Ford Asks Bush to Convene Energy Summit | Main | Israeli Startup Tackles On-Board Hydrogen Generation for Combustion Engines »

Print this post

Rentech Closes $31M Stock Offering to Support Coal-to-Liquids Work

23 September 2005

Rentech, Inc., the developer and licensor of a proprietary Fischer-Tropsch process, has closed the sale of 13,436,000 shares of its common stock from its shelf registration at a price of $2.30 per share. Net proceeds to the Company are $30,902,800.

Rentech intends to use the proceeds to continue to move forward with its domestic commercialization efforts on its six announced Coal-to-Liquids (CTL) opportunities as well as to fund its general operations.

The company also announced it was buying out the remaining 50% interest in Sand Creek Energy (SCE) for $1.4 million. Rentech plans to use the currently mothballed Sand Creek property to build and to operate a fully-integrated Fischer-Tropsch, coal-to-liquids (CTL), Product Development Unit (PDU) facility.

The SCE plant will produce ultra-clean diesel and aviation fuels and naphtha from various domestic coals, petroleum coke and biomass feedstocks on a demonstration scale. The products from the plant will supply test quantities of these synthetic fuels to the groups (DoD, sate and metropolitan entities) which have expressed interest in acquiring commercial quantities of Rentech’s fuels.

Rentech expects the PDU to be the first Coal-to-Liquids project in the country to capitalize on the tax credits available for commercialization of this technology under the new Energy act.

Rentech’s CTL Poly-Generation Vision

Since its founding in 1981, Rentech has been a technology development company, and has yet to operate at a profit. It is now trying to shift its position to becoming the “first-mover” in CTL commercialization in the US, with a particular focus on poly-generation projects—i.e., converting coal to fertilizer, fuel and power.

Accordingly, it has brought in a new president (although not from the energy industry), and is making financial moves such as those noted above.

September 23, 2005 in Coal-to-Liquids (CTL) | Permalink | Comments (1) | TrackBack (0)


TrackBack URL for this entry:

Listed below are links to weblogs that reference Rentech Closes $31M Stock Offering to Support Coal-to-Liquids Work:


How can any business go 24 years without a profit and still draw investors???

Verify your Comment

Previewing your Comment

This is only a preview. Your comment has not yet been posted.

Your comment could not be posted. Error type:
Your comment has been posted. Post another comment

The letters and numbers you entered did not match the image. Please try again.

As a final step before posting your comment, enter the letters and numbers you see in the image below. This prevents automated programs from posting comments.

Having trouble reading this image? View an alternate.


Post a comment

Green Car Congress © 2015 BioAge Group, LLC. All Rights Reserved. | Home | BioAge Group