HTC Purenergy to Acquire CO2 Technologies Pty Ltd

24 November 2006

HTC’s hydrogen process. Click to enlarge.

HTC Purenergy has exercised its option to acquire CO₂ Technologies Pty Ltd. HTC issued 602,000 common shares in exchange for all the issued and outstanding shares of CO2 Technologies. At close of market on 23 November, HTC shares were trading at C$2.05 per share.

HTC has been providing CO₂ Capture and Storage Solutions (CSS) systems since 1996, with its core focus on CO₂ recovery from coal- and gas-fired power plants as well as sequestration of CO₂ either into deep storage aquifers or depleted oil fields for enhanced oil recovery. HTC is also developing systems for the dry reformation—a process that uses CO₂ in its first step—of ethanol and natural gas into hydrogen.

CO2 Technologies has developed a business development process around the deployment of carbon-clear energy technologies, which HTC plans to use globally. The acquisition secures the services of CO2 Technologies exclusively for HTC and all project development opportunities that have been initiated by CO2 Technologies globally will be assigned to HTC.

HTC dry reforming. HTC built on catalysis research at the University of Regina to develop its dry reforming technology. The HTC reforming process uses carbon dioxide to produce a syngas in the first phase of the reforming process, rather than the more conventional approach using steam reformation. The second phase is the water gas shift reaction. Still in R&D, the technology will be applied in a commercial demonstration plant planned for 2007.

HTC developed a CO₂ reforming catalyst that resists deactivation—a sigificant issue in commercializing dry reforming technology. The HTC systems require less heat in the dry reforming phase, leading to greater energy efficiency.

Additionally, HTC’s reformer configuration also includes technology that can capture any excess CO₂ not recycled in the reaction.

In parallel with catalyst development, HTC has also developed proprietary modelling and simulation technology which assists in catalyst and reactor design. While the initial focus was on dry reforming of natural gas, development of reforming technology for other fuels such as ethanol and methanol has also been completed—with each fuel requiring their own unique catalyst and process design.

HTC and the University of Regina have applied for US Provisional Patents covering all key aspects of the dry reforming hydrogen production technologies.

Resources:

• HTC Purenergy presentation for London Stock Exchange

• HTC Purenergy presentation to Canadian Hydrogen Association