LUMBERTON, N.C. (February 9, 2021) — Active Energy Group plc (AEG) announced it has secured new funding in the amount of $10 million while also converting all existing debt to equity. The new funding and clean balance sheet will allow the company to accelerate development of its revolutionary CoalSwitch production facility in Lumberton, North Carolina. CoalSwitch is a leading “drop-in” biomass feedstock that can co-fire with coal or replace up to 100 percent of the coal in power stations without requiring plant modification.
The plant, based in Lumberton, North Carolina, converts locally-sourced residual biomass, including bark and treetops/branches, into CoalSwitch, which burns at temperatures nearly identical to coal, but cleaner and more efficiently while producing less ash. Depending on the blend rate, CoalSwitch will reduce CO2 emissions and other pollutants including sulphur dioxide and nitrous oxide. Commissioning at the CoalSwitch production facility is expected to begin in the second quarter of 2021.
AEG is already contracted to produce and deliver 900 tons of CoalSwitch for a coal/biomass co-firing demonstration being conducted by PacifiCorp at its Hunter Power Plant in Castle Dale, Utah scheduled for June, 2021. PacifiCorp is the largest grid operator in the western United States serving the growing energy demands of 1.9 million customers.
“The Fundraise and the CLN Restructuring represent significant milestones for AEG and will allow AEG to progress and accelerate its business plans for CoalSwitch and the Lumberton site,” said Michael Rowan, CEO of AEG. “Today, construction is underway to complete the commissioning of the 5tph (five tons per hour) reference plant in Lumberton. In the long term, we are committed to building a business that is a global provider in next generation biomass solutions and services.”