WARRENVILLE, Ill.–(BUSINESS WIRE)–Fuel Tech, Inc. (NASDAQ:FTEK), a technology company providing advanced engineering solutions for the optimization of combustion systems, emissions control and water treatment in utility and industrial applications, today announced the receipt of multiple air pollution control (APC) contracts from customers in the US and China. These awards have an aggregate value of approximately $15.8 million.
Foremost among these new awards is a follow-on order at a domestic data center that once again involves utilizing Fuel Tech’s Selective Catalytic Reduction (SCR) and urea reagent technologies to reduce nitrogen oxide (NOx) emissions where natural gas is used for power generation.
“We are excited to increase our presence in the natural gas power markets,” said Vincent J. Arnone, Chairman, President and Chief Executive Officer. “SCR technology continues to gain a stronger position in our technology portfolio, and this new award highlights the flexibility and adaptability of Fuel Tech’s emissions control solutions portfolio in a time when the use of natural gas as a fuel source is rapidly evolving.”
The domestic data center project includes multiple SCR systems where natural gas is used for power generation. The scope includes Fuel Tech’s SCR and UDITM Urea Direct Injection technologies, along with ancillary systems to reduce NOx emissions from backup power sources. Fuel Tech’s UDI process, similar to our ULTRA® technology, provides the safe use of urea reagent where SCR is used to reduce NOx, eliminating the hazards associated with the transport, storage and handling of anhydrous or aqueous ammonia. Equipment deliveries are expected to be completed in the second quarter of 2019.
Mr. Arnone continued, “Industry research estimates that the global data center power market is expected to expand at a compound annual growth rate nearly 13% through 2021, and we view the reliability and availability requirements of the SCR and UDI systems as critical to customer needs. We have a history of industrial SCR projects using UDI technology in the steel and chemical markets and have recently deployed UDI system applications in China. We view UDI as a complement to our established ULTRA technology. UDI can be a good fit for smaller industrial systems, including those with multiple SCR reactors. Through our ongoing global business developments efforts, we are well-positioned to pursue those opportunities that leverage our ability to provide safe, cost-effective environmental and emission control solutions for units utilizing a variety of fuel sources.”
In addition to the data center order, two orders were received for ULTRA systems that will be installed on industrial and utility units in China being retrofitted with SCR technology. Delivery of these systems is scheduled for the third quarter of 2018. An additional contract was received for an ULTRA system in the US for a gas fired unit that supplies combined heat and power at a college campus. Delivery for this system will be completed by the first quarter of 2019.
About Fuel Tech
Fuel Tech is a leading technology company engaged in the worldwide development, commercialization and application of state-of-the-art proprietary technologies for air pollution control, process optimization, water treatment and advanced engineering services. These technologies enable customers to produce energy and processed materials, and deliver water treatment solutions in a cost-effective and environmentally sustainable manner.
The Company’s nitrogen oxide (NOx) reduction technologies include advanced combustion modification techniques and post-combustion NOx control approaches, including NOxOUT®, HERT™, and Advanced SNCR systems, ASCR™ Advanced Selective Catalytic Reduction systems, and I-NOx® Integrated NOxReduction Systems, which utilize various combinations of these systems, along UDI™ Urea Direct Injection system for SCR reagent supply, and the ULTRA® process for safe ammonia generation. These technologies have established Fuel Tech as a leader in NOx reduction, with installations on over 900 units worldwide.
Fuel Tech’s technologies for particulate control include Electrostatic Precipitator (ESP) products and services including complete turnkey capability for ESP retrofits, with experience on units up to 700 MW. Flue gas conditioning (FGC) systems include treatment using sulfur trioxide (SO3) and ammonia (NH3) based conditioning to improve the performance of ESPs by modifying the properties of fly ash particles. Fuel Tech’s particulate control technologies have been installed on more than 125 units worldwide.
The Company’s FUEL CHEM® technology revolves around the unique application of chemicals to improve the efficiency, reliability, fuel flexibility, boiler heat rate, and environmental status of combustion units by controlling slagging, fouling, corrosion, opacity and improving boiler operations. The Company has experience with this technology, in the form of a customizable FUEL CHEM program, on over 110 units.
Water treatment technologies include DGI™ Dissolved Gas Infusion Systems which utilize a patented nozzle to provide a competitive advantage over conventional utility and industrial aeration. An innovative alternative to current aeration technology among other applications, DGI systems can deliver supersaturated oxygen solutions and other gas-water combinations to target process applications or environmental issues. This infusion process has a variety of applications in the water and wastewater industries, including remediation, treatment, biological activity and wastewater odor management. DGI technology benefits include reduced energy consumption, installation costs, and operating costs, while improving treatment performance.
Fuel Tech also provides a range of services, including boiler tuning and selective catalytic reduction (SCR) optimization services. In addition, flow corrective devices and physical and computational modeling services are available to optimize flue gas distribution and mixing in both power plant and industrial applications.
Many of Fuel Tech’s products and services rely heavily on the Company’s exceptional Computational Fluid Dynamics modeling capabilities, which are enhanced by internally developed, high-end visualization software. These capabilities, coupled with the Company’s innovative technologies and multi-disciplined team approach, enable Fuel Tech to provide practical solutions to some of our customers’ most challenging problems. For more information, visit Fuel Tech’s web site at www.ftek.com.
NOTE REGARDING FORWARD-LOOKING STATEMENTS
This press release contains “forward-looking statements” as defined in Section 21E of the Securities Exchange Act of 1934, as amended, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and reflect Fuel Tech’s current expectations regarding future growth, results of operations, cash flows, performance and business prospects, and opportunities, as well as assumptions made by, and information currently available to, our management. Fuel Tech has tried to identify forward-looking statements by using words such as “anticipate,” “believe,” “plan,” “expect,” “estimate,” “intend,” “will,” and similar expressions, but these words are not the exclusive means of identifying forward-looking statements. These statements are based on information currently available to Fuel Tech and are subject to various risks, uncertainties, and other factors, including, but not limited to, those discussed in Fuel Tech’s Annual Report on Form 10-K in Item 1A under the caption “Risk Factors,” and subsequent filings under the Securities Exchange Act of 1934, as amended, which could cause Fuel Tech’s actual growth, results of operations, financial condition, cash flows, performance and business prospects and opportunities to differ materially from those expressed in, or implied by, these statements. Fuel Tech undertakes no obligation to update such factors or to publicly announce the results of any of the forward-looking statements contained herein to reflect future events, developments, or changed circumstances or for any other reason. Investors are cautioned that all forward-looking statements involve risks and uncertainties, including those detailed in Fuel Tech’s filings with the Securities and Exchange Commission.
Fuel Tech, Inc.
Jim Pach, 630-845-4500
Principal Financial Officer
The Equity Group Inc.
Devin Sullivan, 212-836-9608
Senior Vice President