Velocys enters into joint venture to develop gas-to-liquids plants

24th Mar 2014 14:12

Velocys has entered into a joint venture with Waste Management, NRG Energy, and Ventech Engineers International to develop gas-to-liquids (GTL) plants in the US.The joint venture will pursue the development of multiple plants utilising a combination of renewable biogas and natural gas. As its first commercial facility, the JV is targeting a plant to be located at Waste Management's East Oak landfill site in Oklahoma, US.Chief Executive of Velocys, Roy Lipski, said: "We're delighted to be providing proven FT technology to, and participating as a partner with Waste Management, NRG and Ventech, in the development of projects that promise to unlock the potential of landfill gas and biogas through the production of cost-effective renewable fuels and chemicals. "This project is a milestone in the development of GTL in the US. Smaller scale GTL has the potential to achieve significant installed capacity in North America a long time before any large scale conventional facility comes on stream."Shares rose 4.97% to 179.50p at 14:30 on Monday.RD