HIGHLANDS RANCH, Colo., March 12, 2015 (GLOBE NEWSWIRE) -- Advanced Emissions Solutions, Inc. (the "Company") today provided an operations update on its businesses.
Refined Coal Update ("RC")
The Company produces Refined Coal through Clean Coal Solutions, LLC ("CCS"), a joint venture among our subsidiary ADA-ES, Inc. (42.5%), an affiliate of NexGen Resources Corporation (42.5%), and an affiliate of The Goldman Sachs Group, Inc. (15%).
CCS currently has 17 Refined Coal facilities in full-time operations located at coal fired plants that collectively have historically burned more than 54 million tons of coal per year. Permanent installation work is underway for an additional six Refined Coal facilities located at power plants that collectively have historically burned more than 29 million tons of coal per year. CCS is in discussions with multiple utilities for the remaining Refined Coal facilities. The timing on these facilities is dependent upon progress on contract negotiations and permitting and in some cases permanent installation work may not begin until the middle or late part of 2015 or possibly begin in 2016. The Company now expects that all 28 RC facilities will be located at coal fired plants that collectively have historically burned more than 105 million tons of coal per year.
During the fourth quarter of 2014, CCS produced a total of 11.3 million tons of RC, of which 2.2 million tons were produced at RC facilities that generated tax credits for the benefit of the members of CCS.
Emissions Control ("EC")
The Company's subsidiary, ADA-ES Inc. ("ADA") has recently broadened its Emission Control product offerings as the market shifts towards compliance solutions for the federal Mercury Air Toxics Standard ("MATS"), and away from equipment for MATS. These products include ADA's M-ProveTM Coal Treatment Technology, RESPondTM Flue Gas Conditioning, ProRakTM Mercury Analyzer as well as EXPERTiTM Technology, a remote monitoring analytics and technical advisory service that will help customers monitor and better understand their MATS compliance strategy. These products complement ADA's existing product offerings and further the reach of ADA's decades of expertise in helping its customers comply with existing and future emissions regulations.
For Emissions Control systems and equipment, at this time the Company believes there are some remaining projects yet to be awarded, however, the majority of MATS related equipment awards have been made and the Company is now concentrating its efforts on delivering its equipment in line with our customers' schedules.
Advanced Clean Energy Solutions ("ACES")
The Company's Development and Commercialization efforts are now conducted through a newly formed subsidiary, Advanced Clean Energy Solutions, LLC, formerly known as ADAtion. The Company's Chief Technology Officer, Sharon Sjostrom, is the President of ACES, which is focused on supporting and improving the Company's existing products and identifying, developing and commercializing new solutions to advance cleaner energy and to help our customers meet existing and future regulatory and business challenges. Building off the success of M-45TM and M-45-PCTM Technologies for Refined Coal, ACES is currently working to develop and commercialize new technologies to reduce a range of emissions associated with power generation and oil & gas production. ACES has assembled a strong team and follows a rigorous process focused on development and maximizing the return on investment.
Through an ongoing Cooperative Agreement with the Department of Energy, the Company expects to continue evaluating its ADASorbTM post combustion CO2 capture process at the 1MW scale pilot plant in 2015. This is an example of the Company's continued commitment to develop technologies to sustain the viability of coal while limiting risk in uncertain commercial markets.
Proposed Business Separation
The Company continues to pursue the separation of the Refined Coal-related business from its other Emissions Control-related businesses. The Company's Chief Financial Officer, L. Heath Sampson, is leading the Company's efforts around the separation in coordination with the Finance Committee of the Board of Directors and with external support from Moelis & Company as financial advisor and Gibson, Dunn & Crutcher LLP and Fortis Law Partners LLC as legal counsel to the Company.
About Advanced Emissions Solutions, Inc.
Advanced Emissions Solutions, Inc. serves as the holding entity for a family of companies that provide emissions solutions to customers in the power generation and other industries.
ADA-ES, Inc. ("ADA") supplies Activated Carbon Injection ("ACI") systems for mercury control, Dry Sorbent Injection ("DSI") systems for acid gases, and technology services and other offerings in support of our customers' emissions compliance strategies. ADA's M-ProveTM technology, which reduces emissions of mercury and other metals from PRB coal, is applied directly to coal at power plants, or offered through a licensing agreement with Arch Coal for application at their mines. In addition, we are developing technologies to advance cleaner energy, including CO2 emissions control technologies through projects funded by the U.S. Department of Energy ("DOE") and industry participants.
Clean Coal Solutions, LLC ("CCS") is a 42.5% owned joint venture by ADA that provides ADA's patented Refined Coal ("RC") CyClean™ technology to enhance combustion of and reduce emissions of NOx and mercury from coals in cyclone boilers and ADA's patent pending M-45™ and M-45-PC™ technologies for Circulating Fluidized boilers and Pulverized Coal boilers respectively.
Advanced Clean Energy Solutions, LLC ("ACES") is a wholly owned subsidiary of ADES that is focused on supporting and improving the Company's existing products and identifying, developing and commercializing new solutions to advance cleaner energy and to help our customers meet existing and future regulatory and business challenges. Building off the success of M-45™ and M-45-PC™ Technologies for Refined Coal, ACES is currently working to develop and commercialize new technologies to reduce a range of emissions associated with power generation and oil & gas production. ACES has assembled a strong team and follows a rigorous process focused on development and maximizing the return on investment.
BCSI, LLC is a custom designer and fabricator of engineered emissions control technologies, bulk material handling equipment, bulk storage systems, water/waste water treatment equipment, and custom components. BCSI supplies Dry Sorbent Injection ("DSI") systems for acid gas control using its technologically advanced cool, dry conditioned conveying air systems. BCSI's technical solutions serve a wide range of industrial clients including; coal fired utilities, water treatment, wastewater, cement kilns, food processing and industrial boilers. BCSI employs engineers and trade professionals at a 190,000+sq. ft. fabrication and office facility located in McKeesport, PA.
This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, which provides a "safe harbor" for such statements in certain circumstances. The forward-looking statements include statements or expectations regarding the timing of installation and operations for remaining RC facilities; the ability to locate all 28 RC facilities at coal fired plants that collectively have historically burned more than 105 million tons of coal per year; the ability for EXPERTiTM Technology to help the Company's customers monitor and better understand their MATS compliance strategy; the continued evaluation of the Company's ADASorbTM post combustion CO2 capture process at the 1MW scale pilot plant and related matters. These statements are based on current expectations, estimates, projections, beliefs and assumptions of the Company's management. Such statements involve significant risks and uncertainties. Actual events or results could differ materially from those discussed in the forward-looking statements as a result of various factors, including but not limited to, changes in economic conditions or market demand; timing of or changes in laws, regulations, IRS interpretations or guidance and any legal challenges to or repeal of them; failure of the RC facilities to produce coal that qualifies for tax credits; inability to commercialize the Company's technologies on favorable terms; termination of or amendments to the contracts for RC facilities; decreases in the production of RC; technical and operational difficulties; availability of raw materials and equipment; loss of key personnel; intellectual property infringement claims from third parties; impact of the weather and other factors discussed in greater detail in the Company's filings with the Securities and Exchange Commission ("SEC"). You are cautioned not to place undue reliance on such statements and to consult the Company's SEC filings for additional risks and uncertainties that may apply to the Company's business and the ownership of its securities. The Company's forward-looking statements are presented as of the date made, and the Company disclaims any duty to update such statements unless required by law to do so.
CONTACT: Graham Mattison Vice President, Strategic Initiatives and Investor Relations (720) 889-6206 email@example.comSource:Advanced Emissions Solutions, Inc.