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Deal Provides Wider Access to Methane Flaring Solution
Ivine, Calif.-based Ener-Core, Inc. announced Nov. 19 that it has entered into a global licensing agreement with the Dresser-Rand Company to develop and market the Dresser-Rand KG2-3GEF two-megawatt gas turbine coupled with the Ener-Core proprietary Gradual Oxidizer. Dresser-Rand is among the world's largest suppliers of rotating equipment to the oil, gas, petrochemical, and process industries.
"The adoption of the Ener-Core oxidizer technology by Dresser-Rand is an important step in capturing the $65 billion waste gas to power opportunity," said Alain Castro, CEO of Ener-Core. "This commercial license is a great opportunity for Ener-Core to successfully scale up its power generation technology to the 2 MW power capacity. Furthermore, Dresser-Rand's existing global footprint of commercial and engineering teams, as well as their strong brand, will enable an accelerated deployment of Ener-Core's solution across multiple industry applications. Most industries that currently flare their waste gases will soon be able to use these waste gases productively while also significantly reducing their emissions of waste gases into the atmosphere. This is great news for our world's air quality and great news for the financial bottom lines of the industries that currently emit these greenhouse gases into the atmosphere."
Dan Levin, Dresser-Rand's vice president, Environmental Solutions, called the oxidizer "a breakthrough technology that greatly expands the value proposition of the KG2-3G gas turbine. The combination of reducing harmful exhaust emissions and generating clean energy from waste gases is a truly significant opportunity for many industrial companies. While most companies are focused on waste gas capture and destruction, Ener-Core's unique Gradual Oxidation technology, combined with Dresser Rand gas turbines, will enable industrial clients across a wide range of industries to utilize their industrial waste gases to generate clean energy."
The license agreement grants Dresser-Rand exclusive rights to commercialize the Ener-Core 1-4MW MW Gradual Oxidizer bundled with the Dresser-Rand KG2 gas-turbine product line. Dresser-Rand will pay a $1.6 million initial license fee and subsequently agrees to achieve annual sales thresholds agreed to by both companies in order to retain the commercial license," according to Ener-Core's announcement.
Potential customers include coal mines, oil and gas refineries, oil and gas drilling sites, distilleries, food processing plants, and landfills.
Ener-Core executives estimate the wasted methane currently released into the atmosphere each year could be used to generate up to 65,000 MW of clean energy, enough to power 65 million to 80 million homes.