Methes to install its first PP-MEC pretreatment system in Ontario

By Methes Energies International Ltd. | March 30, 2015

Methes Energies International Ltd. announced that it has received CDN$250,000 as initial payment for the sale of a Denami 600 biodiesel processor and a PP-MEC pretreatment system to be installed in Havelock, Ontario, Canada. Additional scheduled payments are due in the near future upon shipment and installation of the equipment, and the balance is due when the Denami 600 is recommissioned and the pretreatment system is installed at the buyer’s facility.

In order to fast track the installation, the buyer has agreed to purchase the Denami 600 currently located at Methes’ Mississauga facility. The company expects to take approximately three weeks to dismantle the equipment at the Mississauga facility at which time the equipment will be loaded on trucks and shipped to the buyer.

The buyer, Drain Bros., will become the first facility in the world to use Methes’ pretreatment system using the PP-MEC catalyst to process corn oil from a local ethanol plant. 

“We are glad to have finalized this transaction and to be able to use the Denami 600 in Mississauga,” said John Loewen, chief operating officer of Methes. “The Denami 600 has recently been used for research, testing and marketing but has not been used in commercial biodiesel production in over two years, so it made sense for Drain Bros. and Methes to move it to their location. More importantly, we will be installing a pretreatment system that will be running on corn oil and we’ll have the ability to showcase the technology in action to other potential clients. This is a major milestone and we are looking forward to help Drain Bros. with their new biodiesel facility.”

 Furthermore, Methes announced on Jan. 20 that it had entered into an agreement to license its technology to a U.S. client in exchange for an upfront payment of $4 million, which, as per the agreement, was due Feb. 20. Methes provided an extension to the payment date to allow its U.S. client to finalize a pending transaction. At this time, though they express continuing interest in the transaction with Methes, they still have not finalized their other pending transaction.


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