ZEEP to Purchase Eastman TXE Gasification Project in Beaumont, Texas
HOUSTON, Jan. 21, 2011 /PRNewswire/ — Zero Emission Energy Plants Ltd. (ZEEP) today announced it has entered into a definitive agreement with Eastman Chemical Company Investments, Inc., to purchase all of the membership interests of TX Energy, LLC (TXE). Eastman Chemical Company Investments, Inc., is a subsidiary of Eastman Chemical Company (NYSE: EMN). TXE is engaged in developing a gasification facility in Beaumont, Texas. The facility will convert petroleum coke, an oil refining waste product, into hydrogen (H2) and pipeline quality carbon dioxide (CO2).
The transaction is expected to close during the second quarter of 2011. The terms of the agreement are not being disclosed at this time.
“ZEEP is anxious to continue the work started by Eastman on the Beaumont site,” said Ron Oligney, ZEEP chief executive officer. “We look forward to being part of the Beaumont community and contributing to local and state economic development by employing up to 1,500 during construction with about 250 permanent jobs.”
“This site is uniquely suited for a gasification facility that converts waste petroleum coke into clean energy products,” Oligney continued. “The primary offtake will be hydrogen, an important clean energy feedstock for transportation fuels, fertilizers and chemicals. Carbon dioxide produced from the facility will be captured and used to boost oil production in fields near Beaumont and through an existing CO2 pipeline network. This is truly a good news story for expanding clean energy, manufacturing and employment in America.”
Zero Emission Energy Plants Ltd. is a private company focused on the development of state-of-the-art gasification facilities that convert coal, petroleum coke and biomass into high value energy products such as syngas, hydrogen, CO, CO2, methanol, gasoline and power. ZEEP has offices in Australia, Bermuda, Canada, China and the United States, and is working to develop gasification facilities in select locations around the world. In various projects, ZEEP will deploy existing gasification technologies as well as innovative proprietary gasification technologies. Find out more at www.zeep.com.
Forward Looking Statement
Except for statements of historical fact, this news release contains certain “forward-looking statements” within the meaning of applicable securities laws. Forward-looking statements are frequently characterized by words such as “plan”, “expect”, “project”, “intend”, “believe”, “anticipate”, “estimate” and other similar words, or statements that certain events or conditions “may” or “will” occur. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those anticipated in the forward-looking statements including, without limitation, delays in obtaining any necessary governmental or regulatory approvals or permits; and capital and other costs varying materially from estimated costs. ZEEP undertakes no obligation to update forward-looking information if circumstances or management’s estimates or opinions should change except as required by law. The reader is cautioned not to place undue reliance on forward-looking statements.