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QUEBEC CITY AND COLORADO SPRINGS, CO, June 17, 2014 /PRNewswire/ - CO2 Solutions Inc. ("CO2 Solutions" or "the Corporation") (TSX-V:CST), an innovator in the field of enzyme-enabled carbon capture technology, today announced that it has entered into a Collaboration Agreement with Colorado-based Neumann Systems Group, Inc. ("NSG" or "Neumann Systems"), an established emissions control solutions provider.
Under the terms of the agreement, CO2 Solutions and NSG will demonstrate a combination of their two proprietary technologies at pilot scale in what is expected to be a significantly lower cost process for the capture of CO2 from industrial effluent gases. Following this pilot, the companies anticipate co-marketing a combined solution for profitable application in enhanced oil recovery (EOR) and other existing and new CO2 sequestration and reuse markets.
"This project with Neumann Systems has the potential to significantly accelerate the commercialization of both our companies' carbon capture technologies," said Evan Price, President and CEO of CO2 Solutions. "Successful completion of the pilot will enable us to jointly pursue commercial opportunities both companies have identified. This is also a timely start to a relationship between CO2 Solutions and a U.S. partner given the June 2, 2014 landmark announcement by the Obama administration of carbon emissions regulations for the U.S. power sector."
The pilot combines CO2 Solutions' enzyme-based technology with NSG's high mass transfer gas-liquid contactor technology, known as NeuStream®. NSG's technology has a significantly smaller footprint than current technologies, with development to date demonstrating the potential to reduce CO2 capture equipment capital costs by up to 50 per cent.
CO2 Solutions has demonstrated that, using conventional CO2 capture equipment, its enzyme-based solution can generate cost savings in excess of 30 per cent compared to conventional solvent-based processes. Additionally, the Corporation's solution enables the use of low-grade, nil-value heat from industrial sources, dramatically reducing process energy costs.
Initial large bench-scale testing of CO2 Solutions' enzyme-enabled carbon capture solvent with NeuStream® has already yielded very positive results. The upcoming pilot demonstration will capture approximately 10 tonnes per day of CO2. The pilot is scheduled to run for one month, beginning in April 2015, at NSG's Colorado Springs facility. CO2 produced at the facility is expected to be suitable for enhanced oil recovery (EOR) and other commercial applications.
NSG has an on-going approximate US$9.5 million CO2 capture system development project that is supported by a grant from the U.S. Department of Energy's National Energy Technology Laboratory with over US$1.4 million of NSG matching funding. Building on the NETL funded development project, CO2 Solutions will contribute an additional approximate US$450,000 toward the April 2015 pilot for equipment modifications, operations changes and testing for the optimized use of the Corporation's enzyme-based solvent technology with NeuStream®.
"We are looking forward to teaming up with CO2 Solutions to demonstrate this potentially game-changing technology combination for carbon capture," said Dave Neumann, President and CEO of NSG. "We anticipate realizing very significant synergies from the collaboration, making this an important opportunity to rapidly penetrate large existing markets for the profitable use of CO2, as well as provide a viable solution for carbon emissions reduction for large emitters."
About CO2 Solutions Inc.
CO2 Solutions is an innovator in the field of enzyme-enabled carbon capture and has been actively working to develop and commercialize the technology for stationary sources of carbon pollution. CO2 Solutions' technology lowers the cost barrier to Carbon Capture, Sequestration and Utilization (CCSU), positioning it as a viable CO2 mitigation tool, as well as enabling industry to derive profitable new products from these emissions. CO2 Solutions has built an extensive patent portfolio covering the use of carbonic anhydrase, or analogues thereof, for the efficient post-combustion capture of carbon dioxide with low‐energy aqueous solvents. Further information can be found at www.co2solutions.com.
About Neumann Systems Group, Inc.
Neumann Systems Group, Inc. designs and builds emissions control systems for power plants and other industrial applications. NSG's principal product line, NeuStream®, is a suite of emissions control systems that removes harmful pollutants from emissions sources like coal-fired power plants and industrial sources that contribute to ozone, acid rain, respiratory diseases and climate change. The NeuStream® systems are based on an advanced gas-liquid contacting device invented, developed and manufactured by NSG. Founded in 1997, NSG has been consistently profitable in its operations. Further information can be found at www.neumannsystemsgroup.com.
CO2 Solutions Forward-looking Statements
Certain statements in this news release may be forward-looking. These statements relate to future events or CO2 Solutions' future economic performance and reflect the current assumptions and expectations of management. Certain unknown factors may affect the events, economic performance and results of operation described herein. CO2 Solutions undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable law.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE CO2 Solutions Inc.