LONDON, December 2, 2015 /PRNewswire/ --
Mercury pollution regulations have created a new multi-billion-dollar energy industry for next-generation, low-cost mercury emissions control tech, with Midwest Energy Emissions Corp. (MEEC) in the spotlight after closing $2 million in additional financing and consolidating its unique market position.
When the EPA announced its new regulations that took effect on 16 April, opening the floodgates for new mercury remediation technology companies to save the coal industry, they mandated the creation of a $2 billion business annually, and MEEC quickly secured its status as a provider to the $200-billion+ coal-fired power industry.
By mid-2016, the bulk of the remainder of America's coal-fired plants will also come under strict regulations, and MEEC has already secured $110 million in long-term contract revenues for 2016-2018.
MEEC's technology allows coal-fired power plants to comply with the EPA's strict MATS rule mandating all US plants larger than 25 mega-watts to remove roughly 90% of mercury from emissions.
This massive market is set to grow exponentially with total annual North American expenditure on compliance expected to exceed $2 billion. MEEC estimates its US market opportunity alone at 800-850 coal-fired EGUs with an average $2.5 million revenue opportunity each.
Against this promising forecast, MEEC has been experiencing rapid growth, with revenues up 164% from Q2 to Q3 this year, and next year's revenues expected to be $18 million plus.
MEEC is riding high on expectations that its market cap chould exceed $100 million, though it is presently valued at under $20 million.
Any confusion about the EPA's MATS regulations after the Supreme Court remanded a part of the regulation to a lower court has also been laid to rest. On 1 December, the EPA published a statement making it clear that there will be no change in the MATS regulations or the timetable for implementing them.
By. James Burgess of Oilprice.com
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