NET Power Receives Grant from the UK Department of Energy and Climate Change
to Support Development of Breakthrough, Clean Power Technology
DURHAM, North Carolina, Nov. 21, 2012
DURHAM, North Carolina, Nov. 21, 2012 /PRNewswire/ -- NET Power today
announced the receipt of a £4.9 million grant from the UK Department of Energy
and Climate Change as part of the Carbon Capture and Sequestration (CCS)
Innovation Program £20 Million Competition. The grant will fund further R&D
and manufacturing of both developing and proven high-performance materials
that enable NET Power's novel, clean, low-cost power generation technology to
reach extremely high efficiencies.
NET Power, Toshiba Corporation (TOKYO: 6502), a world-class technology
manufacturer, Goodwin Steel Castings (LSE: GDWN), a global expert in
metallurgy and castings based in the UK, and The Shaw Group (NYSE: SHAW), a
leading engineering, procurement and construction firm, will utilize these
advanced materials in NET Power's 25MW natural gas demonstration plant.
"Through this competition and the CCS Commercialisation Programme, The
Department of Energy and Climate Change is focused on making CCS more
affordable, and they recognize NET Power's potential as a breakthrough
technology," said NET Power CEO Bill Brown. "Our step-out process leaps over
current CCS technologies by producing electricity that generates zero
atmospheric emissions and is less expensive than cheap, carbon-emitting
technologies. We are excited to work with the UK government to commercialize
this important technology."
NET Power's new fossil fuel-based power technology is low-cost and highly
efficient – on par with state-of-the-art natural gas combined cycle plants. In
addition to generating electricity at strongly competitive costs, though, NET
Power also eliminates all atmospheric emissions, including CO2. To do this,
NET Power utilizes a novel, oxyfuel, high-pressure, supercritical carbon
dioxide thermodynamic cycle—named the Allam Cycle after lead inventor Rodney
Allam of Chippenham, England. Mr. Allam was previously the Director of
Technology Development at Air Products and Chemicals PLC. He was a lead author
for the IPCC report on carbon capture and storage and received the 2012 Global
NET Power is different from typical carbon capture technologies, which require
the addition of new processes and equipment to current power systems. Rather
than use this approach, which results in increased costs and reduced
efficiency, NET Power developed a new power generation technology that was
designed from the ground up to eliminate air emissions. The resulting system
produces low-cost electricity and a pipeline-ready CO2 byproduct that can be
sequestrated or used in enhanced oil recovery without requiring additional
expenses and processes.
"This announcement helps maintain the UK's place leading the world in CCS, to
deliver an affordable and secure low carbon energy mix," said Energy and
Climate Change Secretary Edward Davey. "Carbon Capture and Storage is a huge
opportunity for our world class research industry. The UK's clear commitment
to CCS is underlined by innovative companies like NET Power and Toshiba's
choosing British manufacturer Goodwin for its world leading expertise."
Under the terms of the grant, Goodwin and Toshiba will further develop and
manufacture advanced materials to be used in the turbine that Toshiba is
developing for the NET Power process. These materials will lead to improved
NET Power cycle performance. The DECC grant will directly create high-value
R&D and manufacturing jobs in the UK, and it will solidify Goodwin's position
as a global leader in advanced materials manufacturing. NET Power and Shaw
will support overall project engineering and integration of the materials into
the NET Power cycle. NET Power's UK-based subsidiary, NET Power Europe, will
administer the grant and conduct other R&D in the UK.
NET Power's Allam Cycle is a flexible platform technology that spans natural
gas, coal, solar, nuclear, enhanced oil recovery and liquefied natural gas
applications, each of which will directly address rising electricity costs
while enabling aggressive emissions reduction targets to be met. DECC's grant
supports NET Power to lay the foundation for a coal development program that
will result in lower-cost coal-fired power generation that eliminates all
atmospheric emissions of CO2, SOX, NOX and particulates.
NET Power, Shaw, Toshiba, and Exelon Corporation (NYSE: EXC), the leading U.S.
competitive energy provider, have partnered to develop a 25MW natural gas
plant demonstrating NET Power's technology; the plant is expected to begin
operating in late 2014. Construction of the first 250MW NET Power plant is
expected to begin in early 2015. In June 2012, Shaw committed up to $50.4
million in cash and in-kind services to the effort, subject to certain
milestones, acquiring up to 50% of NET Power LLC as those milestones are
NET Power LLC is a Durham, N.C.-based company affiliated with 8 Rivers Capital
LLC, the inventor and early developer of the NET Power technology. For more
information, please visit NET Power's website at www.NETPower.com .
Contact: Walker Dimmig, +1-919-667-1800, Walker.Dimmig@NETPower.com
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