The first company to sustainably convert oil residues (slops) to marine fuels, Ecoslops, has announced that is has secured further finance to drive its fuel recycling operations for the maritime industry.
This follows the successful operation and commercial validation of the first fuel recycling plant in the Port of Sinès, Portugal, which generated a total €2.7 million of revenue in 2015. The successful issuance of ORNANE convertible bonds for the value of €5.5 million will enable the company to accelerate their fuel recycling operation in the Port of Sinès and drive full capacity by the end of 2016
Since Q4 2015, Ecoslops has imported 10,000 tonnes of slops to the Port of Sinès. By the end of 2016 Ecoslops hopes to be running at 2,500 tonnes per month, equating to 30,000 tonnes per year. Ecoslops has, and hopes to further drive operability and profitability, through the cost reduction of importing slops, which has been reduced by 70%.
Revenue has been generated from services to ships as well as the collection of hydrocarbon residues in the port, driven by the growth of the port itself and the appeal of the value of services Ecoslops provides. Since industrial production began at the port, 1,000 tonnes of marine diesel oil (MDO) and 320 tonnes of light bitumen (XFO) have been sold for a total of €0.3 million.
Furthermore, the development of further new sites for slops recycling, such as in the Antwerp-Rotterdam-Amsterdam region and possibly in Egypt, the Middle East and South Africa, are expected to cost approximately €10 – €12 million each, versus nearly €20 million for the Port of Sinès.
These new sites could have an enhanced production capacity up to 35,000 tonnes per year with Ecoslops strengthening its development to meet the demands for sustainable disposal of slops.
Vincent Favier, CEO, Ecoslops, commented:“Our micro-refinery in the Port of Sinès has shown its capability to transform 98% of hydrocarbon residue into marketable and certified products, exceeding expectations. In conjunction with this, the fall in global oil prices is saturating the market with slops, stretching the physical unloading of slops from ships, as well as their storage and disposal in ports to capacity. This is unsustainable in the short and medium term. Ecoslops’ technology is the only solution to alleviate this situation, and based on the significant success of our first plant in Portugal, which validates the robustness and sustainability of our business model, we feel confident in significantly accelerating the growth of our operations and establishing new plants.”
