March 13 2017
TEST RESULTS FOR HALLMARK JV FURTHER VALIDATES LWP’S LOW-COST FLY-ASH BASED PROPPANTS
ASX ANNOUNCEMENT 13 March 2017
Energy technology company, LWP Technologies Limited (ASX: LWP) (“LWP” “the Company”) is pleased to provide an update on the completion of lab testing results of the Company’s patented fly-ash based proppants on behalf of the joint venture between LWP and Hallmark (Hallmark JV) ahead of the proposed manufacturing of proppants at the Pune plant in India.
The test work was conducted on newly developed proppants made primarily of Indian fly-ash and clay. A number of raw materials have been tested, in order to ascertain the optimal mix design and raw material inputs with the joint goals of minimizing manufacturing costs, while maximizing compressive strength.
The tests were conducted using systems from Retsch Technology, a world-leading provider of neutral-toanalysis sample preparation equipment. The testing results achieved are a significant and important step, which adds momentum to the Hallmark JV. A full report of the testing results accompanies this ASX release.
In summary, the test results demonstrate that:
LWP also confirms that equipment evaluation for the Pune plant upgrade has almost been completed, save for third party expert evaluation regarding the estimated maximum annual output capacity of the primary sintering kiln at Pune, which is anticipated to be received within the next 30 days.
These latest developments come on top of the United States Patent and Trademark Office (USPTO) recently issued patent protecting the intellectual property surrounding LWP’s lightweight flyash based proppants (Refer ASX announcement 8 March).
LWP CEO Americas Dr. David Henson said:
“These are very positive results and further validate the potential commercial appeal and cost competitiveness of proppants that can be produced at the Hallmark JV facility.”
LWP Chairman Siegfried Konig added:
“The receipt of these latest test results is an important step for advancing the Hallmark JV and a necessary precursor to the upgrade and plant design. We are satisfied with the progress being made on the Hallmark JV, and continue to move forward with a number of key initiatives.
The recent decision by the USPTO to award LWP key patents covering our fly-ash proppant technology, coupled with demonstrations that we can deliver our products in a cost-effective manner, puts LWP in a stronger position to commercialize our revolutionary innovations.
LWP is also pleased to confirm that we are increasing our marketing efforts, as commercial negotiations with licensees and oil and gas contractors continue across a number of markets, primarily in the United States. The increased stability in oil and gas prices is driving greater inquiry and accordingly, we are stepping up our business development efforts in North America.
We look forward to updating shareholders on our progress in India and the United States as we progress key operational and corporate activities. We confirm that LWP is 100% committed to commercialising its proppants technologies.”