DynaMotive has reached agreement in principle to develop a 200 metric tons per day pyrolysis plant with an option to develop a further plant with Megacity Recycling Inc., and Ontario, Canada-based company.
DynaMotive expects to enter into definitive agreements within two months for the first plant with construction to begin shortly thereafter.
The plant is expected to be completed early next year.
The company also agreed in principle to grant an option to Megacity for early development of a second plant. In the event of the option being exercised, delivery of the second plant could be expected to occur as early as 2007.
Larry Herman, president of Megacity stated, "The choice of DynaMotive's technology was made following a lengthy and rigorous evaluation process during which we verified the performance of DynaMotive's pilot plants, their scalability and the design and construction process of the latest 100 tonnes per day plant, as well as the status of competing technologies. We concluded that DynaMotive provides state of the art technology capable of meeting our growth plans.