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Drax Group, Power Minerals Join Hands To Sell Pulverised Fuel Ash To Low-carbon Cement Industry

By RTTNews Staff Writer   ✉  | Published:  | Google News Follow Us  | Join Us
rttnewslogo20mar2024

Drax Group Plc (DRX.L), a renewable energy company, on Thursday announced a 20-year joint venture, or JV, agreement with Power Minerals Limited, or PML, to process pulverised fuel ash, or PFA, a byproduct of power generation at Drax power station.

With this, a new facility will process PFA into a supplementary cementitious material, SCM, which can be sold to the construction industry and used in the production of cement with a lower carbon footprint.

PML will construct, own, and operate the new facility, whilst Drax will sell PFA to the JV as well as provide power and water to the site. The new plant is expected to begin operations by the end of 2026, with a projected annual production of 400,000 tons once operating at full capacity.

The new facility will be located adjacent to the Drax power station site, on land leased from Drax Power Limited. There is no capital investment required by Drax, the Group said in a statement.

Further, the company said:"Drax believes the project could generate incremental Adj. EBITDA of c.£5 million pa for Drax post 2027 through to 2046."

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