Agreement of loan facility with Altair Group

09 December 2022

EQTEC plc

("EQTEC", the "Company" or the "Group")

Agreement of loan facility with Altair Group

EQTEC plc (AIM: EQT), a global technology innovator powering distributed, decarbonised, new energy infrastructure through its waste-to-value solutions for hydrogen, biofuels, and energy generation, announces that it has today entered into a loan facility (the "Facility") with Altair Group Investment Ltd. ("Altair"), the Company's largest shareholder.

The Facility

The Facility will provide the Company with an up to £2.0 million unsecured loan with a term of 24 months from the date of execution. The Facility carries an annual interest rate of 8.0% on funds drawn and outstanding, with interest payable quarterly in advance. Additionally, the Company will pay a 2.5% fee for arrangement of the Facility.

The Facility provides that the Company may, at its own discretion, make payment against part or all of the loan in new ordinary shares ("Shares"), such number of Shares to be calculated by reference to the volume weighted average Share price over the five business days immediately preceding the relevant payment date.

Additionally, the Company will issue to Altair Group 666,666,666 warrants with a strike price of £0.0045, being a premium of 55 percent to the closing Share price of £0.0029 on 08 December 2022, valid for a period of two years.

Proceeds from the Facility will support general working capital, acceleration of project sales and technology deployment, in particular for the Company's Market Development Centres ("MDCs").

Related party transaction

Altair has an existing holding of 1,714,091,107 Shares, representing 18.19 percent of the Company's issued share capital and, as such, is a substantial shareholder as defined in the AIM Rules. The Company's entering into the Facility is therefore a related party transaction pursuant to Rule 13 of the AIM Rules.

Accordingly, the directors of the Company, having consulted with the Company's nominated adviser, Strand Hanson Limited, consider the terms of the Facility to be fair and reasonable insofar as the Company's shareholders are concerned.

David Palumbo, CEO of EQTEC, commented:

"We are grateful to Altair for their unwavering support of EQTEC and their continued support of our business strategy. We remain committed to execution of our strategy, driving MDCs and key projects to close, deploying EQTEC technology to more places, more often and growing the business to its full potential."

This announcement contains inside information as defined in Article 7 of the EU Market Abuse Regulation No 596/2014, as it forms part of United Kingdom domestic law by virtue of the European Union (Withdrawal) Act 2018, as amended, and has been announced in accordance with the Company's obligations under Article 17 of that Regulation.

ENQUIRIES

About EQTEC plc

As one of the world's most experienced gasification technology and engineering companies, with a growing track record of delivering operational and commercial success for transforming waste-to-energy through best-in-class technology innovation, engineering and project development, EQTEC brings together design innovation, project delivery discipline and solid commercial experience to add momentum to the global energy transition. EQTEC's proven, proprietary and patented technology is at the centre of clean energy projects, sourcing local waste, championing local businesses, creating local jobs and supporting the transition to localised, decentralised and resilient energy systems.

EQTEC designs, supplies and builds advanced gasification facilities in the UK, EU and US, with highly efficient equipment that is modular and scalable from 1MW to 30MW. EQTEC's versatile solutions process over 50 varieties of feedstock, including forestry wood waste, vegetation and other agricultural waste from farmers, industrial waste and sludge from factories and municipal waste, all with no hazardous or toxic emissions. EQTEC's solutions produce a pure, high-quality synthesis gas ("syngas") that can be used for the widest range of applications, including the generation of electricity and heat, production of synthetic natural gas (through methanation) or biofuels (through Fischer-Tropsch, gas-to-liquid processing) and reforming of hydrogen.

EQTEC's technology integration capabilities enable the Group to lead collaborative ecosystems of qualified partners and to build sustainable waste reduction and green energy infrastructure around the world.

The Company is quoted on AIM (ticker: EQT) and the London Stock Exchange has awarded EQTEC the Green Economy Mark, which recognises listed companies with 50% or more of revenues from environmental/green solutions.

Further information on the Company can be found at www.eqtec.com.