28 May 2024

Quadrise plc

("Quadrise" or the "Company")

OCP Commercial Framework Agreement

Quadrise Plc (AIM: QED), the supplier of innovative energy solutions for a cleaner planet, is pleased to announce the signature of a Commercial Framework Agreement (the "Agreement") with its client in Morocco, OCP S.A. ("OCP"), an international manufacturing and mining group.

Under the Agreement, Quadrise and OCP will commence commercial discussions with third parties for MSAR® supply to OCP. Simultaneously, the parties have agreed to work together on a paid-for commercial trial at OCP's Jorf Lasfar site ('the Site').

The three components of the Agreement are as follows:

1)  Commencing from the date of the Agreement, Quadrise will approach suppliers (refineries, terminal operators and/or traders) who have the capacity to produce MSAR® to meet OCP's demand. To facilitate discussions, OCP have signed a Letter of Intent stating their intention to enter into a Commercial Supply Agreement with a supplier, who would supply MSAR® to OCP under licence from Quadrise.

2)   Quadrise will provide an update to the technical, economic and feasibility study that was previously issued in June 2022, to convert the Site for the consumption of MSAR®.

3)  Quadrise will supply and install equipment (including a 5 tonne per hour MSAR® Manufacturing Unit) to emulsify locally available heavy fuel oil using MSAR® technology.  A 30-day MSAR® combustion trial will then be carried out on a kiln at the Site. Execution of a Commercial Supply Agreement is conditional upon successful results of this trial.

Commenting on this agreement Jason Miles, CEO Quadrise, said:

"This Agreement marks a hugely significant step for Quadrise. We are delighted to be progressing towards the commercialisation of our technology with OCP, who are world leader in their sector. This Agreement provides a clear pathway to long term commercial revenues and an opportunity to create a supply point for our fuels in the Mediterranean, a strategic location for marine bunkering.

We look forward to progressing commercial supply discussions with prospective suppliers and to working with the OCP team to complete the commercial trial. Based on the success of the previous trial, we have every confidence in its successful conclusion."

Summary of Agreement

Under the Agreement, Quadrise and OCP will immediately start work to identify, and then enter commercial discussions with commercial supply partners.

In parallel, Quadrise will progress the work already carried out under the June 2022 Material Transfer & Cooperation Agreement with OCP, under which MSAR® and bioMSAR trials were successfully completed in November 2023 and a feasibility study for commercial use of MSAR® at OCP's Jorf Lasfar site was prepared.  Quadrise will update the feasibility study to include details of the equipment and methodology to convert the Jorf Lasfar site to the use of MSAR® fuel.

A 30-day MSAR® test at a kiln at the Jorf Lasfar site (formerly referred to as 'Site-A') will be carried out to assess the long-term operational performance of MSAR® fuel. The MSAR® fuel will be manufactured on-site using heavy fuel oil following the installation of a 5 tonne per hour MSAR® Manufacturing Unit and associated equipment.

The Agreement is for a term of one year, unless mutually extended, and may be terminated by mutual agreement or by one party if a breach of the Agreement has occurred. 

For additional information, please contact:

About Quadrise

Quadrise is the supplier of MSAR® and bioMSAR™ emulsion technology, fuels and biofuels, providing innovative solutions to reduce energy costs and greenhouse gas emissions today for clients in the global power generation, shipping, industrial and refining industries.

Learn more at: www.quadrise.com

Follow us on social media:

LinkedIn: @Quadrise Plc

X (formerly Twitter): @QuadrisePlc

About OCP

OCP is a leader in plant nutrition and the world's first producer of phosphate-based fertilizers. OCP provides a wide range of customized fertilizer products to enhance soil, increase agricultural yields, and help feed the planet in a sustainable and affordable way.

Learn more at: www.ocpgroup.ma

This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 ("MAR") and is disclosed in accordance with the Company's obligations under Article 17 of MAR.