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(Sharecast News) - Quadrise reported continued progress across its marine, industrial, and low-carbon fuel projects in an update on Friday, despite challenges earlier in the year.
The AIM-traded firm, which was holding its annual general meeting, said it was advancing its marine trials with Cargill NV and MSC Shipmanagement, with a three-way binding trial agreement expected by the end of December.
Following the agreement, trial equipment would be installed at the Mac2 terminal in Antwerp, with production and testing of MSAR and bioMSAR fuels scheduled to begin in the first quarter of 2025.
A letter of no objection (LONO) trial was expected to follow, alongside preparations for a commercial supply agreement and marine-sector bioMSAR operations.
Preparations for a 30-day commercial trial at OCP's Jorf Lasfar site in Morocco were meanwhile complete, pending client confirmation of production schedules.
Discussions for long-term supply agreements are underway, contingent on successful trial results.
That aligned with Quadrise's strategy to expand industrial adoption of its MSAR technology.
Quadrise added that it was analysing treated heavy sweet oil samples from Valkor's first well in Utah, with commercial testing to determine MSAR viability for marine and power markets in the US.
Valkor was aiming to scale production to over 100 barrels per day by December, conditional on securing project financing.
Successful financing would trigger milestone payments to Quadrise under its site licence and supply agreement.
In Southeast Asia, Quadrise said it was negotiating with a refinery operator for an MSAR trial, with a trial agreement anticipated in the first quarter of 2025.
The trial could lead to broader applications in Singapore, a major global bunkering hub.
Similarly, in Central America, discussions with Panama's Sparkle Power were advancing positively, with a trial agreement for MSAR and bioMSAR expected early next year.
Quadrise said it had also completed testing of a B55 bioMSAR blend, which reduced NOx emissions by 59%, cut well-to-wake CO2 emissions by 38%, and enhanced engine efficiency by 7% compared to diesel.
Development was underway on waste-based biofuel blends for B100 bioMSAR Zero, a fully sustainable biofuel, targeted for commercial launch ahead of the original 2030 timeline.
The company added that it was engaging with potential customers, refineries, and technology partners globally to expand adoption of its fuels.
Additionally, Quadrise's board said it was seeking to recruit a new non-executive director to support its scale-up as it prepares for anticipated commercial milestones in 2025.
"Whilst progress during the last 12 months has been slower than had been anticipated at the last AGM, time has been well spent with each of the company's key projects now nearing important milestones on their pathways to commercialisation," said chief executive officer Jason Miles.
"With further agreements covering trials in South East Asia and Panama being progressed and an expanding business development pipeline generating opportunities with other potential customers, suppliers and technology partners, Quadrise is now well positioned to play a key part in accelerating the global transition away from fossil fuels.
"Energy economics, environmental considerations and regulatory emissions compliance increasingly support the business case for MSAR and bioMSAR technology."
Miles said that with "favourable" market dynamics, the company planned to progress opportunities with new clients and channel partners, building on the momentum gained in this last year.
"Significant progress has also been made developing new biofuel feedstock options for bioMSAR and bioMSAR Zero.
"The time for Quadrise technology delivery is now and the whole team is determined to achieve this goal.
"On behalf of the board, I would once again like to thank our loyal shareholders for their continued support, and I look forward to seeing many of you at the AGM in person."
At 1154 GMT, shares in Quadrise were up 15.92% at 1.79p.
Reporting by Josh White for Sharecast.com.
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