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Siegfried Konig, chairman, LWP Technologies Ltd LWP Technologies Ltd (ASX:LWP) has delivered positive results from the ongoing fly-ash test work being undertaken at the company’s Brisbane-based pilot plant.
LWP’s Research & Development (R&D) team has been testing Queensland-sourced fly-ash.
Laboratory results further validate LWP’s path to commercialising cost effective, fly-ash based proppants for use in oil & gas hydraulic fracturing.
Also, financial modelling has indicated LWP’s fly-ash based proppants to be cost effective.
To date, LWP has been primarily focused on competing in the ceramic proppants market, however, the ability to deliver a superior product and compete on price with imported mined frac sand gives the company access to a large portion of the proppants market not previously envisaged.
Siegfried Konig, chairman, commented: “Test work at the Brisbane pilot plant is ongoing and delivering very positive outcomes.
"The fact that the pilot plant can produce a proppant of compressive strength of above 6,000 Psi is clear and further validation of our technology.
"We are confident of improving these results as test work continues.
“The unconventional oil & gas industry is aggressively assessing technology that delivers lower finding and development costs for hydraulic fractured horizontal and vertical wells.
"While the US remains the biggest market, interested parties from a number of countries are assessing our fly-ash based proppants.
"We continue to negotiate with a range of parties and are encouraged by the growing
interest which are at various stages of negotiation.
“With test work ongoing and LWP pursuing commercial discussions, the company is well funded to continue to deliver on its objectives."
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