The grant comes after the North Carolina Rural Infrastructure Authority (NCRIA) voted to support the project last week.
“We are delighted to receive this grant from the NCRIA and their vote of confidence as we continue to make progress on delivering our first commercial CoalSwitch product to market, which is our primary focus,” said chief executive Michael Rowan.
“Importantly, Lumberton provides a foundation for our onward expansion as it benefits from proximity to multiple power stations as well as the US Eastern Seaboard, ensuring AEG is connected to established export routes for sales of CoalSwitch domestically and internationally.”
Working with its partners in North Carolina, Active is looking to make Lumberton the base of its CoalSwitch operations in the US.
It will be the company’s first permanent production facility, employing up to 50 members of staff.
The 415,000 sq ft plant, which also comes with 151 acres of surrounding land, is situated in “prime lumber districts” where it will secure feedstock for its CoalSwitch biomass technology.
CoalSwitch is a fuel substitute made from waste wood, which would otherwise have been left to rot following forestry operations. It can replace coal in existing coal-fired power stations without requiring plant modifications.
In early afternoon trading, Active Energy shares were 3.2% higher at 0.49p.
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