ADA-ES announces DSI and ACI contracts worth US$ 15 million

ADA-ES Inc. has announced that it has been awarded two contracts for activated carbon injection (ACI) systems and its wholly-owned subsidiary BCSI LLC has been selected to supply up to four dry sorbent injection (DSI) systems as part of a larger air pollution control contract for a fleet of coal-fired generating plants. These contracts have a total value of up to US$ 15 million if the fleet customer elects to purchase all of the contracted systems. These projects will begin generating revenues immediately and deliveries are scheduled over the next 15 months.

These awards are the result of the recent Environmental Protection Agency (EPA) Mercury and Air Toxics Standard (MATS) and the Cement MACT, which require coal-fired power plants and cement plants to reduce emissions of mercury and sulfuric, hydrochloric and other acid gases by April 2015. These regulations are expected to generate a market in excess of US$ 1 billion for ACI and DSI systems, and ADA hopes to maintain a combined market share of at least 35%. This would generate over US$ 300 million in revenues for the company over the next three years. These regulations have created a significant increase in procurement activities and the company has been busy responding to this market. ADA has active bids on over US$ 119 million for ACI systems and over US$ 140 million on DSI systems.

Dr. Michael Durham, president and CEO of ADA, said: “We are very pleased to announce these contracts, which represent the start of this new regulatory driven market. We expect that additional contracts for DSI and ACI systems will be awarded soon.”

Adapted from press release by Jonathan Rowland.