eCombustible Energy LLC, an innovator and provider of customisable hydrogen-based fuel for thermal industrial applications, has received an $11.2 million strategic investment as well as signed a follow-on contract with Pamesa Grupo Empresarial, S.L., one of Europe’s largest ceramic tile producers, to increase the use of eCombustible fuel at their ceramic products factories in Spain. eCombustible Energy’s contract with Pamesa has a term of 10 years and anticipated revenues of over $500 million.
Pamesa Group is a Spanish industrial group dedicated to the design, manufacture and marketing of ceramic products, atomised clays, chemicals, and energy commercialization that meet its customers’ needs, ensuring excellent quality, design and price. The Company sells its products in over 150 countries worldwide.
Under the terms of the agreement, Pamesa is increasing a previous commercial order to replace natural gas consumption with the supply of eCombustible fuel from the company’s patented fuel supply modules, and in conjunction has made a $11.2 million direct equity investment into eCombustible Energy.
“Pamesa is one of the largest consumers of natural gas in Spain, and one of the top five in Europe, making their operations an ideal location to introduce our patented fuel supply modules in the region,” said Jorge Arevalo, Chief Executive Officer and Founder of eCombustible Energy. “As one of the top five tile producers in the world, Pamesa has taken a leading role in its industry’s efforts to adopt a clean energy alternative to manufacture ceramic products, at a competitive and predictable cost considering the volatile price of natural gas and market uncertainty.”
Andersen advised the US company on Regulatory aspects, as well as on the preparation of the contracts for the purchase and sale of the fuel to be generated in the hydrogen production plants that the ceramics company will acquire to replace the natural gas used in its kilns. The agreement envisages an initial supply of up to 300 MWh in two successive phases.
Andersen´s team was led by Public and Regulatory partner Carlos Mínguez, together with director Carlos Morales and senior associate Germán Galindo, from the same area.