Under the agreement, Huamin commits to construct an initial 1.5 million ton per annum clean coal facility, to be followed by five million ton per annum additional production increments over the course of the 30-year contract.
The deal provides for capacity increments to be installed either directly by Huamin, or through sub-license agreements.
CCTI will receive one-time license fees based on installed capacity, plus ongoing royalties based on annual production over the life of the contract.
Initial license fees to CCTI will commence following the completion and acceptance of the initial government-mandated feasibility study(ies) process.
Professional services for the engineering design, procurement and construction of the initial and all subsequent plants will be under the oversight of SAIC Energy, Environment & Infrastructure.
