Shares of EQTEC PLC (LON: EQT) fell 5.8% despite announcing that it was working on recommissioning a 1.2MWe forestry waste (biomass) project in Belišće, Croatia.
The plant was first commissioned in 2016 before being decommissioned by its current owner. The project follows the same script as the Italia MDC project, which was recently recommissioned.
Eqtec wants to project to act as a Market Development Centre (MDC) similar to the Italia MDC plant in a move that will see the company directly involved in the project, which is expected to resume operations towards the end of 2022.
The company is doubling down on its MDCs to showcase how its advanced gasification technology can be used in a power plant to produce electricity linked to either a national or local grid.
Eqtec’s latest moves demonstrate a revival in its operations, which is not accurately reflected in its share price performance as its shares have fallen 48.8% this year.
The company is currently in discussions with potential funders and expects to secure funding for the project soon. The project is expected to handle 8,000 metric tonnes of locally sourced waste biomass annually.
Eqtec shares are trading above the support level I highlighted in my last article on the firm, which presents a decent, albeit aggressive, trade opportunity. However, conservative traders may wait for more confirmation, such as a solid bullish candle, before jumping in.
*This is not investment advice.
Eqtec share price.
Eqtec share price fell 5.79% to trade at 1.30p, falling from Monday’s closing price of 1.38p.
Should you invest in Eqtec shares?
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