Waste heat “fuel” in new highly efficient drying system for biomass

Waste heat “fuel” in new highly efficient drying system for biomass

Svensk Rökgasenergi (SRE) a subsidiary of Opcon AB, the energy and environmental
technology Group, is now launching a new highly efficient drying system for
biomass with considerable environmental benefits. The technology that combines
SRE's existing products within flue gas condensation in a new way with SRE's new
low temperature dryer Renergi LTD, can utilize waste heat as “fuel”. The system
does not need more than 1 MWh of low-temperature heat to remove approx. 2.2
tonnes of water. At the same time, it easily manages to dry biomass with 55
percent moisture content, for example sawdust, down to a moisture content of 10
percent, which is well-suited for production of pellets.  

“This is very efficient in comparison to what is available on the market today,
where steam dryers have been the most efficient up to now. However, the steam
dryers simultaneously require high temperatures as well as primary energy as
they drive out about 1.5 tonnes water/MWh. With our new drying system, we not
only drive out more water per MWh, we can also utilize waste heat to do it,
which reduces fuel consumption dramatically.  It will have a direct impact on
the customer's finances as well as on the environment”, says Lennart Granstrand,
founder and head of development, SRE.

The environmental benefits associated with SRE's new drying system do not just
include lower fuel consumption and the use of waste heat. With the low
temperatures used, the system also offers sharply reduced emissions of
hydrocarbons compared with conventional drying systems. The low temperatures
used in the drying also mean increased safety and less risk for industrial
injuries.

“In the USA as well as in several countries in Central Europe there are strict
restrictions surrounding hydrocarbon emissions that imply costly extra
investments and measures for sawmills and others, which further strengthens the
economic incentives for our system”, says Lennart Granstrand, founder and head
of development, SRE.

Currently, SRE has customers in 10 countries and last year secured its first
order in North America (Canada).  As part of Opcon's stated internationalisation
strategy, we are now also making an effort to penetrate the USA and several
countries in Europe. 

“We anticipate continued strong growth within bioenergy, not least
internationally. With the major customer benefits that we can offer both
economically and environmentally, we have great expectations for this dryer
system going forward”, says Rolf Hasselström, President and CEO of Opcon AB.

“With the acquisition of Saxlund, which is expected to be finalized within a
week, we also anticipate an extremely strong international project organisation,
while at the same time, we can increasingly offer complete solutions to the
customer. In this, our new drying system will be an important component,” says
Rolf Hasselström, President and CEO of Opcon AB.

Customer contact:
Lennart Granstrand, Sales, Marketing and R&D Manager, SRE, tel. +46 8 580 873
01, +46 70 590 61 36

For further information please contact:
Niklas Johansson, vice president, Investor Relations, tel. +46 70 592 54 53

Opcon AB, Box 15085, 104 65 Stockholm
Tel. +46 (0)8 466 45 00, fax +46 (0)8 716 76 61
e-mail: info@opcon.se
www.opcon.se

About the Opcon Group 

Opcon is an energy and environmental technology Group that develops, produces
and markets systems and products for eco-friendly, efficient and
resource-effective use of energy.  

Opcon has operations in Sweden, China and Denmark.   There are around 340
employees. The company´s shares are listed on NASDAQ OMX Stockholm. The Group
comprises three business areas: 

Renewable Energy focuses on generating electricity from surplus heat, bioenergy,
systems for handling natural gas, industrial cooling, heat recovery, drying of
biomass, cleaning of flue gases, air systems for fuel cells and measurement and
monitoring of processes. The business area comprises the following subsidiaries:

Svenska Rotor Maskiner (SRM), Opcon Energy Systems (OES), REF Technology, Svensk
Rökgasenergi (SRE), Värmlands Montage Teknik and the trademarks Opcon Autorotor
and Mitec Instrument. 

Engine Efficiency focuses on ignition systems for combustion engines including
ethanol, natural gas and biogas engines. The business area comprises the
following subsidiaries: SEM, Opcon Technology Suzhou and Laminova Production.  

Mobility Products focuses on technology for positioning, motion and regulation
for electrical vehicles and electrical wheelchairs. The business area comprises
the following subsidiaries: REAC and Balle A/S.