Hunton Energy Locates Innovative Gasification Plant in Texas

Thu Dec 13, 2007 6:00am EST

* Reuters is not responsible for the content in this press release.

Clean Energy SNG Plant Slated for Dow Chemical Facility
HOUSTON--(Business Wire)--Hunton Energy announces today a Memorandum of Understanding (MOU)
with The Dow Chemical Company (NYSE:DOW) for agreements resulting in
Hunton Energy building and operating a Synthetic Natural Gas (SNG)
plant at Dow's Oyster Creek Facility on the Texas Gulf Coast.

   Under the proposed 15-year agreement with Dow, the Hunton Energy
facility is slated to produce SNG and will use steam turbines to
produce additional power from its byproduct steam. Innovative
processes in Hunton's gasification system will capture 100 percent of
the CO2 emissions from the facility.

   "This agreement with Hunton Energy is an example of how Dow is
pursuing diverse sources of energy as part of our overall strategy to
mitigate rising feedstock and energy costs," said Rich Wells, vice
president of Energy for Dow Chemical. "As an added benefit, the
process used to produce the steam consumed by Dow will capture CO2
emissions to be sold for enhanced oil recovery use. By switching from
our site-produced steam to this new technology offered by Hunton, we
will be reducing Dow's CO2 emissions in Freeport and thereby
reinforcing our publicly stated Climate Change sustainability goal to
reduce the company's greenhouse gas emissions by more than 20 percent
by 2015."

   Hunton Energy's concept has advanced beyond what any energy
provider currently is offering. The Freeport Project will be the first
commercial energy facility to use an industrial by-product to generate
clean energy. "There has been a great deal of conversation regarding
CO2 capture; we are committing to it from day one of operation," says
Rocky Sembritzky, Hunton Energy President.

   Every byproduct from the plant is captured or used. Synthetic
natural gas (SNG) will be manufactured by reacting pure oxygen with
petroleum coke and biomass (wood chips, rice hulls, etc.) to produce
syngas (CO, H2, H2S, and CO2) and vitrified (glassy) slag. The syngas
will be subsequently converted into methane (SNG) and three
byproducts: sulfur (liquid), high purity CO2 and slag.

   The byproduct sulfur will be sold into the fertilizer market. The
byproduct slag will be sold into the concrete/aggregate market. The
byproduct CO2 will be sold into the enhanced oil recovery market to
stimulate oil production.

   "Our vision from the beginning has been to validate gasification
as the next generation of energy production and in doing so take a
major step towards U.S. energy independence," says R.O. Hunton,
Chairman of Hunton Energy.

   Hunton Energy estimates a fourth quarter 2008 groundbreaking for
the project.

   Hunton Energy is an independent power producer, committed to clean
energy generation and sustainable energy independence. Pioneering new
technologies and processes, Hunton brings innovation to the forefront
of power production. Hunton's Freeport SNG will capture 100% of
byproducts, including carbon dioxide (CO2).

For Hunton Energy
Robin Paoli, 415-244-2732
rpaoli@mmihouston.com

Copyright Business Wire 2007
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