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Chiyoda Corporation (TSE: 6366; ISIN: JP3528600004), Japan’s leading engineering and construction firm, announces that it has reached an agreement with Burmeister & Wain Energy A/S ("BWE;" Head office: Denmark) to license its CT-121TM flue gas desulfurization process technology* for use at Asnaes Power Station, which is owned by the major European energy provider Dong Energy A/S (Head office: Denmark).

The Asnaes coal-fired power station in Kalundborg is Denmark’s largest generating facility, with total capacity of 1,057MW. Under the agreement, Chiyoda will license the CT-121 process to BWE, and BWE will be responsible for engineering, procurement and construction (EPC).

This is the first contract acquired since Chiyoda executed a technology license agreement for Europe with major Danish energy provider BWE and Italian company Salvatore Trifone & Figli S.p.A., the parent company of BWE, in 2004.

In the European market, demand for flue gas desulfurization plants is expected to rise steadily, particularly in Eastern Europe, and Chiyoda expects to acquire more contracts due to the superiority of its CT-121 process technology. The CT-121 process already has a 22 percent share of the US market, where environmental regulations are becoming increasingly stringent. Building on the contract award for the Asnaes Power Station, Chiyoda will increase its sales efforts in order to expand market share in Europe as well. In addition to EPC business, which has been the core business of Chiyoda, licensing of its own developed technologies could be another business area that promises higher profitability with lower risk.

Chiyoda Corporation, headquartered in Yokohama, Japan, provides services in the field of engineering, procurement and construction for gas processing, refineries and other hydrocarbon or other industrial plant projects, particularly for Gas Value Chain Projects, on a global basis including the Middle East, Russia and South East Asian, Africa and Oceania regions. For 60 years, Chiyoda has constantly leveraged its extensive experience and far-reaching global network to give it an unrivaled advantage.

*CT-121 Process (Chiyoda Thoroughbred 121 Flue Gas Desulfurization Prosess)

The Chiyoda Thoroughbred 121 (CT-121) flue gas desulfurization (FGD) process is a unique technology developed by Chiyoda in which sulfur dioxide (SO2) is absorbed from flue gas generated by coal-fired, oil-fired and other types of boilers and removed as gypsum. Unlike conventional processes in which an SO2 absorber is sprayed on flue gas, the CT-121 process uses Chiyoda’s unique absorber, the Jet Bubbling Reactor (JBR), in which the flue gas is blown into water forming a fine bubble bed where SO2 is absorbed, oxidized by injected air, and then neutralized by ground limestone slurry. This technology is highly efficient, enabling low-cost removal of flue gas SO2. Moreover, the plant is compact and easy to maintain. Including the plant scheduled for construction at the Asnaes Power Station, there are currently 87 CT-121 units worldwide.