AnaeCo in JV to explore expansion plans

Bentley-based waste recycling company AnaeCo has teamed up with a private firm to explore the feasibility of expanding its DiCOM waste processing facility to the eastern states.

AnaeCo is currently testing the same facility for the Western Metropolitan Regional Council in Perth, which is expected to be opened later this month.

AnaeCo said today it had entered into a memorandum of understanding with Citywide Service Solutions Pty Ltd to investigate the feasibility of a DiCOM facility in Melbourne, associated with their inner city waste operations.

DiCOM is a system that incorporates advanced sorting, recycling, anaerobic digestion and aerobic composting to recycle municipal solid waste into renewable energy.

Also under the agreement, both companies will explore opportunities to jointly develop and fund DiCOM facilities in Victoria, New South Wales and Queensland.

AnaeCo managing director Tom Rudas said Citywide has considerable operational resources and access to waste streams.

The deal is conditional on the successful operation of the Perth DiCOM facility.

The announcement is pasted below:

AnaeCo (ASX:ANQ) is pleased to announce that it has entered into a Memorandum of Understanding (MoU) with Citywide Service Solutions Pty Ltd (Citywide) to investigate the feasibility of a DiCOM waste processing facility in Melbourne, associated with their inner city waste operations, as well as formulating an agreement to explore opportunities to jointly develop and fund DiCOM facilities in Victoria, New South Wales and Queensland.

Citywide is a leader in the provision of sustainable open space, environmental and infrastructure services. Citywide currently provides environmental, engineering and maintenance services to over 30 municipal governments, commercial organisations, as well as several state government authorities in Victoria and New South Wales. The feasibility study will seek to determine the viability of constructing a DiCOM facility that can process up to 50,000 tpa of MSW.

Tom Rudas, Managing Director of AnaeCo says: "We are delighted about this new opportunity to develop a DiCOM facility in the inner Melbourne area as well as developing a long term relationship with Citywide, which as an organization has considerable operational resources and access to waste streams".

Under the terms of the MoU, construction of the DiCOM facility is contingent upon a number of milestones, including the successful operation of AnaeCo's first facility for the Western Metropolitan Regional Council (WMRC) in Perth. Construction of this facility has been completed, with mechanical testing currently underway, and will be formally opened at a ceremony to be held later this month.