Hythane to be Marketed in 15 Chinese Cities to Cut Pollution

Hythane is a mix of natural gas and hydrogen which reduces nitrous oxides and other emissions by up to 50 per cent compared to natural gas.

Published: 03-Apr-2005

An Australian company has signed a deal to market a new low-emission vehicle fuel in China, which recently announced a program to improve the air quality in 15 major cities.

Hong Kong-based Hydrogen China Ltd, a subsidiary of Brehon Far East Pty Ltd, has entered into a conditional agreement with state-owned China Railway Construction Co to establish an equally owned venture to demonstrate, market and roll-out Hythane as a fuel.

Hythane is a mix of natural gas and hydrogen which reduces nitrous oxides and other emissions by up to 50 per cent compared to natural gas.

The deal follows the signing by Brehon Far East - which is 49 per cent owned by Perth-based Eden Energy Ltd - of non-binding agreements with several Chinese cities to undertake a demonstration project before large scale conversions of public buses to Hythane.

Under the latest agreement, China Rail will contribute the first $US1 million ($A1.3 million) in working capital, after which both parties will contribute equally.

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