Australia: Solar Tower project gets US backers

Global Finance, Apr 2003 by Platt, Gordon

Melbourne-based Enviro-- Mission initiated a Level I American depositary receipt program in the US over-the-counter market.

Bank of New York is the sponsor for the program, which enables US investors to participate in EnviroMission's commercialization of Solar Tower power-station technology in Australia. One ADR is equivalent to 20 shares. EnviroMission listed on the Australian Stock Exchange in August 2001.

Within five years the company aims to be one of Australia's leading producers of clean, renewable energy. EnviroMission owns the exclusive license to German-- designed Solar Tower technology in Australia.

The company's first project, in Buronga, New South Wales, will develop a solar thermal-power station capable of generating enough electricity to supply 200,000 typical Australian homes without emitting greenhouse gases. EnviroMission expects to build another four plants by the end of 2010.The company says each plant will prevent 750,000 metric tons of carbon dioxide from entering the atmosphere annually by replacing coal-burning plants.

The power plants will use the sun's radiation to heat air.The hot air will rise through a concrete tower, which will be 0.Cr mile high, creating an updraft that will spin turbines to generate electricity.Through the use of heat-storage devices, the plants will be capable of generating electricity 24 hours a day.

EnviroMission says the monolithic scale of the project will attract tourism and associated economic benefits. US trading of its shares will provide increased international project visibility and diversification of the investor base, the company says.

A pilot plant using the Solar Tower technology was operated in Manzanares, Spain, from 1982 to 1989 and consistently generated 50 kilowatts of electricity, according to EnviroMission.