Eden Energy : EdenCrete Project - US Update

Microsoft Word - 20160125 ASX Announcement- EdenCrete - US Progress -Update

ACN 109 200 900

AUSTRALIAN SECURITIES EXCHANGE ANNOUNCEMENT 25 January 2016 EDENCRETETM - US UPDATE

Highlights

• Colorado EdenCreteTM production scale-up underway - purchase order placed
• Three alternative industrial properties being reviewed in Augusta area for future large scale production scale-up
• Preliminary steps for next GDOT field trial for Class 1 concrete commenced
• 56 day test results of concrete being tested in accordance with ASTM C494 "S" standard due to be received early in February 2016
• EdenCreteTM marketing material being finalised ahead of public release in Las Vegas at the EdenCreteTM exhibition stand at the annual World of Concrete, a major international concrete event (2-5 February 2016)
• Second repeat commercial order for EdenCreteTM received

Details

Perth-based Eden Energy Limited (ASX: EDE) is pleased to announce the following developments in its US EdenCreteTM project:

1. Eden Innovations has placed the purchase order for the design and building of the new reactors in Colorado that will enable the EdenCreteTM production to be increased within the next 8-9 months to approximately 2.4 million gallons of EdenCreteTM p.a.

2. Three alternative industrial properties being reviewed in Augusta area for future large scale production scale-up. All are between 65 acres (26 HA) and 100 acres (40HA) in area, all have good interstate highway access, rail access as well as access to the Port of Savannah. Two of the sites are presently under conditional contract and a detailed due diligence review of each has commenced. The third property, which is part of a largely undeveloped industrial park, is still under review, and is dependent upon when it would be available for occupation.

   
   

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3. The preliminary steps to arrange for the next Georgia Department of Transportation (GDOT) field trial for its Class 1 concrete, which was agreed to by GDOT in November 2015 have commenced. A suitable site where a new section of road or highway is to be laid has to be identified and arrangements made with the relevant contractor that is undertaking the work.

4. The 56 day test results of EdenCreteTM concrete being tested in accordance with ASTM C494 "S" standard are due to be received early in February 2016. The results that will be received at 56 days are for compressive strength, tensile strength and abrasion resistance. As previously reported (EDE: ASX 13 January 2016) the 28 day test results were very encouraging, recording the following levels of improvement when compared with an identical concrete mix that did not contain EdenCreteTM:

   • 41% increase in compressive strength at 28 days (ASTM C39)

   • 32% increase in flexural strength at 28 days (ASTM C78)

   • 29% increase in split tensile strength at 28 days (ASTM C496)

   • 61% reduction in ultimate shrinkage at 35 days (ASTM C105)

5. Eden Innovations has secured an EdenCreteTM exhibition stand at the annual World of ConcreteTM, a major international concrete event to be held in Las Vegas on 2-5 February 2016. The new EdenCreteTM marketing material is currently being finalised ahead of public release at this major trade show.

6. Eden Innovations received its second repeat commercial order for EdenCreteTM from a fabricated concrete products manufacturer that produces and markets high quality concrete tiles in the US.

Georgia Infrastructure Market

In addition to thousands of miles of concrete roads and highways, Georgia has in excess of 15,000 concrete bridges (ranging from small to large), a recent audit of which indicated that over 4,000 were not suitable for repair and need to be replaced over the next 20 years, at an estimated annual cost in excess of $300 million per year.

If the process in Georgia results in a full approval by GDOT of the use of EdenCreteTM in concrete for all its infrastructure being obtained and specifications for its use being developed, it is considered likely to accelerate the process of obtaining similar approvals by the Departments of Transport in other US States, with Eden's longer term objective being the opening up of the national US infrastructure market.

The GDOT approvals of EdenCreteTM based on the I-20 field test and laboratory test results, as previously announced (ASX:EDE 10 December 2015), confirm the very significant progress that has been made towards Eden achieving its longer-term goal of broad penetration of EdenCreteTM into the huge US infrastructure market.

BACKGROUND

EdenCreteTM is Eden's 100% owned, proprietary carbon-strengthened concrete additive, one of the primary target markets for which is improving the performance of concrete used in the construction and maintenance of concrete roads, bridges and other infrastructure. Additionally, it has potential for use in a range of other applications including high-rise building construction, marine and coastal applications, water storage and pipelines, and pre-fabricated concrete structures and products.

Gregory H. Solomon

Executive Chairman

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