ADA-ES Inc. (ADES) stock hikes after sale of joint-venture interest

ADA-ES Inc. (Nasdaq: ADES) stock surged 54.7% to $15.47 Monday afternoon, on word it was selling its Clean Coal Solutions LLC holdings to an affiliate of Goldman Sachs. Volume of 594,000 shares proved nearly six times its normal daily average.

The sale concerns a 15.8% equity interest in Clean Coal, ADA’s 50:50 joint venture with an affiliate of NexGen Resources Corporation, by ADA and NexGen for $60 million to GSFS Investments I Corp., an affiliate of The Goldman Sachs Group, Inc. Closing of the transaction was simultaneous with signing.

Clean Coal’s patented coal technology, CyClean, is a cost-effective coal technology to produce Refined Coal, which reduces emissions of NOx and mercury.

Dr. Michael D. Durham, CEO of ADA-ES said, “We are very pleased to welcome this additional investment by Goldman Sachs. We believe that their continued financial interest in Clean Coal further validates the environmental and financial benefits of this proven emissions control technology.

“As we continue to assess ADA’s liabilities resulting from the arbitration panel’s recent interim award to Norit Americas, Inc. and related indemnity obligations, this cash infusion enhances our balance sheet and our ability to fulfill those obligations.”

ADA-ES is a leader in clean coal technology and the associated specialty chemicals, serving the coal-fueled power plant industry.

Tags: ADES, buzz stocks, Industrial Stocks, nasdaq

This entry was posted on Monday, June 6th, 2011 at 3:40 pm by Glenn and is filed under Industrial Stocks. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.