Australian Company to Market Hythane in China

An Australian company has inked a deal to market hythane – a combination of natural gas and hydrogen – in China.

The fuel reduces nitrous oxides and other emissions by up to 50 per cent compared to natural gas.

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.

Brehon Far East – which is 49% owned by Perth-based Eden Energy Ltd – has signed 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.

China recently announced a program to improve the air quality in 15 major cities.