MTM Capital Partners, a UK investment manager that invests in the efficient and safe use of resources and the reduction of environment-damaging emissions, is collaborating with the US Envi
MTM Capital Partners, a UK investment manager that invests in the efficient and safe use of resources and the reduction of environment-damaging emissions, is collaborating with the US Environmental Protection Agency to advance coal mine methane recovery and use projects in China, according to MTM chairman Geoffrey Isaac.
As part of the priority initiatives for energy and the environment addressed by the US-China Strategic Economic Dialogue, the two countries plan to develop up to 15 large-scale coal mine methane capture and utilisation projects in China by 2011. The dialogue was established in September 2006 to provide a forum in which to consider and address economic challenges and opportunities.
The EPA has committed resources to develop feasibility studies to conduct detailed technical and economic evaluations for recovery and use of methane at underground coal mines as part of its collaborative efforts with China through the Methane to Markets Partnership.
MTM, a subsidiary of alternative investment manager Man Group, has established the USD600m China Methane Recovery Fund, which provides direct investment to develop and implement turnkey coal mine and landfill methane recovery and use projects.
A member of the Methane to Markets Partnership, MTM is committed to public-private partnerships and engages with supranational initiatives such as the Clean Development Mechanism of the Kyoto Protocol, which aims to cut greenhouse gas emissions while promoting the use of clean energy.
MTM is working with Advanced Resources International, a US company selected by the EPA to undertake feasibility studies to evaluate potential coal mine methane capture and use projects in China.
The EPA and other federal US organisations have fostered public-private partnership and co-operation in China with capacity-building initiatives and through developing information resources to overcome communications barriers and encourage investor interest from the private sector.
‘Private-sector foreign direct investment will be required to enable China to reach the environmental goals of its eleventh Five-Year Plan,’ Isaac says. ‘The EPA is one of the most authoritative bodies in relation to the abatement of anthropogenic greenhouse gas emissions including coal mine methane. The US is also a global leader in the recovery of coal mine gas and we are delighted to be working with ARI, which has tremendous expertise and experience in China’.
Jon Kelafant, senior vice-president of Advanced Resources International, says: ‘In a market with evolving regulations, the experience and investment approach of MTM positions them well for potential coal mine methane capture and utilisation projects. MTM has developed a thorough understanding of the technical and commercial challenges faced in undertaking these projects and we look forward to working with them in China.’
MTM and ARI expect a site for a coal mine methane recovery and utilisation feasibility study to be identified soon as a result of their activities in China.
Man, which traces its origins back to a brokerage founded in 1783, is today an alternative investment management business with some USD79.5bn in assets in funds for institutional and private investors and employs 1,800 people in 13 countries. Its subsidiary MTM Capital Partners Limited makes direct principal capital investments in sectors involved in the efficient and safe utilisation of resources and the reduction of environment damaging emissions, notably the converging energy, resources, infrastructure and environmental sectors.
