Fuel Tech Inc (NASDAQ:FTEK)
Fuel Tech Inc (NASDAQ:FTEK) rallied 12.59% after announcing receipts for multiple air pollution control contracts from customers in the U.S., China, and Europe. The contracts are poised to inject approximately $6.9 million into the company’s balance sheet once implemented.
Fuel Tech Inc (NASDAQ:FTEK) gapped higher on the new contract orders, touching highs of $1.20 a share in the process, before retreating to close at $0.94 a share. The rally marked the stock’s biggest run, having been under immense selling pressure for the better part of the year.
The stock is currently trading in a $0.85-$1.19 trading range at the back of renewed investor interest in the wake of the new contracts. A close above the $0.95 mark could see the stock rally to the $1.20 mark where it faces resistance.
Fuel Tech Inc (NASDAQ:FTEK) is a technology company focused on the development and commercialization of technologies for air pollution, control, and process optimization. The company operates through three segments of Air Pollution control technology, Fuel Chem technology, and Fuel conversion.
Air Pollution Control Contracts
The new contract orders include three orders for the company’s Ultra systems that are to be installed in coal and solid waste fired units in China. Delivery of the systems should begin in the third quarter. The other two orders are for the company’s NOxOUT® Selective Non-Catalytic Reduction (SNCR) systems of which deliveries are poised to begin in the first quarter of 2018.
Fuel Tech has also received an order for its Fuel Tech Inc (NASDAQ:FTEK)’s NOxOUT® SNCR technology to be installed at the U. S. facility. In Europe, the company will upgrade existing SNCR systems with deliveries set to be complete by the end of the fourth quarter.
“These orders reflect Fuel Tech’s ability to provide safe, cost-effective environmental and emission control solutions for units utilizing a variety of fuel sources, including natural gas and solid waste,” said Vincent J. Arnone, President and Chief Executive Officer of Fuel Tech.
The new Air Pollution contract orders add to Fuel Tech Inc (NASDAQ:FTEK) backlog that stood at $21.4 million at the end of June. The Company has so far received orders worth $29 million for the year. The Chief Executive Officer expects significant improvement in the company’s operating performance in the second half of the year, driven by reduced operating costs and backlog to revenue conversion.
I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.
Don’t miss out! Stay informed on $FTEK and receive breaking news on other hot stocks by signing up for our free newsletter!
About the author: Steve Clark is a 23-year Wall St professional with stints in M&A, risk management, and algorithm trading. Steve keeps his head in the game by looking for, and writing about, small companies that often get overlooked by the big investment firms.