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Alternative Fuel Technologies Inc. Comments on New KOGAS DME Plant Set for Saudi Arabia

James McCandless, CEO of Alternative Fuel Technologies Inc., commented on the KOGAS plant detailed in the attached article and the acceptance of DME globally as a fuel source.

In an article distributed Oct 21 by Reuters, South Korea’s state-run KOGAS will invest approximately 400 billion Won to build an energy plant in Saudi Arabia. The Maeil Business Newspaper cited sources at the economy ministry and KOGAS as stating that KOGAS would sign a preliminary deal with the Saudi Arabian government on Nov. 2 for the plant in Jubail, which would have an annual capacity of 300,000 tonnes of dimethylether (DME) from 2013.

DME is mainly made from the synthesized gas by cracking natural gas, coal and bio-mass, and is considered cheaper and cleaner than liquefied petroleum gas. 

The full KOGAS article can be found at:

AFTC CEO James C. McCandless stated, “I am not surprised that KOGAS would spend over $330 Million to build a DME plant of this size, as we have been working with KIER (Korean Institute for Energy Research) for several years and we know they see a bright future for DME. We have several installations in the country that have been running successfully for some time now. Asia continues to be a hotbed for growth in the DME industry. I am excited to ship DME fuel pumps to our Korean customers and look forward to a longstanding mutually rewarding relationship. I believe this will lead to widespread adoption of our company’s DME fuel systems throughout Asia and the world.”

About DME

DME is a new ultra-clean diesel fuel replacement that can be produced from abundant resources. These include natural gas, landfill methane, coal and biomass. At current oil prices, DME can be produced and distributed at less than 1/2 the cost of conventional fuel. When burned in a diesel engine, all soot emissions are eliminated and NOx emissions are lowered dramatically without the use of expensive exhaust aftertreatment devices.

About AFTC:

Alternative Fuel Technology Inc. is a research & development organization engaged in the design, development and prototype manufacturing of advanced fuel systems for use with a new alternative fuel — dimethyl either (DME). AFTC has developed practical, low-cost fuel injection equipment for DME fueled vehicles and currently provides complete DME fuel systems for testing and research purposes in addition to retrofit systems that can be used with most diesel engines. The company’s ultimate goal is series production of DME fuel systems for the global automotive market by 2011.

Further information on Alternative Fuel Technologies Inc. is available at:

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