ECT Hires Independent Adviser to Map Commercialisation Path for 20-Year Tech Asset
ECT launches formal commercialisation review of COLDry technology
Environmental Clean Technologies has commenced a structured commercialisation review of its proprietary COLDry lignite processing technology, engaging RSM Corporate Australia to provide independent commercial and financial assessment. The review follows more than two decades of technology development and marks a strategic shift toward evaluating monetisation pathways for the intellectual property asset.
Faldi Ismail, Executive Chairman
“ECT has spent more than two decades developing COLDry and we believe the technology has reached an important stage in its commercial development. This review is intended to ensure the Board considers the full range of opportunities available to maximise value from the technology and deploy resources toward the most commercially attractive outcomes for shareholders. We look forward to receiving independent advice regarding the various pathways available to ECT.”
The engagement of RSM Corporate Australia signals the Board is moving from open-ended research and development toward structured evaluation of commercial deployment options. RSM’s role is to provide independent analysis to assist Board decision-making, though all final strategic decisions remain with the ECT Board.
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What is COLDry and why does it matter?
COLDry is ECT’s proprietary low-temperature processing technology designed to transform lignite into a value-added product suitable for multiple downstream applications. Lignite is a low-grade brown coal that COLDry processes using a low-temperature method.
The technology has been evaluated across a range of potential applications, with current focus on agricultural products. Processed lignite may be incorporated into fertiliser and soil health products, representing a potential commercial opportunity in agricultural markets.
COLDry’s value lies in its versatility as an intellectual property asset. The technology itself can be deployed across multiple end-use applications, creating potential revenue streams through direct commercialisation, licensing arrangements, or partnership structures. ECT holds an exclusive licence to the technology, positioning the company to capture value through various commercial pathways.
Two-track review examining existing and new opportunities
The commercialisation review encompasses two principal areas:
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Existing Commercial Relationships — This component considers ECT’s current commercial relationships involving agricultural applications of COLDry, including strategic, commercial and structural considerations relevant to the company’s future participation in those arrangements.
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Additional Commercialisation Opportunities — This component assesses alternative applications, potential partners, licensing opportunities, commercial structures and pathways to market that may be available to ECT beyond its existing commercial relationships.
RSM’s engagement covers assessment of commercial merits, risks, capital requirements, timeframes and strategic implications associated with various commercialisation pathways. The firm will provide independent commercial and financial analysis, though the engagement does not constitute an audit and RSM will not provide assurance over its findings.
| Review Track | Focus Areas |
|---|---|
| Existing Commercial Relationships | Strategic, commercial and structural considerations for ECT’s current agricultural partnerships |
| Additional Commercialisation Opportunities | Alternative applications, potential partners, licensing arrangements, commercial structures and market pathways |
The structured approach is designed to ensure the Board evaluates the full spectrum of options available to maximise value from the COLDry technology asset.
Zero Quest relationship under strategic review
ECT is involved in agricultural applications involving COLDry through its commercial relationship with Zero Quest Pty Ltd (ZQ). As part of the broader commercialisation review, ECT will consider its strategic relationship with ZQ and the range of options available regarding future participation in agricultural applications.
The ownership structure separates technology from product development. ECT holds an exclusive licence to the COLDry technology, while ZQ independently owns its fertiliser product development, testing and commercialisation activities. ZQ’s fertiliser product intends to incorporate the use of COLDry technology as well as the repurposing of auxiliary equipment on site at JBD Industrial Park.
The review will consider its strategic relationship with ZQ and the range of options available to ECT regarding future participation in agricultural applications involving COLDry. This evaluation forms part of the broader assessment of how COLDry’s commercial deployment should be structured going forward.
Yallourn property sale extended pending due diligence
$1.3 million transaction remains conditional
ECT has agreed to extend the due diligence period for the sale of part of its Yallourn Property by up to two months, following delays in the purchaser’s due diligence process. The company announced the sale agreement on 16 March 2026 for a purchase price of $1.3 million.
The Yallourn property sale was originally announced on 16 March 2026 as part of a broader strategic pivot away from the hydrogen refinery project for which the site was acquired in 2022, with proceeds earmarked for technology portfolio development.
The purchaser advised that due diligence has been delayed pending responses to information requests from third-party authorities and service providers. Completion of the sale remains conditional on the purchaser satisfying the due diligence condition.
The potential disposal represents non-core asset monetisation that would provide additional capital if successfully completed. ECT will provide further updates on the sale as appropriate.
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What this means for ECT shareholders
The commencement of a formal commercialisation review signals a disciplined approach to capital allocation and strategic prioritisation. After more than 20 years of technology development, the Board’s focus is shifting from research and refinement toward structured evaluation of deployment and monetisation pathways.
The engagement of RSM Corporate Australia as an independent advisor demonstrates governance rigour in assessing commercial alternatives. Rather than continuing open-ended development activities, the Board is systematically evaluating which commercialisation pathway offers the most attractive risk-adjusted returns for shareholders.
The review encompasses both existing relationships and new opportunities, ensuring the Board considers the full range of options available before committing resources to a particular commercial structure. This methodical approach to realising value from a long-developed intellectual property asset may provide clarity on ECT’s strategic direction and potential revenue pathways in coming months.
ECT will provide updates as the review progresses and as material decisions are made regarding the future commercialisation of the COLDry technology.
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