SECURITIES AND EXCHANGE COMMISSION
Washington, D.C.
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (date of earliest event reported): August 28, 1998
RENTECH, INC.
(Exact name of registrant as specified in charter)
Colorado 0-19260 84-0957421
(State or other Commission I.R.S. Employer
jurisdiction of File No. Identification No.
incorporation or
organization)
1331 17th Street, Suite 720, Denver, Colorado 80202
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (303) 298-8008
Item 5. Other Events.
Rentech has agreed to conduct a joint demonstration project with
Thermal Conversion Corp. (TCC) of Kent, Washington. TCC is wholly owned
by EnerTek Partners, an investment group managed by Scientific Advances,
Inc. (SAI), a subsidiary of Battelle Memorial Institute. EnerTek
Partners is composed of major natural gas companies in the United States,
including Brooklyn Union Gas System, Columbia Gas System, Consolidated
Natural Gas, Enron Corporation, Equitable Resource Company and Southern
California Gas Company.
The joint demonstration project will evaluate whether TCC's plasma
technology, which uses a proprietary high-power, induction-coupled plasma
torch and high-temperature reactors to convert natural gas into a
tailored synthesis gas, is suitable for use in Rentech's
gas-to-liquids (GTL) process. Synthesis gas, a mixture of carbon
monoxide (CO) and hydrogen (H2) is the intermediate step in all GTL
processes for the conversion of carbon-bearing materials to liquid
hydrocarbons.
During the two phrase, sixteen week project, the viability of using
the TCC plasma technology in GTL plants will be tested at pilot plant
scale and capital costs will be developed. Rentech will contribute
$60,000 to the costs of the project and will also perform certain
services. Upon successful completion of the project, Rentech has the
right to receive a nonexclusive license to use the TCC plasma technology
and a portion of any future license fees and royalties received by TCC
for use of its plasma technology in any other GTL projects. TCC will
provide the plasma system and receive throughput fees on syngas produced
by its plasma system when used with any GTL process, including Rentech's
technology.
Successful use of the TCC system with Rentech's GTL process could
enhance the cost effectiveness of the Rentech Technology. It could also
provide a cost-effective solution for barge mounted GTL processes and
remote off-shore platforms created to convert natural gas reservoirs into
clean liquid hydrocarbons.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this report to be signed on its behalf by
the undersigned hereunto duly authorized.
RENTECH, INC.
Date: September 1, 1998 By: (Signature)
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Dennis L. Yakobson, President
