Xebec Adsorption Inc., a provider of biogas upgrading, natural gas and hydrogen purification solutions for the clean energy market, announced today that it has received an order for a M-3200 Pressure Swing Adsorption (PSA) system to upgrade natural gas at a greenfield chemical plant to be constructed in Valayat, Gujarat, India. The total value of the contract is approximately CAD2.3 million.

Xebec\'s PSA was purchased by Grasim Industries Limited, a leading producer of Viscose Stable Fiber (VSF) in Asia. Xebec\'s PSA will upgrade low quality natural gas used as a feed stock in the production of carbon disulphide (CS2), a chemical used in the production of VSF. Grasim is a division of the Aditya Birla Group (Birla), one of the largest privately-held industrial conglomerates in India.

\"This is Xebec\'s second sale of a M-3200 PSA to the Aditya Birla Group, following an earlier unit that was successfully installed and commissioned in 2011 at a Birla VSF plant in Indonesia. In both these projects, Xebec\'s PSA\'s assists the customer to increase the productivity and reduce the maintenance downtime of their CS2 synthesis process,\" said Andrew Hall, Xebec Vice President for Asia/Pacific.

\"Careful control of feed gas quality is critical for a number of chemical processes that use natural gas as a feedstock. At the same time, gas supplies in many parts of Asia are becoming increasingly variable, as new lower-quality gas wells and fields are brought on stream. Xebec\'s M-3200 PSA provides a compact, reliable and cost effective solution to remove carbon dioxide and C2+ hydrocarbons from sub-quality natural gas, increasing the methane content to meet the demanding quality specifications required by industrial consumers of natural gas.\" said Hall.

Commissioning and start-up of the M-3200 PSA is expected to take place in the third quarter of 2012. Terms of the agreement were not disclosed.