PRM Energy Systems, Inc. was originally incorporated in 1973 under the laws of Arkansas. The technology for the biomass fired reactor/gasifier was developed and patented under the direction of Mr. Ron Bailey, Sr. while President of Producers Rice Mill Inc., (1967-88). The first two gasifiers were installed in 1982 to gasify rice husks to produce process heat and steam for a large rice parboiling facility. The energy from the gasification of rice husks in the PRME gasifier displaces natural gas in the dryers and boiler.

Bailey retired from Producers in 1988 and acquired PRM Energy Systems, Inc. (PRME) along with the patents, technology and trade secrets for the PRME reactor/gasifier system.

During the period 1984-88, many types of biomass fuels were tested in a full-scale PRME gasifier, i.e.: rice hulls, rice straw, chicken litter, green bark, sawdust and chips, peat, wheat straw, corn cobs and stubble, peanut hulls, RDF (fluff, flake and pellet), petroleum coke, cotton gin waste, cotton seed hulls and low grade coal. All of these waste fuels were successfully converted to clean hot gas. PRME's gasification technology has the longest performance record for rice residue fired systems in existence: since 1982 in the United States, 1985 in Australia, 1987 in Malaysia and 1995 in Costa Rica.