CO2 Capture and Sequestration

[Rocketred]

Torr Canada gets $13-million (U.S.) CO2 unit contracts

2008-04-28 08:52 ET - News Release
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TOR Close 2008-04-25 C$ 0.35


Mr. Jacques Drouin reports

TORR CANADA AWARDED US $13 MILLION CONTRACTS TO SUPPLY GAS SEPARATION EQUIPMENT IN NORTH AMERICA

Torr Canada Inc.'s American business unit, ProSep Technologies Inc., has been awarded two contracts to supply carbon dioxide gas membrane separation units for a total value of approximately $13-million (U.S.).

A single-stage CO2 gas membrane separation unit valued at $11,861,645 (U.S.) will be designed and installed at the Occidental of Elk Hills Inc.'s gas quality project to reduce the CO2 content in natural gas from 3.0 per cent to below 1.5 per cent to meet sales gas pipeline specifications. The equipment is scheduled for delivery in February, 2009. Occidental of Elk Hills is a subsidiary of Occidental Petroleum Corp., the largest natural gas producer in California.

A second contract, for a single-skid two-stage CO2 gas membrane separation unit valued at $1,025,375 (U.S.), was also concluded. The equipment will be installed at Hudson's Hope Gas Ltd.'s Peace River project in British Columbia to reduce the CO2 content in coal bed methane gas from 16 per cent to below 2.0 per cent to meet sales gas pipeline specifications. Project is scheduled to be delivered within the fourth quarter of 2008. Hudson Hope Gas is a joint-venture project operated by GeoMet Inc., a developer and operator of coal bed methane properties responsible for the development of five successful large-scale coal bed methane projects in the United States.

"Our process engineers have developed a globally recognized gas treatment expertise, and our Houston-based operations allow us to provide state-of-the-art solutions and value-added services to our growing customer base," said Jacques L. Drouin, president and chief executive officer of Torr. "Four months into the year, our order backlog is at the highest level this company has seen. As we look ahead, we are confident that we will quickly become an important supplier of custom engineered solutions to oil and gas producers around the world."

Including these contracts, Torr Canada's cumulated sales backlog since January stands at over $48-million. Most of these contracts are scheduled for delivery within the next 12 to 14 months.

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