Stockholders Update: Coates International, Ltd. Receives Written Proposal of Incentives Amounting to $787,526,057 U.S. Dollars and a Tax Credit Package of $779,158,557
Tuesday February 10, 12:52 pm ET
WALL TOWNSHIP, N.J.--(BUSINESS WIRE)--Coates International, Ltd. (the “Company”) (OTCBB: COTE - News) – Coates International, Ltd. has received a written proposal from one of our states, to set-up Coates’ mass production and manufacturing operations in that state. These incentives will be spread over 10 years with the creation of new quality jobs, cash incentive of $787,526,057 U.S. Dollars and a tax credit package of $779,158,557. Management is also in direct contact with the Federal Government regarding start-up funding, etc. Management is carefully studying all proposals from all interested states and countries.
Company director, Gregory G. Coates, is now in China and will rendezvous with James Pang, our company’s marketing liaison in Shanghai to arrange presentations of the Coates CSRV engines and products to a number of prominent entities in that country.
Well To Wire Energy, Inc. of Canada has paid approximately $3,500,000 in non-refundable payments to date. The remaining outstanding balance of $7,500,000 is to be paid on or before the 30th of April 2009. There is also a balance of $49,000,000 to be paid to Coates over 5 years, for the United States exclusive license which is in escrow until the balance of $7,500,000 is paid in full.
Coates is proceeding with limited production in its plant in New Jersey as CSRV Generators are complete. Funds will be wired directly from Canada West Corporation Finance, Inc. to Coates International, Ltd. Finance is already in place specifically for the actuation of Coates products to Well To Wire Energy in the amount of $1,600,000,000 U.S. Dollars for the purchase of 7,404 CSRV Power Systems supplied over five years.
Heavy Truck Diesel CSRV retrofit engine has been completed for some time now. This engine is managed by computer systems. Setting up, mapping, etc. is taking longer than anticipated. However, we expect more information on this project will be forth coming as soon as testing starts.
Coates received two GM V8 engines used by Husky Oil of Canada for pumping and compression. These engines are converted to run on natural gas, but the poppet valves do not last, and maintenance is high and expensive. Coates will retrofit the CSRV System to these engines. We have been informed that there are more than 30,000 of these units in one oil rig section alone. This could mean significant revenues for Coates International, Ltd.
As the Company ramps up and enters mass production, management estimates the creation of over 10,000 new jobs at each Coates’ production location. We anticipate production operations will be set up in four states in the United States.
Coates International, Ltd. has completed its five year Business Plan. All existing stockholders may receive a copy if they so desire. Stockholders that live local may pick-up a copy at our plant in New Jersey. Stockholders that are not in the vicinity must pay postage. Please contact Coates International at (732) 449-7717.
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