GRNO news - Green Oasis Environmental Inc. Completes Acquisition of Salt Water Disposal Facilities (SWD)
EDMONTON, AB, Jan 27, 2010 (MARKETWIRE via COMTEX) -- Green Oasis Environmental Inc. (PINKSHEETS: GRNO), a Florida corporation which provides environmental remediation solutions to the billion dollar North American market for the cleaning and potential reuse of contaminated solids from slop oil and separating oil from waste water, announced today that Custom Carbon Processing Inc. (CCP), a wholly owned subsidiary of Green Oasis, has completed the purchase of two separate Salt Water Disposal facilities (SWD) in the State of Montana.
The acquisition of the Wibeaux and Sidney facilities also allows CCP full access to a third SWD facility extending CCP's reach into the marketplace and establishing their position in the area. These SWD's are a natural fit to CCP's oil processing operations and will provide not only revenue from fees generated by disposal of production water, but also an infrastructure in the State of Montana in which to set up oil collection depots (tank farms). There are 33 oil & gas producing counties in the State of Montana that CCP can potentially service with these new SWD facilities.
CCP's mobile oil processing unit will travel to these sites on a regular or as needed basis to process the collected oil and sell to Shell Trading (US) Company. Currently, CCP has been storing oil in anticipation of their new Montana infrastructure and is currently sitting on an accumulated reserve of over 50,000 barrels (bbls) of slop oil.
With the completion of this acquisition, CCP will no longer be outsourcing the disposal of their production water resulting from processing their slop oil. The Company can now inject production water down their own wells. These SWD facilities are not only a new added profit center for CCP but they also add a significant cost savings to CCP's operations. This will reduce their environmental footprint and make them more efficient.
These SWDs will save CCP the cost of disposing of 25,000 barrels of water, and the need for 192 trucks to haul that water (based on current stored oil -- not including regular production). There is a demand for more SWD's in the State of Montana to handle production water being generated from drilling in this State. This will also handle the overflow of production water generated by drilling in North Dakota. CCP will be overhauling these sites in order to bring them up to their environmental standards, and will be setting up tank farms as their first priorities. Once upgraded and online, CCP will start accepting water for disposal. The projected volume for these sites will be approximately 7,000 barrels per day and depending on the type of production water disposed, the fees will range from $0.75 a barrel to $1.40 a barrel.
This acquisition becomes a natural fit to CCP's mobile oil processing technology as these first 2 salt water injection wells are scheduled to be operating in the first quarter of 2010. This will also provide CCP with the following opportunities and benefits as listed and not limited to the following:
1) Consistent year round revenue;
2) The ability to offer further services to existing cliental;
3) A new source of oil (an average of 1% oil is emulsified in the salt water);
4) Infrastructure -- CCP gains recognition by having various sites throughout Montana;
5) Oil Collection -- There will be a tank farm set up at every SWD site allowing CCP to store oil until there is a high enough volume to process with their mobile oil processing technology;
6) Allows CCP to become a one-stop-shop for slop oil and waste water disposal.
About Green Oasis Environmental Inc.
Green Oasis Environmental, Inc. (PINKSHEETS: GRNO) is dedicated to acquiring and providing access to world class technologies available today and has chosen to focus its efforts on seeking acquisitions of technology and/or operations concerning the remediation of slop oil, waste engine oil, and tank bottom oils. GRNO has every intention of becoming the single best option for reclaiming oil to pipeline specification from these waste products. Through the Company's state of the art technology, GRNO will be able to process these waste products at one of their facilities or at a customer's site by way of implementing its portable processing technology.
About Custom Carbon Processing Inc.
Custom Carbon Processing Inc. (CCP) is a Wyoming based Company formed in 2006 that has been operating in the Gillette, Wyoming area since its inception. Through the technology that CCP has developed, CCP is able to process slop oil (an unrefined, non saleable oil) into pipeline standard crude. Its current facility has the capabilities of processing up to 1,500 barrels of slop oil with a conversion ratio of approximately 50% to finished crude. Through its ongoing contract, CCP sells the processed slop oil to Shell Trading (US) Company (www.shell.us). Shell Trading (US) Company is a corporation that acts as the single market interface for Royal Dutch Shell companies and affiliates in the United States with offices in Houston, TX (headquarters); Dallas, TX; Denver, CO; Midland, TX; and San Antonio, TX; and has an affiliated Shell Trading company in Calgary, Alberta. Shell Trading buys and sells more than five million barrels per day of hydrocarbons, is one of the largest physical traders of hydrocarbons in the United States and one of the world's largest energy trading companies.
In addition to its Wyoming facility, CCP is currently planning expansion of its processing technology into Montana and North Dakota, home of the Bakken (www.bakkenblog.com) and Three Forks plays, said to be two of the largest oil plays in North America.
For more information on Green Oasis Environmental, Inc. or Custom Carbon Processing Inc., please visit www.greenoasisenvironmental.com or contact Investor Relations at (877) 207-3370.
Safe Harbor
Statements about the Company's future expectations and all other statements in this press release other than historical facts, are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Securities Litigation Reform Act of 1995. The Company intends that such forward-looking statements be subject to the safe harbors created thereby.
The above information contains information relating to the Company that is based on the beliefs of the Company and/or its management, as well as assumptions made by any information currently available to the Company or its management. When used in this document, the words "anticipate," "estimate," "expect," "intend," "plans," "projects," and similar expressions, as they relate to the Company or its management, are intended to identify forward-looking statements. Such statements reflect the current view of the Company regarding future events and are subject to certain risks, uncertainties and assumptions, including the risks and uncertainties noted. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove to be incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated, expected, intended or projected. In each instance, forward-looking information should be considered in light of the accompanying meaningful cautionary statements herein. Factors that could cause results to differ include, but are not limited to, successful performance of internal plans, the impact of competitive services and pricing and general economic risks and uncertainties.
Contact:
Investor Relations
Taylor Capitol, Inc.
Stephen Taylor
(877) 207-3370
grno.ir@greenoasisenvironmental.com
SOURCE: Global Envirosolutions, Inc.
CONTACT: mailto:grno.ir@greenoasisenvironmental.com
Copyright 2010 Marketwire, Inc., All rights reserved.
