MCW Energy Group Limited
MCW Energy Group Limited: MCW ENERGY GROUP SIGNS KEY OIL SANDS MATE RIAL SUPPLY AGREEMENT WITH TEMPLE MOUNTAIN ENERGY, UTAH.
MCW Energy Group Limited / Key word(s): Contract June 28th, 2012. MCW ENERGY GROUP SIGNS KEY OIL SANDS MATE RIAL SUPPLY AGREEMENT WITH TEMPLE MOUNTAIN ENERGY, UTAH. June 28th, 2012: Shediac, New Brunswick, Canada/Frankfurt, Germany: MCW Energy Group Limited, a Canadian holding company with two divisions focused on value creation: (1) MCW Fuels Inc., a well-established distributor of gasoline and diesel fuels to a growing list of service stations in southern California, and, (2) MCW Oil Sands Recovery, LLC, which will implement MCW Energy Group’s proprietary oil sands extraction technology on its lease in Asphalt Ridge, Utah, is pleased to announce that the Company has signed a key oil sands material Supply Agreement with Temple Mountain Energy Inc. of Utah. Under this five year Supply Agreement, Temple Mountain will supply MCW with 8,333 tons of oil sands material per month until the year 2016. The terms of the Agreement also include a process-ready, stockpiled inventory of 100,000 tons of oil sands materials which will be instrumental in the start-up of MCW’s 250 bpd pilot plant. scheduled for operation during 2012. ‘The signing of the Supply Agreement with Temple Mountain is a benchmark in our production program, as it provides us with a jump start in oil sands material processing while MCW prepares its own oil sands lease for production,’ stated Dr. R.G. Bailey, CEO of MCW Energy Group. MCW’s management team feel that this timely arrangement will not only save valuable site preparation time, but will also provide an earlier-than-expected revenue flow for the Company. The costs of $ 19.50 per ton (crushed and delivered from Temple Mountain’s nearby lease) will fit well within MCW’s overall projected cost of approximately $ 38.50 USD per barrel. Under the terms of the Agreement, MCW Energy Group also has the option of two extraction unit locations on the Temple Mountain lease site to further minimize material processing costs. MCW Energy Group may also exercise an option to purchase the Temple Mountain lease, which includes a valid mining permit classified as a ‘large mine permit,’ from the state of Utah, one of only two such classified permits in the U.S. Temple Mountain has been processing oil sands materials on its lease site since 2006, supplying asphalt and bitumen products, cleaned sand for hydraulic fracturing and upgraded sweet crude for sale to local refineries. The Temple Mountain lease, with expanded production levels to meet MCW’s extraction unit requirements, has a life expectancy of 25-30 years. About MCW Energy Group: Press/Media/Investor Contact: North America, Note: In particular, the information contained does not constitute an offer of securities for sale or solicitation of an offer to buy securities in the United States of America. Securities may not be offered or sold in the United States of America absent registration or an exemption from registration under the U.S. Securities Act of 1933, as amended. End of Corporate News 28.06.2012 Dissemination of a Corporate News, transmitted by DGAP – a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. DGAP’s Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de |
175635 28.06.2012 |