TORONTO -- (Marketwired) -- 06/04/13 -- MCW Energy Group (TSX VENTURE: MCW) (MCW.V) ("MCW"), a Canadian holding company involved in fuel distribution and the creation of oil sands extraction technology, today announced successful results of processing random Alberta oil sands tailings ponds samples in a series of preliminary laboratory tests.
The separation/extraction tests utilizing MCW's proprietary extraction technology were recently completed by separating solid and liquid phases, analyzing the contents of both phases and then implementing MCW's extraction technology which is designed to extract all types of hydrocarbons from both solid and liquid phases. Each of the tests were performed utilizing MCW's protocol three times. The analyzed samples consisted of a sand/soil mixture: 41% - 41%, water: 25% - 26%, Bitumen: 31% - 32%, cellulose and other impurities: less than 1%. Clean sand/soil and clean water with the solids content of less than 0.36% were obtained as three separate end products of the MCW extraction process. The solid phase of the samples processed consisted of 6% to 6.5% of bitumen. The balance of the solid phase consisted of sand, clay and impurities of cellulose fibres. Subsequent to the MCW extraction process, all sand/clay, cellulose derivatives were practically removed from both the liquid phase and the bitumen. Clean water (for subsequent use in continuous processing and/or irrigation ) was produced as an end product. Bitumen was produced as a separate end product.
Using similar laboratory test protocols, MCW will now proceed with a second series of laboratory tests as per their signed Undertaking and Acknowledgement to obtain a third party independent validation from an acceptable Qualified Person as defined by NI-51-101 which must be acceptable by the Exchange in order to verify MCW's Extraction Technology.
Dr. Vladimir Podlipskiy, Chief Technology Officer for MCW Energy Group was pleased with the initial tailings pond extraction results. "Using our proprietary extraction technology, our first test results illustrated up to 99.9% of extracted hydrocarbons from these tailings pond samples from Alberta....the same rate of extraction that we've obtained in a laboratory environment from our Utah feedstock/ore samples," he stated. The test results on these tailings pond samples could be significant to MCW as they provide several new potential revenue streams:
1. Technology licensing fees from joint venture partners worldwide in up to 70 countries with extensive tailings pond infrastructures.
2. Clean up and remedial fees from oil companies and/or governments.
3. Sale of hydrocarbons retrieved. The bitumen content of tailings ponds is usually up to three times the average hydrocarbon content of oil sands feedstock.
The Pembina Institute of Calgary estimates that over 200 million litres of mature fine tailings are produced each day in Alberta alone .These toxic deposits are stored indefinitely in open lakes that currently cover an area 50% larger than the entire city of Vancouver, B.C. Oil sands processing companies used over 170 million cubic meters of water in 2011 and the storage of these tailings potentially risk the ecosystem of the Athabasca River which flows into one of the world's largest freshwater deltas. MCW expects that after processing tailings ponds with its extraction technology the recovered water may be reused in standard oil sands extraction processes and/or for irrigation.
MCW Energy Group intends on licensing its technology, including the processing of tailings pond deposits on a worldwide basis. Last March 27th, 2013, MCW announced an intellectual property licensing agreement with a private arm's length Canadian company which has agreed to act as the sole agent and exclusive licensee of MCW's extraction technology for the countries of Canada and the Republic of Trinidad & Tobago. MCW Energy Group is currently assembling an initial 250 bbl/day extraction unit on its lease in Asphalt Ridge, Utah and expects to be testing during the months of July and August, 2013.
About MCW Energy Group:
MCW Energy Group Limited is focused on value creation as (i) a distributor of gasoline and diesel fuels to service stations in Southern California for over 72 years, having revenue in the fiscal year ending August 31, 2011, of US$241.5 million, most recently reported having revenue of USD$363.3 million for the fiscal year ending August 31, 2012 and, (ii) as a developer of proprietary technology for the extraction of oil from oil sands at its first field in the Uinta Basin of Utah, USA. MCW's management team is comprised of individuals who have extensive knowledge in both conventional and unconventional oil and gas projects and production, as well as refinery and fuel distribution experience.
The information in this news release includes certain information and statements about management's view of future events, expectations, plans and prospects that constitute forward looking statements. These statements are based upon assumptions that are subject to significant risks and uncertainties. Because of these risks and uncertainties and as a result of a variety of factors, the actual results, expectations, achievements or performance may differ materially from those anticipated and indicated by these forward looking statements. Forward-looking statements in this news release, include, but are not limited to the commercial viability of the technology and the extraction plant, economic performance and future plans and objectives of MCW. Any number of important factors could cause actual results to differ materially from these forward-looking statements as well as future results. Although MCW believes that the expectations reflected in forward looking statements are reasonable, they can give no assurances that the expectations of any forward looking statements will prove to be correct. Except as required by law, MCW disclaims any intention and assumes no obligation to update or revise any forward looking statements to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting such forward looking statements or otherwise.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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For more information, please contact:
MCW Energy Group
Paul Davey
Communications
Tel: +1 (800) 979-1897 (Ext. 3)
Cell: 1-778-389-0915
Email: pdavey@mcwenergygroup.com
