"We Are Seeing a Strong Interest in GHU Technology with Oil Prices on The Rise"
RIYADH, SAUDI ARABIA / ACCESSWIRE / October 27, 2021 / Genoil Inc (OTC PINK:GNOLF) signed an agreement with the nephew of King Salman to develop a greenfield Genoil Upgrader with a capacity of 600,000 barrels per day in the Kingdom of Saudi Arabia. This complex will be one of the largest refining or upgrading complexes in the world on the scale of Aramco's Ras Tanura refinery, the largest in the Middle East or Exxon's Singapore Refinery. Genoil estimates the project to cost approximately $5 billion USD, the project will exclusively be utilizing Genoil's Upgrading Technology "GHU" Process. Genoil will license its proprietary technology, process design package, training, and advisory services, as well as proprietary catalyst and equipment supply. The syncrude produced from this project will be very environmentally friendly because it will have no refining residue and instead produce a much greater yield of transportation fuel.
The Parties have agreed to utilize Beijing Petrochemical Engineering Company to perform a detailed feasibility study, the Front-End Engineering Design (FEED), to do the project management and act as project EPC contractor. They will also be the EPC contractor for the construction of any required infrastructure such as storage tank farms, project offsite facilities including a product export terminal, and pipelines.
The project will be very stimulative to the local economy and is estimated to create a minimum of eighteen thousand jobs for the Kingdom of Saudi Arabia. Genoil will prioritize utilizing many local existing contractors and local manufacturing vendors. The parties also agreed that once the project is up and running it should be operated by Beijing Petrochemical and Yanchang Petroleum Limited.
The parties intend to utilize funding from a well-known development bank who already provided a $5 billion USD Letter of Intent to Saudi Aramco. The parties have been assured of available bank financing by the lender.
Genoil also signed a contract to do consulting work for a leading oil field services company who is in the middle of developing a large heavy oil field. Genoil has been retained and shall earn profits immediately on the project. The company also expects that this consulting agreement will be expanded to include further business and other potential projects and we believe a long-term cooperation with this partner will lead to the construction of a Genoil upgrader at the oil field. With these recent developments the company plans to expand its engineering team to accommodate the workload.
"We are seeing a strong interest in GHU technology with oil prices on the rise. These two major developments for the company are a culmination of years of hard work, dedication to success and our extraordinary effort to build a world class company centered around the most qualified engineers, talented industry executives combined with the most cutting-edge technologies. We expect major national oil companies will start developing their medium to heavy oil resources that will require Genoil upgrading based on the shortage of oil in the market. Western companies like Exxon and others have decreased their drilling due to environmental pressure. Therefore, we anticipate to have more announcements in the near future especially with oil prices soaring and oil producers urgently looking for environmental decarbonization technologies like Genoil's upgrader. The GHU makes all oil production more competitive against renewable energy and can also increase the valuation of an oil field asset that is rich in carbon and in danger of a write down. Strong demand for Genoil's highly profitable proven environmental upgrading technology will allow producers to capitalize on these market trends and increase their margins." Says Bruce Abbott, President & C.O.O.
Genoil is pleased to announce that the project feasibility study is well underway and it is anticipated that it shall be completed in December.
About Beijing Petrochemical Engineering Company:
BPEC was founded in 1979 and is a first class engineering company based in Beijing and its parent company is Shaanxi Yanchang Petroleum Group Corp Ltd, the 4th largest Chinese oil company. BPEC currently has about 1200 employees and holds a class A qualification of engineering consulting and engineering design. The company has been mainly engaged in engineering consulting, engineering design, EPC, engineering technology development and other related business in the fields of refining, petrochemical, coal-chemical, natural-gas-chemical, oil and gas fields, storage and transportation, etc.
About Shaanxi Yanchang Petroleum Group Corp. Ltd.:
Formerly "Yanchang Oil Plant" founded by the Qing regime in Yan'an in 1905, Yanchang Petroleum is China's only century-old oil enterprise and the driller of the first oil well on the Chinese continent. Shaanxi Province where Yanchang Petroleum is located is an emerging key oil & gas province in China, with rapid growth of 5 million tons oil & gas equivalent on average every year since the beginning of the "twelfth five-year" period. In 2012, Shaanxi province became China's largest oil & gas-producing province with oil & gas equivalent of over 60 million tons. They are also one of the largest producers of coal in China with 18 billion tons of coal reserves, and 300,000 bpd of oil production.
Forward Looking Statements:
Statements included in this release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements involve a number of risks and uncertainties such as competitive factors, technological development, market demand, and the company's ability to obtain new contracts and accurately estimate net revenues due to variability in size, scope and duration of projects, and internal issues in the sponsoring client. Further information on potential risk factors that could affect the company's financial results can be found in the company's Reports filed with the Securities and Exchange Commission.
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David K. Lifschultz, CEO
SOURCE: Genoil Inc.
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