General Environmental Management, Inc. (GEVI.OB) Introduces Energy Market to New Stimulation Process

General Environmental Management announced this afternoon that it has signed an exclusive marketing agreement with Earthsonics for down hole stimulation of oil and gas production using a combination of PetroMax and sonic stimulation.

“This agreement represents a significant stride forward in the company’s effort to bring new technology to the energy market,” stated GEM’s CEO, Timothy J. Koziol. “Furthermore, it extends our service to the oil and gas industry to encompass the whole production process from well site to waste disposal.”

Doug Edwards, GEM’s Chief Strategy Officer, explained the process, “Sonic stimulation is a process that takes low frequency sound energy and combines it with our PetroMax solution to increase the flow rate from existing production wells.”

“Sonication stimulates the PetroMax chemical and process to detach hydrocarbon molecules from the depth of the earth, enabling them to be recovered by well pumps. The technology borrows from advances made by the US Navy to make reality from what had previously been only hoped for,” continued Edwards.

“Our first commercial applications will take place this month in Illinois and then in Texas. We also have a California well site that will be stimulated this summer,” added Edwards.

GEM will require a monthly lease rate for the sonication equipment and a fee for the PetroMax solution or a sharing in the increased production revenue. Tests supervised by the Department of Energy show that the Earthsonics process can stimulate production by up to 25% per well.

According to the press release, the marketing agreement gives GEM exclusive rights to use the sonication process in California and non-exclusive rights throughout the United States.

“This is the first commercial application combining these new technologies,” commented Koziol. “If it performs as hoped, GEM will be at the forefront in using new technology in the oil and gas exploration industry.”

Earlier this year, GEM acquired marketing rights to PetroMax, a patented series of water-based chemicals and various application processes that are combined to shear hydrocarbons from surfaces to which they are tightly attached. PetroMax is now used for oil tank clean outs through GEM’s Santa Paula facility, Southern California Waste Water.

“I have witnessed the thickest of oily sludge in tank bottoms become instantly fluidized,” said Edwards. “We are very excited at the prospect that we will be able to replicate down hole what we are accomplishing today in tank bottom cleanouts.”

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