Solanex Management, Inc. (SLNX.OB) Expands Previously Signed MOU for Oil Sand Extraction Technology

By @ibtimes on

The Board of Solanex Management Inc. announced that Solanex has expanded the territories for the sub-license in their Memorandum of Understanding (MOU) for technology leasing rights for sales, marketing and distribution to a Pyrolitic Hydrocarbon Gasification System and a Liquid Extraction Systems. Additionally, the exclusive territories have been expanded to include the country of Mexico.

With the terms and conditions for these rights remaining unchanged, this extension allows the company to explore opportunities in the extensive oil and used tire markets in Mexico. Government agencies throughout Mexico are all very concerned about environmental issues, especially as they pertain to used tires in local landfills. The liquid extraction system may also be of interest to the petroleum industry as it uses a non-toxic, non-carcinogenic solution that separates the oil from its host (i.e. oil sands). The system may also be used in an insitu recovery of in ground; old capped/closed oil wells, low producing wells as well as low producing heavy oil deposits where the viscosity is too thick to economically bring the oil to surface.

The due diligence period, which has already begun, is to be concluded on or before the 31st of October, 2009. The territory includes the exclusive rights for Mexico, the Central and South American region as well as additional Joint Venture rights to projects in North America with the existing rights holder. The agreement calls for a royalty which is not to exceed 5% of the net production revenue as well as a payment of 3 million common shares of Solanex.

Let us hear your thoughts: Solanex Management Inc. Message Board

Join the Discussion