Xfuels Inc. Signs Letter of Intent to Purchase Incinerator Plant
Plant to be converted into Waste/Biomass to Combined Heat and Power Facility
Calgary, Alberta--(Newsfile Corp. - April 22, 2021) - Xfuels Inc. (OTC Pink: XFLS) is pleased to report that it has entered a letter of intent to purchase an incinerator plant and will be converting the plant into a Waste/Biomass to Combined Heat and Power solution.
The plant located in Bieseker, Alberta is currently set up as a medical waste incinerator. Cycle will utilize both in house and licensed technologies to retrofit the incinerator to a gasifier unit to produce a Combined Heat and Power solution as well as Waste Heat to Cold Storage to serve the local farming community.
The purchase price of the 18,678 square foot building, equipment and associated 3.78 acres is $C2,000,000. Xfuels will make a down payment of $C500,000 and the vendor will carry the balance of $C1,500,000 for the term of 5 years at a rate of 3.5% with a payment holiday for the first 18 months. The deal is scheduled to close on or before June 1st, 2021. In the interim, Xfuels has assumed the overhead expenses of the plant and begun the engineering of the incinerator retrofit onsite.
Mr. Michael McLaren states "I could not be happier taking the company back to its grass-roots and diversifying our company to be that full-service energy provider our team has worked hard to achieve. With traditional energy assets as well as green energy solutions we believe we have the winning solution looking forward into the future." He further stated, "The companies focus of becoming a producer of Blue-Green Energy as coined by our engineering team will be finally realized."
The retrofitted plant will produce approximately 2MW of electrical power production with room for expansion of further phases as well as process heat. The plants service is capable of 6MW back into the grid.
Xfuels also plans to build greenhouses on the adjacent 2.8 Acre lot. The company intends to utilize the greenhouses for Algae Production using the company's Bioreactor Technology as well as commercial and community green house space.
The site will also be evaluated for Blue-Green Hydrogen and Gas to Liquids production should there be enough resources as well as receiving the appropriate local and provincial permitting. The Cycle Hydrocarbon Technologies Blue Hydrogen solution has been developed as a mobile platform for use in the field on underperforming and/or stranded assets. It is the company's intent to further develop the technology into a larger stationary unit once we roll out the current platform.
About Xfuels Inc.
Xfuels Inc. is a fully integrated energy company that products responsible products both traditional and renewable. Our continued focus on carbon footprint reduction and cutting-edge technologies not only benefit the environment and local communities but also add value to Xfuels bottom line.
Cycle Energy Services Cycle Energy Services owns and operates combo wireline-service rigs and Hydrovac Units. The focus of Cycle Energy Services is primarily end of life abandonment and reclamation of non-producing assets. The company excels by supplying fixed cost services via our custom rigs and equipment that results in reduced time onsite, faster rig in and rig out times as well as reduced number of vehicles onsite. Cycle's efficiencies reduce the amount of fuel burned to complete the abandonment and reduces the carbon footprint to abandon wells.
Cycle Hydrocarbon Technologies provides both R&D capabilities as well as previously developed and licensed technologies that aid in increased production, reduced lifting, and operation costs as well as gas and oil field intelligence. Cycle Energy Technologies immediate focus our small-scale Blue Hydrogen production plants are scheduled to roll out mid to late summer 2021 our flag ship technology the mobile GTL (gas to liquid) system will roll out shortly after. This technology brings forth increased value to the group through Cycle's internal production of gas. The value is added by turning the gas into chemicals and C5+ hydrocarbons as a 3-4x multiple which is industry groundbreaking.
Cycle Oil and Gas Xfuels owns 40% of Cycle Oil & Gas through its ownership in Cycle Energy Industries Inc. Cycle Oil & Gas focuses on acquiring & optimizing underdeveloped oil & gas assets and employs in-house developed & licensed technologies to increase production, optimize performance & reduce costs. The company currently produces approximately 80 barrels/day of oil as well as several non-operational properties and GORRS (Gross Overriding Royalties).
This release contains statements that constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. These statements appear in a number of places in this release and include all statements that are not statements of historical fact regarding the intent, belief, or current expectations of Xfuels Inc., its directors or its officers with respect to, among other things: (i) financing plans; (ii) trends affecting its financial condition or results of operations; (iii) growth strategy and operating strategy. The words "may," "would," "will," "expect," "estimate," "can," "believe," "potential" and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond Xfuels Inc.'s ability to control, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors. More information about the potential factors that could affect the business and financial results is and will be included in Xfuels Inc.'s filings with the Securities and Exchange Commission.
For further information please contact:
Xfuels Inc. Public Relations and Shareholder Information
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