PetroTeq is the first in Utah and USA to commercially produce surface oil sands based in Vernal, they recently completed re-engineering modifications/commissioning of the new equipment to the process/plant and have just started producing, the aim is to get somewhere between 1000 barrels continuous production per day which they will achieve in stepped process week by week!
Asphalt Ridge facility in Vernal is a 1.5 Billion Barrels Deposit, the leases cover 2,542 gross acres of contingent resource of which 87.5 Million Barrels is recoverable on the leases.
Evaluation of Contingent Resource CPR by Chapman Petroleum Engineering:-
PetroTeq patented technology is abbreviated to CORT (Clean Oil Recovery Technology)
It is environmentally friendly and the process produces zero greenhouse gas, zero waste and ?requires no high temperatures, it extracts 99% of the oil from oil sands and returns nearly clean sand back to the environment with a solvent based extraction that can be reused at a percentage of 99% recovery.
The interest is here already from large company’s which is validation in itself with a Non-Exclusive License Agreement in place with Valkor LLC for the CORT Technology/Process.
Under the Agreement, Valkor has agreed to pay Petroteq a non-refundable license fee of US$2 million per Plant in two payments, with 50% payable upon start of construction of a Plant and 50% payable upon first production of such Plant. Valkor also agreed to invest (or secure investment) of a minimum US$20 million towards the construction of a Plant by December 2020, and to have in production a minimum of 1,000 barrels per day. The agreement further provides that Valkor will pay Petroteq a five percent (5%) royalty based on annual gross sales, excluding solvent and or water, for so long as licensed technology is covered by a valid claim in the country in which it is used.
One of largest deposits of Oil Sands in the world :-
166 Billion Barrels!
Buried in Alberta, Canada’s Oil Sands in Athabasca and at this field, the bitumen sits on top of a layer of limestone, which allows for surface mining!
The Technology used by the large companies is called SAGD system - (Steam Assisted Gravity Drainage)
The are concerns over its environmental impact are that the process involves high levels of water plus the operations produce large amount of greenhouse gasses because diesel engines are used to heat up the tanks to separate the oil so the process is not efficient
The Technology used by the large companies work on SAGD system :-
(Steam Assisted Gravity Drainage)
and the measurement for energy technology on how efficient is abbreviated to EROEI :-
(Energy Returned Over Energy Invested)
A third party consultant, Chapman Petroleum Engineering performed an extensive energy analysis of MCW’s PetroTeq technology and the result was determined that the combined effect off all the Energy Saving features:-
The figure for SAGD is 4:1 EROEI Ratio! CORT Technology is a 45:1 EROEI Ratio!
But to be Conservative it was Reduced to 22:1 to Account for Unforeseen Energy Losses!