OriginOil to License its CLEAN-FRAC Process for Oil & Gas Market
Design integration has begun for deployment of “Powered by OriginOil™” program
Los Angeles, California – September 12, 2012 –OriginOil, Inc. (OTC/BB: OOIL), the developer of a breakthrough energy production process for the oil and algae industries, announced today that intends to license its proprietary CLEAN-FRAC™ process under private label to firms offering oil and gas water treatment solutions, in a first deployment of the “Powered by OriginOil™” brand. Design integration has begun with a first prospective licensee.
“Because it can get 98% of the contaminants out of frack water, our process positions as the first stage for cleanup systems,” said Riggs Eckelberry, OriginOil CEO. “Cleanup firms can integrate CLEAN-FRAC seamlessly into their systems and under their own brand. We see this as the way to distribute our breakthrough process in the shortest possible time.”
Eckelberry added, “A first prospective licensee has already done substantial design integration and is enjoying very positive customer feedback. We expect to announce our first tie-up in the very near future.”
Under a typical private label scenario, OriginOil might grant a non-exclusive license to bundle OriginOil’s high-speed and chemical-free CLEAN-FRAC technology into a licensee’s frack water cleanup system, with royalties derived from a share of revenues.
OriginOil’s CLEAN-FRAC process is based on the company’s Solids Out of Solution™ technology that efficiently removes oils, suspended solids, insoluble organics and bacteria from produced or ‘frac flowback’ water, on a continuous flow basis and without the use of chemicals.
Recent third party testing has shown that the Company’s patent-pending process, originally developed for algae harvesting, can separate 98% of hydrocarbons from a sample of oil well ‘frac flowback’ water. The CLEAN-FRAC process is designed to be the first stage in multi-step processes for cleaning and treating contaminated water from oil and gas wells.
Water is produced and used in large quantities in oil and gas operations. According to the U.S. Department of Energy, an average of 3 barrels of contaminated water is generated for each 1 barrel of oil produced. In the United States, the average is 7 barrels of water. Greentech Media reports that energy companies pay between $3 – $12 to dispose of each barrel of produced water, implying a potential world market value between $300 billion and $1 trillion per year.
Safe Harbor Statement:
Matters discussed in this release contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. When used in this release, the words "anticipate," "believe," "estimate," "may," "intend," "expect" and similar expressions identify such forward-looking statements. Actual results, performance or achievements could differ materially from those contemplated, expressed or implied by the forward-looking statements contained herein, and while expected, there is no guarantee that we will attain the aforementioned anticipated developmental milestones. These forward-looking statements are based largely on the expectations of the Company and are subject to a number of risks and uncertainties. These include, but are not limited to, risks and uncertainties associated with: the impact of economic, competitive and other factors affecting the Company and its operations, markets, product, and distributor performance, the impact on the national and local economies resulting from terrorist actions, and U.S. actions subsequently; and other factors detailed in reports filed by the Company.
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