Effluent contamination levels are said to be 100 times higher than home sewage.
Los Angeles, CA and Kuala Lumpur, Malaysia – March 22, 2016 – OriginClear Inc. (OTC/QB: OOIL), a leading provider of water treatment solutions, today announced that its wholly-owned subsidiary for Asia, OriginClear Hong Kong (OCHK), plans to target the Palm Oil Mill Effluent (POME) treatment market in Malaysia. Totaling more than 65 million tonnes annually, POME effluent is widely recognized as a major environmental concern because its contamination level can be 100 times higher than domestic sewage.
To target this market, OCHK has agreed to launch a Joint Venture (JV) with Osmocell Malaysia SDN Bhd, a Malaysian engineering and manufacturing company for water purification systems. The JV company, OriginClear Water Solutions SDN Bhd (OWS) is now operational.
Jean-Louis “JL” Kindler, President of OriginClear Technologies, and Managing Director of OriginClear (HK), signed the licensing agreements this week in Kuala Lumpur, and met with prospective customers. In addition to POME, OWS also plans to treat “black water” or landfill leachate, which OCHK has already demonstrated in China.
Two GE Water veterans, David Woo and Alvin Chong, founded Osmocell Malaysia in 2011 to capitalize on more than twenty years of experience and connections in the region. According to Osmocell, it has now installed more than 20 Ultra Filtration and Reverse Osmosis systems in Malaysia and the region. Osmocell’s Facebook page illustrates several recent installations.
“While we are growing fast in membranes and filters, the market is crowded,” said David Woo, Managing Director of Osmocell Malaysia. “By teaming with OriginClear, we are now able to address the whole range of very challenging contaminants that our customer base needs.”
“We especially value the ability of Electro Water Separation™ with Advanced Oxidation (EWS:AOx™) to remove fine suspended solids, oils and dissolved organic contaminants, efficiently and continuously, to assure clog-free functioning of our downstream membranes and filters. EWS, combined with existing membranes technology, makes recycling economically viable.”
“We have already submitted several system proposals, and prospects look extremely promising”, added Alvin Chong, Director of Osmocell Malaysia. “We expect to receive orders within the coming six months of our activity.”
“We have progressed quickly in Malaysia”, said JL Kindler. “In just a few weeks, we have submitted more than $1,000,000 market value in equipment proposals for qualified prospects.”
(The Company cautions that here can be no assurance that the proposals will lead to sales; and if finalized, the sales may take several months to result in revenue for the JV.)
Another market the OWS JV is paying close attention to, is the rubber glove manufacturing industry. According to Osmocell’s internal research, the 4 top companies in Malaysia have approximately 50 manufacturing sites, each site handling an average of 2,000 tonnes of water per day, totaling more than 36 million tonnes per year. The effluent is heavy in organics and ammonia, which EWS:AOx is designed to address.
In other news, OCHK recently modified the payment schedule under which Mr. Ming Xu, an inventor and owner of a construction materials factory in mainland China, committed in a binding Memorandum of Understanding (MOU) to payments totaling $1 million to purchase the right to launch a sales joint venture (JV) in the People’s Republic of China and the Republic of China (Taiwan) with OCHK.
Mr. Xu already completed the first payment to OCHK of $150,000. The parties agreed to a modified payment schedule for the balance of $850,000, to be completed by 25 May, 2016.
The parties also agreed that all sums received by OCHK under the present MOU remain OCHK’s property and will not be subject to any reimbursement claim whatsoever, present and future, from Xu Ming or any of his affiliates.