Xebec Adsorption Inc. announces Co-operative Marketing and Teaming Agreement with Primoris Services Corporation
June 19 2012 - 07:00AM
PR Newswire (Canada)
Companies to Jointly Promote and Sell a Novel Proprietary Process
Solution for Natural Gas Liquids (NGL) Recovery MONTREAL, June 19,
2012 /CNW Telbec/ - Xebec Adsorption Inc. ("Xebec") announced today
that they have signed a co-operative marketing & teaming
agreement with Primoris Services Corporation ("Primoris") to
jointly promote and sell a novel proprietary process solution for
the associated gas, shale gas and upstream off-gases markets.
This process incorporates intellectual property from both
Organizations and will be marketed to Customers that are involved
in exploration and production (E&P), which operate stranded
wells or gas processing operations. The benefits to customers will
include cost competitiveness, higher value end-products and reduced
environmental emissions. Multiple commercial installations are
already proposed for installation by the second half of 2013. The
processing systems will incorporate Xebec's advanced fast-cycle
pressure swing adsorption ("PSA") units, which are currently
marketed as the M-3200 PSA under Xebec's AGX product line. In
addition, the systems will also utilize Xebec's natural gas
dehydration technology from Xebec's NGX product. The agreement
covers teaming together by both Organizations for engineering and
manufacturing of the final system. Primoris will be
responsible for marketing the system to third party customers
exclusively in the United States while both Primoris and Xebec will
be able to promote the processing systems worldwide on a
non-exclusive basis. For projects in the United States, Xebec
will provide process design, engineering services and manufacturing
for the PSA's and gas dehydration units to Primoris who will be the
contracting party responsible for overall manufacturing,
construction, installation and commissioning of plants sold to
customers. Over the next five years in the United States alone,
natural gas liquids (NGL) production is expected to increase more
than 40% to a total of approximately 950,000 barrels/day, with
volumes reaching at least 3.1 million barrels/day by 2016.
Unconventional gas reserves from shale gas drilling has created a
surge of natural gas liquids (NGL) production and is driving huge
investments in gas processing, pipeline transportation, liquids
fractionation and petrochemical facilities. NGL's are
primarily heavier hydrocarbons such as ethane (C2H6), propane
(C3H8) and butane (C4H10). Ethane and propane are commonly employed
as petrochemical feedstock for production of ethylene and
manufacture of propylene - chemicals that form the building blocks
of various plastics. Heavier hydrocarbons are used in oil
refineries to boost the octane rating of gasoline. Kurt Sorschak,
President and CEO of Xebec said, "This co-operative marketing and
teaming agreement with Primoris is a significant milestone in our
strategy to enter the gas processing field for natural gas
liquids and heavy hydrocarbon removal. Primoris makes an
excellent partner offering a quick and efficient distribution
strategy into the US and Global market with a turnkey solution for
customers and immediate brand recognition for our leading
technologies. In turn, our adsorption technologies provide
excellent recovery rates while offering a small footprint, which is
of particular interest to Primoris and this customer segment. The
current low natural gas price is a significant incentive for
producers to look towards higher valued natural gas liquids and it
is in the extraction of these heavy hydrocarbons that our
technology offers advantages. With current associated and natural
gas processing installations in California (off-shore and
on-shore), Indonesia and India (in progress) we are well positioned
to offer proven solutions for these markets." About Primoris
Services Corporation Primoris Services Corporation is a holding
company of various subsidiaries, which form specialty contractors
and infrastructure companies in the United States. The Company
provides a range of construction, fabrication, maintenance,
replacement, water and wastewater and product engineering services
to public utilities, petrochemical companies, energy companies,
municipalities, state departments of transportation and other
customers. The Company operates in three operating segments: the
East Construction Services segment, the West Construction Services
segment and the Engineering segment. Primoris trades on NASDAQ
under the symbol PRIM. For additional information on the company
and its products and services, please visit the Primoris web site
at www.prim.com About Xebec Adsorption Inc. Xebec Adsorption Inc.
is a global provider of clean energy solutions to corporations
governments looking to reduce their carbon footprints. Xebec
designs, engineers and manufactures innovative products that
transform raw gases into marketable sources of clean energy.
Xebec's strategy is focused on establishing leadership positions in
markets where demand for biogas upgrading, natural gas dehydration
and hydrogen purification is growing. Headquartered in Montreal
(QC), Xebec is a global company with two state-of-the-art
manufacturing facilities in Montreal and Shanghai, as well as a
sales and distribution network in North America and Asia. Xebec
trades on the TSX under the symbol XBC. For additional information
on the company and its products and services, please visit the
Xebec web site at www.xebecinc.com. Caution Concerning
Forward-Looking Statements Certain statements in this press release
may constitute "forward-looking" statements within the meaning of
applicable securities laws. This forward looking information
includes, but is not limited to, the expectations and/or claims of
management of Xebec with respect to information regarding the
business, operations and financial condition of Xebec.
Forward-looking information contained in this press release involve
known and unknown risks, uncertainties and other factors which may
cause the actual results, performance or achievements of Xebec or
industry results, to be materially different from any future
results, performance or achievements expressed or implied by such
forward-looking statements. This list is not exhaustive of the
factors that may affect forward-looking information contained in
this press release. When used in this press release, such
statements use such words as "anticipate", "believe", "plan",
"estimate", "expect", "intend", "may", "will" and other similar
terminology. These statements reflect current expectations
regarding future events and operating performance and speak only as
of the date of this presentation. Forward-looking statements
involve significant risks and uncertainties, should not be read as
guarantees of future performance or results, and will not
necessarily be accurate indications of whether or not such results
will be achieved. A number of factors could cause actual results to
differ materially from the results discussed in the forward-looking
statements. XEBEC ADSORPTION INC. CONTACT: Kurt
SorschakPresident and CEO450-979-8701ksorschak@xebecinc.com Eric
FavreauChief Financial Officer450-979-8706efavreau@xebecinc.com
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