(MENAFN - GlobeNewsWire - Nasdaq) VANCOUVER, British Columbia, Aug.12, 2019(GLOBE NEWSWIRE) -- Gen III Oil Corp. ('Gen III' or the 'Company') (TSX-V: GIII) (OTCQX: ISRJF) is pleased to announce the following update:
Gen III recently shipped a sample of its Group III base oil to one of the top four global petroleum additives manufacturers. The purpose was to pursue the American Petroleum Institute's ('API') API SN Plus and ILSAC GF-5 certifications for three passenger car motor oil ('PCMO') formulations namely, 5W-20, 5W-30 and 10W-30. The petroleum additives firm subsequently informed the Company that Gen III's Group III base stock qualified for API certification through its 5W-30 formulation. The blending of the 5W-20 and 10W-30 PCMO formulations are ongoing.
Gen III then submitted its first Group III based 5W-30 PCMO formulation and ReGen III product to API's Engine Oil Licensing and Certification System ('EOLCS'). The API EOLCS is a voluntary licensing and certification program that authorizes engine oil marketers that meet specified requirements to use the API Engine Oil Quality Marks globally.
Gen III is pleased to announce it has achieved API certification and licensing for its Group III based SAE Viscosity Grade 5W-30 formulation. The Company may now utilize the Resource Conserving, SN Plus and ILSAC GF-5 designations on its ReGen III product. Gen III is now listed on the API Directory of Licensees: https://engineoil.api.org/Directory/EolcsResultsDetail?accountId=-1 & companyId=12562 & resultsUrl=%2FDirectory%2FEolcsResults%3FaccountId%3D-1%26companyName%3DGen%2520III%2520Oil%2520Corporation At this time, Gen III believes it is one of only three companies certified by API for a re-refined base oil.
This is a significant milestone for Gen III and is the culmination of several years' work. API licensing and certification of its Group III base oil will lead to higher prices for Gen III's offtakes over uncertified base oils. Working with this premium petroleum additives firm will enhance Gen III's product marketing efforts, introducing blenders from around North America to the Company's ReGen III base oil. Gen III management believes these recent developments will significantly enhance the value of the Company's offtake from the perspective of potential institutional investors.
Gen III also re-confirms the due diligence process is ongoing with several large institutional parties in connection with project finance.
About Gen III Oil Corporation
Gen III is first and foremost a cleantech company, that is building a green project that has compelling economics, without government subsidies. Gen III owns a portfolio of patented technologies that enable used motor oil ('UMO') re-refineries to produce a higher value product mix of base oils than traditional methods, including 55% Group III. The Company currently holds 8 patents issued in North America, 2 patents issued overseas and has 7 patent applications, patents pending or under review in strategic countries/regions around the world. The Company's first full-scale facility is currently under development in Bowden, Alberta, 100km north of Calgary, with targeted production commencing 18 months after the requisite financing is obtained (the 'Project'). With a fully executed off-take marketing agreement in hand with Elbow River Marketing Ltd., a subsidiary of Parkland Fuel Corporation, the Company has in place agreements for the sale of all its finished products when commercial production begins at its Bowden facility. The Bowden facility is being designed to process 2,800 bpd of used motor oil into a range of base stocks and related petroleum products. For more information about the Company, please visit www.geniiioil.com .
On Behalf of the Board of Gen III Oil Corporation
Chief Executive Officer
For further information, contact Greg Clarkes at (604) 806-5275
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Certain information set forth in this news release may contain forward-looking statements that involve financial projections, substantial known and unknown risks and uncertainties, certain of which are beyond the control of the Company. Forward-looking statements are frequently characterized by words such as 'plan', 'continue', 'expect', 'project', 'intend', 'believe', 'anticipate', 'estimate', 'may', 'will', 'potential', 'proposed' and other similar words, or statements that certain events or conditions 'may' or 'will' occur. These include, but are not limited to, the statements regarding entry into agreements to increase the potentially available annual UMO feedstock requirements and to allow the Company to further diversify its feedstock supply chain, statements with respect to the quantity and quality of the re-refined products that might be produced; the construction of the first ReGen™ re-refinery in Bowden, Alberta; targeted production dates for the Project; raising sufficient capital to support the construction of the Project; the estimated operating costs for the Project; the market for the finished products; and off-take agreements for all finished products from the Project. Undue reliance should not be placed on these forward-looking statements and information as they are based on assumptions made by Gen III and certain risks as of the date hereof regarding, among other things, the ability to enter into binding feedstock supply agreements with industry participants and meet all required conditions for the supply of feedstock of which there is no assurance, the ability to secure sufficient debt and equity financing for the Project, ability to secure and protect Gen III's proprietary technology and intellectual property, that favourable growth parameters continue to exist in respect of current and future growth projects (including the ability to finance such projects on favorable terms), prevailing commodity prices, margins and exchange rates, that Gen III's businesses will achieve sustainable financial results, and that the Company's future results of operations will be consistent with management expectations in relation thereto, the availability and sources of capital, operating costs, ongoing utilization and future expansion, delays in plant construction and unexpected facility downtime and the ability to obtain required regulatory approvals as and when required. Readers are directed to, and are encouraged to read, Gen III's management discussion and analysis for the three-months period ended March 31, 2019, and year ended December 31, 2018 including the disclosure contained under the heading 'Risk Factors' therein. The Company assumes no obligation to update forward-looking statements, except as required by applicable law.