CORRE Provides Business Update
09 September 2011 - 10:30PM
Marketwired
Canadian Oil Recovery and Remediation Enterprises Ltd. (TSX
VENTURE: CVR)(PINK SHEETS: CRVYF)(OTCQX: CRVYF) ("CORRE" or the
"Company") is providing an update on the Company's bidding progress
for three soil remediation and oil recovery contracts (the "SEED
Contracts") tendered by the Kuwait Oil Company ("KOC"), as well as
an update on commercial developments in Saudi Arabia.
In accordance with a revised timeline set out by the KOC, CORRE,
through its SAR-CORRE MENA ("SCM") operating partnership
established with SAR AS ("SAR"), a leading Norwegian oil waste
management operating company, submitted bids for each of the three
SEED Contracts on August 7th. The total combined value of CORRE's
bids equals approximately $270 million (approximately 75 million in
equivalent Kuwaiti Dinars). CORRE's average bid price for each of
the contracts is approximately $90 million (25 million in
equivalent Kuwaiti Dinar).
Out of a total of 31 pre-qualified companies, there are only 12
total bidders for the SEED Contracts, and each bidder is eligible
to win only one contract. The bidders will be evaluated in multiple
areas, including commercial terms (price), technology and operating
process, rehabilitation, effectiveness, and health and safety
standards.
"With our pricing amongst the top half of the lowest bidders, we
believe we are in a competitive position heading into KOC's
evaluation of each bidder's technology and operating process. The
lowest price is not the single determinant factor for the award of
a contract," commented John Lorenzo, CORRE's CEO. "Our full scale
soil remediation and oil recovery pilot program in Kuwait, coupled
with an already operational asset in ARES I that is on the ground
and ready for commercial deployment, could bring CORRE to the
forefront of this bidding process."
Mr. Lorenzo concluded, "We are confident that our soil washing
technology and operating process is a preferred solution for KOC
based on its high operating capacity (maximization of tons per
hour), low energy use, ability to recycle water and recover oil in
a closed-loop system, and its ability to remove salt from the
recovered oil and treated soil resulting in an environmentally
sustainable solution for rehabilitated land."
CORRE's ARES I technology is based on soil washing, as opposed
to other forms of soil remediation treatment such as direct thermal
desorption (a form of incineration) and bioremediation which do not
recover any oil.
CORRE expects KOC to announce the winning bidders during the
fourth quarter of 2011. These released tenders are the first in a
series of SEED Contracts to be issued by KOC. The contracts are
also a precursor to larger soil remediation and oil recovery
contracts with aggregate values estimated to be in excess of $3
billion for the clean-up of the Kuwait Oil Lakes. As previously
announced, SCM, through SAR, is part of a select group of companies
that have recently been pre-qualified by the KOC as contractors
approved to bid on extensive soil remediation contracts, as well as
other contracted services which include the treatment of drill
cuttings and waste management, to be released by the KOC.
In addition to the SEED Contracts, CORRE is also currently
working on other commercial opportunities. The Company is in
discussion in Kuwait and Saudi Arabia for contracts to clean and
treat drill cuttings, as well as provide automated oil storage tank
cleaning services. CORRE is working diligently on completing the
structuring of the Company's Saudi Arabian business with the parent
company of Al-Najah Advanced Technology Co. Ltd. ("NAT") based in
Jeddah, Kingdom of Saudi Arabia. NAT holds an approximate 40%
ownership interest in CORRE.
About CORRE
CORRE (www.corre.com) is a Canadian-based clean technology
company that provides innovative and complete oil waste management
and environmental solutions to its customers. CORRE's operating
lines include remediating oil-contaminated soil; treating sludge,
oil based muds and drilling waste; oil recovery; automated oil
storage tank cleaning; oil and gas engineering, and project
management. CORRE provides its services through its owned and
operated Advanced Recovery Equipment Systems ("ARES") and through
strategic operating partnerships. ARES is a platform of services
and operating equipment facilities based on proven technologies and
innovative operating processes. CORRE's customers are primarily in
the upstream petroleum sector (oil production and drilling
companies) and downstream petroleum sector (oil refinery,
transportation and distribution companies).
Forward Looking Statements
Except for statements of historical fact relating to the
Company, certain information contained herein constitutes
forward-looking statements. Forward-looking statements are based on
the opinions and estimates of management at the date the statements
are made, and are subject to a variety of risks and uncertainties
and other factors that could cause actual events or results to
differ materially from those projected in the forward-looking
statements. Except as required by applicable securities
requirements, the Company undertakes no obligation to update
forward-looking statements if circumstances or management's
estimates or opinions should change. The reader is cautioned not to
place undue reliance on forward-looking statements.
Neither 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 the release.
Contacts: CORRE LTD. Alex Gress CFO 416-368-4027
agress@corre.com CORRE LTD. Lindsay Cross 416-368-3050
lcross@corre.com www.corre.com KCSA Strategic Communications Todd
Fromer 212-896-1215 Corre@kcsa.com KCSA Strategic Communications
Phil Carlson 212-896-1233 Corre@kcsa.com KCSA Strategic
Communications Adam Pollack 212-896-1232 Corre@kcsa.com
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