Canadian Oil Recovery & Remediation Enterprises Ltd.
TSX VENTURE : CVR
OTCQX : CRVYF

Canadian Oil Recovery & Remediation Enterprises Ltd.

March 06, 2012 09:00 ET

CORRE Invited by Chilean National Oil Company to Launch Oil Recovery & Soil Remediation Pilot Project

TORONTO, ONTARIO--(Marketwire - March 6, 2012) - Canadian Oil Recovery and Remediation Enterprises Ltd. (TSX VENTURE:CVR)(OTCQX:CRVYF) ("CORRE" or the "Company") is pleased to announce that the Chilean national oil company, Empresa Nacional del Petroleo ("ENAP"), has formally invited CORRE to launch an oil recovery and soil remediation pilot project. CORRE is launching this pilot project in the second quarter of this year as a first step before structuring a formal proposal for a long-term and multi-phased contract to clean and treat hydrocarbon contaminated soils located in the area of Punta Arenas, the capital city of the southern region of Chile.

The main purpose of the pilot project is to demonstrate CORRE's capabilities in oil recovery and soil remediation to ENAP. The pilot project will further assist CORRE to determine the oil recovery and soil remediation processing and logistics related costs in anticipation of its ensuing contract price negotiations with ENAP. After successful completion of the initial pilot project, CORRE would negotiate the terms and execution of the contract in two phases. The first phase would be to treat and clean a minimum of 30,000 cubic meters of hydrocarbon contaminated soils across 11 pits with the second successive phase increasing in scope to treat and clean approximately 100,000 cubic meters across hundreds of pits. The scope of the project will be to recover oil, upgrading it to pump-able pipeline specifications, and remediating the remaining oil contaminated soil to Alberta, Canada environmental standards. CORRE will price the contract on a per ton basis, including incremental charges for mobilization, logistics and demobilization. CORRE anticipates that the range of the total contract price - depending on the costs and scope of the related logistics associated with the working conditions in such tundra terrain - would be $25.0 to $35.0 million. The Company estimates the length of the entire project would be between four to five years. CORRE is currently in the process of assembling its smaller pilot-size operating equipment in preparation for its mobilization to Chile to execute the pilot project.

"We continue with our focus on the MENA region for the size and depth of its oil recovery and soil remediation market. However, our proven proprietary advanced oil recovery and remediation process has great market potential for worldwide applications and projects. So is the case with our technology and process of drill cuttings where we are making tremendous inroads with super majors in the MENA region," commented John Lorenzo, CORRE's CEO and Chairman. "We intend to capitalize on the worldwide opportunities available for both our advanced technologies and processes in the global market for our oil recovery, soil remediation and drill cuttings."

The slop oil and heavy sludge pits in the areas of hydrocarbon contamination are a result of crude petroleum discharge from several historical oil wells that operated for decades in the Magellan's region of southern Chile. ENAP has been under tremendous pressure from the local farmers and other communities to clean-up the Punta Arenas area. ENAP has publicly announced its intentions to clean and treat this region under a program of social responsibility and has reserved a budget for this important environmental project.

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.

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