SHEDIAC, NB and FRANKFURT, GERMANY--(Marketwire - Jul 12, 2012) - MCW Energy Group Limited, a Canadian holding company with two divisions focused on value creation: (1) MCW Fuels Inc., a well-established distributor of gasoline and diesel fuels to a growing list of service stations in southern California, and (2) MCW Oil Sands Recovery, LLC, is pleased to announce that MCW Fuels has entered into a binding agreement to acquire the Valero Master Branded Reseller Distribution Agreements currently held by Ocean Pacific Fuels Inc., of Murrieta, California.
The Agreement between MCW Fuels and Ocean Pacific Fuels, includes the assignment of Ocean Pacific's four Valero-Branded Reseller Distribution Agreements to MCW Fuels, which involves attaining the distribution rights to four Valero Brand service station outlets, all of which are located in California's Central Valley Region, the state's fastest growing region. The Valley's population base is 6.5 million people and includes the cities of Fresno, Stockton, Bakersfield and the capital city, Sacramento. Details of the Agreement will be disclosed upon completion of the terms and conditions set forth by the two companies.
"MCW Fuels' acquisition of Ocean Pacific's Branded Reseller Distribution Agreements is another step forward for the Company's aggressive acquisition program of regional fuel distributors," stated David Sutton, CEO of MCW Fuels. "We're adding four key locations in the state's fastest growing region to our growing distribution network," he added. The Company's management team expects that this acquisition will add approximately 5,000,000 gallons of fuel distribution to MCW Fuel's annual sales volumes. On June 13th, 2012, MCW Energy Group announced the acquisition of Westco Petroleum Distributors Inc., another California-based fuel distributor.
About MCW Fuels:
A Division of MCW Energy Group, this operation markets over 145 million gallons of branded and unbranded fuels annually throughout Southern California, with annual sales expected to grow to over $ 300 million in 2012. The Company now supplies fuel to more than 225 branded and unbranded service stations, and provides commercial fuels to more than 100 businesses. MCW Fuels retains regional branding rights to major premier brands such as 76, Valero and Alliance, and offers signage assistance and state-of-the-art accounting systems. MCW Fuels also provides several value-added services including credit card processing, inventory control systems and price management services, and is involved in the marketing of alternative fuels such as hydrogen. Through an aggressive program of mergers and acquisitions such as Ocean Pacific and Westco, the Company is planning to expand into other regional U.S. markets. For more information on MCW Fuels and the MCW Energy Group, please visit the corporate website at: www.mcwenergygroup.com.