SOURCE: Methes Energies International Ltd.

Methes Energies International Ltd.

June 17, 2016 06:00 ET

Methes Energies Sells Its Sombra, Ontario Facility for $4.5M USD

LAS VEGAS, NV--(Marketwired - Jun 17, 2016) - Methes Energies International Ltd. (OTC PINK: MEIL), announced today that it has closed on the sale of its biodiesel facility, including the two Denami 3000™, located in Sombra, Ontario, for $4.5M USD to BIOX Corporation ("BIOX"). Over the next few months Methes, acting as consultant, will assist BIOX in restarting the facility. The sale provides Methes with the working capital required to move forward with its other lines of business.

Due to, among other things, market conditions, the Sombra facility had been idle for the last 18 months. For the Company, this transaction greatly reduces monthly expenses, allows the mortgage on the Sombra facility to be paid in full (approx. $1M USD) and leaves the Company in a comfortable cash position with minimal fixed monthly expenses. 

Moving forward the Company will focus on the sale of its Denami™ processors and its technology portfolio including its innovative PP-MEC™ pre-treatment system as well as the production of natural polyols. The Company is currently working with several potential clients that have shown strong interest in its biodiesel processors and the PP-MEC™ pre-treatment system.

The Company would also like to provide an update about the project in Havelock, Ontario with Drain Bros. Commissioning of the Denami 600™ and the PP-MEC™ pre-treatment system should start in a few weeks and as soon as Drain Bros completes their final phase of upgrades to their facility. One final payment is due from Drain Bros in the amount of $25,000 Canadian Dollars (CDN$) and payable 12 months after commissioning of their facility.

Michel G. Laporte, CEO of Methes said, "I want to thank and congratulate Alan and his team at BIOX. We have a great relationship and I'm confident that they will do well in Sombra. Moving forward, we'll be focusing more on our technology portfolio and the production of natural polyols. We have been quiet over the last several months but busy and that will soon show with some exciting project announcements." 

About Methes Energies International Ltd.
Methes Energies International Ltd. is a renewable energy company that offers a variety of products and services to biodiesel and ethanol fuel producers. Methes owns a unique technology portfolio which includes biodiesel processors (Denami 600™ and Denami 3000™) that are truly compact, fully automated state-of-the-art and continuous flow that can run on a wide variety of feedstocks as well as a complete innovative located pre-treatment solution (PP-MEC™ system) for biodiesel feedstocks including corn oil. Among its services are selling commodities to its network of biodiesel producers, selling their biodiesel production and providing clients with proprietary software to operate and control their processors. Methes also remotely monitors the quality and characteristics of its clients' production, upgrades and repairs their processors and advises clients on adjusting their processes to use varying feedstock to improve the quality of their biodiesel. For more information, please visit www.methes.com.

About BIOX Corporation
BIOX is a renewable energy company that owns and operates a 67 million litre per year continuous flow biodiesel production facility in Hamilton, Ontario. BIOX has an innovative, proprietary and patented production process that is capable of producing the highest quality, renewable, clean burning and biodegradable biodiesel fuel utilizing a variety of feedstocks -- from pure seed oils to animal fats to recovered vegetable oils with no change to the production process. BIOX's high quality biodiesel fuel meets North American (ASTM D-6751) quality standards. BIOX is a public company and trades on the Toronto Stock Exchange ("TSX") under the symbol "BX". For more information, please visit www.bioxcorp.com.

Forward-looking Statements

This press release contains forward-looking statements regarding future events and financial performance. In some cases, you can identify these statements by words such as "may," "might," "will," "should," "except," "plan," "intend," "anticipate," "believe," "estimate," "predict," "potential," or "continue," the negative of these terms and other comparable terminology. These statements involve a number of risks and uncertainties and are based on numerous assumptions involving judgments with respect to future economic, competitive and market conditions and future business decisions, all of which are difficult or impossible to predict accurately and many of which are beyond the Company's control. There are or may be important factors that could cause our actual results to materially differ from our historical results or from any future results expressed or implied by such forward looking statements. These factors include, but are not limited to, those discussed under the section entitled "Risk Factors" in our Annual Report on Form 10-K for the year ended November 30, 2014, filed on March 11, 2015, which is available at the U.S. Securities and Exchange Commission website at www.sec.gov. The forward-looking statements in this press release are based upon management's reasonable belief as of the date hereof. The Company undertakes no obligation to revise or update publicly any forward-looking statements for any reason.

Contact Information

  • Contacts:
    Methes Energies International Ltd.
    Michel G. Laporte
    Chairman and CEO
    702-932-9964