SOURCE: Nevtah Capital Management Inc.

August 01, 2006 11:21 ET

Nevtah Capital/Black Sands Complete First Commercial Production Plant for Utah Oil/Tar Sands

PALM BEACH GARDENS, FL -- (MARKET WIRE) -- August 1, 2006 -- Nevtah Capital Management (PINKSHEETS: NTAH) and its joint venture partner, Black Sands Energy, announce the completion of their first commercial production unit built in Oklahoma.

The new commercial unit is a totally redesigned extraction unit with many improvements that will dramatically increase its efficiencies, as well as the addition of several safety features. It now has a capacity of between 400 - 500 bbls/day, depending on the richness of the oil sands being processed. The improvements of the joint venture partner's first production unit include:

1.  The addition of scrapers to the drying core that will aid in solvent
    removal.
2.  The addition of two heat exchangers to increase the temperature for
    added efficiencies in solvent removal from the oil.
3.  Wear components have been upgraded for continuous operation, as well as
    the flexibility of solvent/sand flow rates.
4.  The unit's drying cone has been rebuilt with significant upgrades to
    its drying capacity.
    The Company's independent engineers conducted a Hazards Operations
    Review, which resulted in several significant improvements:
5.  Another generator was added, and all electrical equipment was upgraded
    to Class 1, with distance requirements being implemented for the use of
    equipment in non-classified areas.
6.  The oil extraction process was upgraded with a polisher and new related
    equipment.
7.  An additional condenser was added to increase the capacity of the
    production unit in the extraction process.
The unit has since passed a series of pressure and vacuum tests and will now undergo important demonstrations for interested potential joint venture groups, using existing Oklahoma oil sands transported to the engineering site in Oklahoma. Company personnel will be trained and certified onsite. The commercial unit will then be shipped back to a site in the Asphalt Ridge area.

The joint venture partners realize that originally, a previous press release estimated the return of the original 150 bbl/day pilot plant was to be in late June, but it was paramount that the efficiencies and output of the plant were to be improved, especially when two additional plants, the 600 bbl/day mobile production plant and the 2000 bbl/day commercial plant were to follow in progressive production. It is a well known fact that the oil and gas industry is currently subject to major parts delays and equipment back orders; elements that ultimately affected the eventual completion date of this unit, but the joint venture partners are now extremely pleased with both the efficiencies improvements and the scale-up in capacity to 400 - 500 bbls/day, which will positively affect initial revenue streams.

Nevtah Capital and Black Sands Energy's joint venture own the proprietary rights in Utah for their proven, closed-loop extraction system that produces oil for less than $ 12.50 USD per barrel. The system is earth-friendly and has near-zero solvent loss, produces no greenhouse gases and returns the cleaned-up sands back to the environment, leaving the ecosystem in better-than-original condition. This highly scalable technology does not require water and works efficiently on a wide range of host oil and sediment types. Oil recovery rate after the pilot plant enhancements is now 99.9%.

For more information on the partnership's technology, its leases or the U.S. DOE Report on the success of the technology, please visit the corporate website: www.nevtahoilsands.com or call Paul Davey, Investor Services (778) 389-0915 (Canada), or Daniel P. Kesonen, President &CEO, Nevtah Capital Management Corp. (561) 626-9901.

Nevtah Capital Management adheres to the provisions, regulations and specifications of the Safe Harbor Act.

Contact Information

  • Paul Davey
    Investor Services
    (778) 389-0915 (Canada)

    Daniel P. Kesonen
    President &CEO
    Nevtah Capital Management Corp.
    (561) 626-9901