Process Capital Corp.

November 23, 2011 17:22 ET

Process Capital News

TORONTO, ONTARIO--(Marketwire - Nov. 23, 2011) -


Process Capital Corporation (TSX VENTURE:POR) (the "Company" or "Process Capital") announces that it has received information that Seaquest Capital Corporation and Seaquest Corporation (the "Seaquest Companies") will have been deemed to have made an Assignment in Bankruptcy pursuant to the provisions of the Bankruptcy and Insolvency Act (Canada) (the "BIA") as of November 24, 2011. The Seaquest Companies each filed a Notice of Intention to Make a Proposal under the BIA on October 24, 2011. On November 3, 2011, BDO Canada Ltd. was appointed Interim Receiver of the Seaquest Companies pursuant to an order of the Ontario Superior Court of Justice.

It is the understanding of Process Capital that BDO Canada Ltd. will be the Trustee of the Seaquest Companies.

Process Capital has been advised that the Seaquest Companies are the Beneficial Owners of approximately 55% of the shares of Enviromatrix Technologies Inc. ("Enviromatrix"). Enviromatrix, to the best of the current knowledge of Process Capital, is the Beneficial Owner of approximately 51.4% of the issued and outstanding shares of Process Capital.

Enviromatrix has been providing Process Capital with interim funding as unsecured, non-interest bearing shareholder advances to finance its day to day operations and engineering costs associated with its waste oil refinery project. According to the records of Process Capital, to date approximately $3,770,000.00 has been advanced by Enviromatrix to Process Capital to finance these costs.

As a result of the bankruptcy of the Seaquest Companies, Process Capital does not anticipate that Enviromatrix will be able to continue to finance these on-going costs, and Process Capital is in the process of seeking alternative financing, however to date, there have been no firm commitments received by the Company for financing. The failure of the Company to obtain alternative financing may have serious consequences for the Company, including the inability of the Company to finance its day to day operations, and any further advancement of the Company's waste oil refinery project.

It is the understanding of Process Capital that at least one party has approached BDO Canada Ltd. and made a proposal to acquire the interests of the Seaquest Companies in Enviromatrix, however Process Capital is unaware as to whether that proposal will be accepted.

The Company will continue to monitor this situation, and will provide updates to this Press Release when further information is available.

About POR

Process Capital Corporation is an environmental technology investment company publicly listed on the Toronto Venture Exchange (TSX VENTURE:POR).

Statements in this release which describe the Company's intentions, expectations or predictions, or which relate to matters that are not historical facts are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties which may cause the actual results, performances or achievements of the Company to be materially different from any future results, performances or achievements expressed or implied by such forward-looking statements. The Company may update or revise any forward-looking statements, whether as a result of new information, future events or changing market and business conditions.

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 this release.

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