SET Corp

September 21, 2011 08:00 ET

ProWater to Capitalize on Saltwater Disposal Wells for Booming Oil & Gas Production in N. Dakota's Bakken Shale

RANCHO CUCAMONGA, CA--(Marketwire - Sep 21, 2011) - ProWater LLC, a wholly owned subsidiary of SET Corp (OTCQB: SETS) (PINKSHEETS: SETS), will be aiding America's efforts to tap the Bakken Shale Formation's estimated 200 billion barrel oil field that could potentially make America energy independent. The Bakken Shale in North Dakota could boost the country's oil reserves 10 times, thanks to new technologies, like that of ProWater, that provide state of the art, environmentally friendly methods for disposal of saltwater from oil and gas production wells.

CNBC's "Mad Money With Jim Cramer" took its "Invest in America" series to North Dakota on August 24th to profile the tremendous growth that is happening in North Dakota largely due to the recent developments that have made the area a very desirable source of gas and oil. While the Bakken Shale was discovered years ago, only recently have technology advances and rising energy prices made it economical to mine the area and dispose of the wastewater produced from the oil and gas wells safely and cost effectively.

ProWater expanding to meet North Dakota SWD demand

ProWater, having proven its deep-water injection well (DIW) technology, also known as saltwater disposal (SWD), at its site in Utah, is expanding into North Dakota to provide environmentally sound solutions to dispose of the saltwater that accompanies oil and gas to the surface. ProWater is currently in the final stages of negotiations with multiple potential customers and expects to announce the first North Dakota SWD facility within the coming weeks.

Additionally, ProWater is finalizing agreements with major O&G equipment suppliers for the engineering and fabrication of its state of the art SWD systems.

"No other commercial producer has wells with our advanced design," says Keith Morlock, President of ProWater. "SWD systems are the only way to get rid of the water in North Dakota, as evaporation pits are prohibited. We'll be utilizing an improved, modular, commercial SWD design that offers even greater efficiency than the system we utilize at our Blue Bench facility in Utah. We are unique in our green technology that enables us to harvest the wastewater's usable components and dispose of the remainder safely and efficiently."

ProWater's state-of-the-art SWD system is unusual in that it follows a three-pronged approach for deriving revenue. Using a proprietary patented process to separate the oil, water and other byproducts, ProWater then sells the oil to refiners, sells the filtered water as frack water or injects the water into approved water zones thousands of feet below potential ground water sources.

Projecting Increased Profitability in Q1 2012

Morlock noted, "Our Utah DIW/SWD site has proven profits and we are modeling our future projections on actual revenue numbers from that site. Pending the closure of certain contracts for SWD in the Bakken Shale and the start of production at the first sites, we believe that SET Corp's ProWater wells will begin to show significant profits beginning in the first quarter of 2012."

Corporate Changes

In a continuing effort to build SET Corp into an industry leader, the Company has modified various areas of the corporation. On September 19, SET Corp's Board of Directors finalized the decision to transition Wallie Ivison and Bill Ball from their positions on the Board of Directors to other key areas for the company. Ivison will now manage worldwide distribution of SET Corp's MultiGen products throughout the world except the Americas, as detailed in the recent amendment to the World Environmental Solutions Pty (WES)/SET technology agreement. Outgoing SET Corp Interim Board Chairman Bill Ball will consult with SET on the designing of new facilities and will continue supporting ProWater with his technologies and expertise.

"We acknowledge the value that Wallie and Bill have brought to the Board of Directors," said Bob Glaser, SET Corp CEO. "Wallie will be focusing all his efforts on leading MultiGen's expansion into Australia and the rest of the world. We have high expectations for him and his team at WES. Their dedication and resolve will be paramount in the fruition of this initiative. Bill Ball's many years of experience in the oil industry are a great benefit to SET Corp and we will continue to use him as an integral resource for the ProWater expansion. We thank Wallie and Bill for their service to the board and look forward to long and profitable relationships with them."

About SET Corp
Headquartered in Southern California, Sustainable Environmental Technologies Corp (SET Corp) is acquiring, developing and marketing strategic technologies that responsibly and economically solve environmental issues to bridge the gap between today's energy inefficient facilities and the sustainable development and design needs of tomorrow. SET Corp's technologies deliver essential resources for business operations while reducing their customers' environmental impact and conserving essential and diminishing resources. SET Corp's offering includes treatment, recovery, reclamation and re-injection services for produced water from oil and gas production and ultra-efficient tri-gen systems that offer combined cooling, heating, and power generation with the added capability of water production from a single energy source. Ticker: OTCQB: SETS,

Safe harbor statement
This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 regarding the Company's results of operation, financial position and long-term strategies. These forward-looking statements involve risks and uncertainties that include, among others, risks related to competition, management of growth, new products, services and technologies, potential fluctuations in operating results, international expansion, commercial agreements, acquisitions and strategic transactions, and fraud. More information about factors that potentially could affect SET Corp's financial results are is included in SET Corp's filings with the Securities and Exchange Commission, including its most recent Annual Report on Form 10-Q or 10-K and subsequent filings.

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