SOURCE: Quantum Energy Inc

June 19, 2014 07:30 ET

Quantum Energy Signs LOI for 2nd Refinery Site

Baker Montana Newspaper Article

TEMPE, AZ--(Marketwired - Jun 19, 2014) - Quantum Energy, Inc. (PINKSHEETS: QEGY), announced today that Quantum has entered into a fully executed Letter of Intent for the acquisition of 400 acres near the city of Baker in Fallon County, Montana for the development of a 21st Century Energy Center to include a 20,000 barrel per day diesel refinery. The LOI calls for a Contribution Agreement to be executed no later than July 3, 2014 by which title to the 400 acres is to be exchanged for shares of Quantum common stock. Quantum also has an existing  purchase agreement for a refinery site with Northstar Transloading LLC in East Fairview, ND.

The prospect of the Baker refinery was reported on by the Baker Montana Dickinson Press newspaper under the headline "Oil refinery project proposed for Baker: More facilities possible for Minot, East Fairview" in its June 17, 2014 edition which is linked below.

Excerpts from the article include: "BAKER, Mont. -- An oil and gas exploration company is in the early stages of planning a diesel refinery in Baker that would create about 100 jobs.

The facility, which would be run by Quantum Energy, Inc., would refine 20,000 barrels of oil to produce 7,000 barrels of diesel a day. It would supply fuel to other energy companies and agricultural producers within a 100-mile radius, cutting back on diesel transported from out of state to meet oilfield-related demand.

Quantum Energy representative George Bailey said that the company is also considering opening new refineries in Minot and East Fairview.

Mona Madler, director of the Southwest Montana Area Revitalization Team, said the refinery would essentially mimic the Dakota Prairie Refinery being constructed in Dickinson in its aims to decrease diesel costs in the Bakken region.

Representatives from Quantum Energy Inc., visited Baker earlier this month, meeting with city and county officials, and looking at potential refinery sites.

The company also gauged public opinions at an open meeting, which attracted about 30 people, Madler said.

Quantum Energy CEO Andrew Kacic, who visited Baker, said he plans to build five such oil refineries, called "21st century energy centers" by the company...

... At a meeting on June 5 with Baker residents, Madler said residents raised questions about where new refinery workers would live, as well as its environmental impacts.

But, she said that Quantum's proposal was well received overall, as Fallon County is one of Montana's largest oil and gas producers. Residents are accustomed to development, Madler said.

"This is kind of what we do," she said."

About Quantum Energy, Inc.

QUANTUM ENERGY, INC. is a development stage, publicly traded, diversified holding company with offices in Williston, North Dakota. Quantum places an emphasis in refinery development, land holdings, oil and gas exploration, drilling, well completion and fuel distribution

Safe Harbor Forward-Looking Statements

To the extent that statements in this press release are not strictly historical, including statements as to revenue projections, business strategy, outlook, objectives, further milestones, plans, intentions, goals, future financial conditions, future collaboration agreements, the success of the Company's development, events conditioned on stockholder or other approval, or otherwise as to future events, such statements are forward-looking, and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The forward-looking statements contained in this release are subject to certain risks and uncertainties that could cause actual results to differ materially from the statements made.

Contact Information

  • For Company Contact:

    Invest Com USA