SASKATOON, SASKATCHEWAN--(Marketwire - Feb. 26, 2013) - R.I.I. North America Inc. (RII NA) today announced that it has secured $2.8 million in funding from Sustainable Development Technology Canada (SDTC). The grant will be used to demonstrate the company's STRIP technology (Solvent Thermal Resource Innovation Process), which is expected to reduce the operating and capital costs of a surface thermal production facility by 30% and 50% respectively.
Primary oil recovery methods in Saskatchewan's heavy oil basin extract between five and 10 percent of the available resource, with the vast majority left in the ground and recoverable only through Enhanced Oil Recovery (EOR) methods. Many EOR processes are both expensive and energy intensive. The oilfields of Alberta's Cold Lake and Lloydminster Region are nearing the end of their readily-accessible - and economically feasible - oil, making it the ideal site to explore innovative, energy-saving EOR methods. Traditional steam-based EOR generates steam in surface facilities and injects it underground to mobilize the oil for production, with considerable energy losses inherent in the process.
"Our Government is doing its part to encourage innovation and the next wave of clean technologies to help protect our environment and create high-quality jobs," said the Honourable Joe Oliver, Canada's Minister of Natural Resources. "Investment in projects such as these demonstrates our leadership in driving a vibrant clean technology industry in Canada."
"R.I.I. North America Inc. is please by SDTC's decision to fund its Edam pilot project," said Alfred W. Schneider, Chairman and CEO. "When an increase of even one per cent of the total remaining plains core area oil reserves represents a $25B opportunity, R.I.I. North America Inc's STRIP technology has the potential to prolong the operations of Saskatchewan's heavy oil basin."
"Furthermore, RII NA would like to express our pleasure with the SDTC process. SDTC's professionalism and due diligence process raised the level of RII NA's game and approach."
RII NA's STRIP technology (Solvent Thermal Resource Innovation Process) moves the steam generator underground, reducing the operating and capital costs of a surface thermal production facility by 30% and 50% respectively, and saving more than 30% of the energy typically required for thermal production. The technology is being demonstrated in an area where an increase of even 1% of the total remaining reserves represents a $25B opportunity - a number that could go up exponentially if this technology is applied across the oilfields. RII NA is working with Rock Energy Inc. to develop this technology.
"SDTC is proud to add this project to its portfolio, now valued at more than $2 billion. When purchased and used by Canadian industry, the clean technologies developed by portfolio companies will enable a variety of sectors to increase their share of global markets," said Dr. Vicky Sharpe, President and CEO of SDTC. "As Canada works to diversify its export markets, working with new trading partners in emerging countries, these innovative technologies will help make Canadian natural resources and products more globally attractive and competitive."
This funding was a part of a $61.8 million investment from the Government of Canada to support 23 clean technology projects across Canada.
About R.I.I. North America Inc.
RII North America ("RII NA") is a private company that was founded in 2008 to implement the STRIP technology within Canada, the lower 48 states and Mexico as wells as the adjacent continental shelf. RII NA is committed to improving the efficiency and reducing the environmental impact of thermal EOR by implementing STRIP.
The STRIP technology is an engineering breakthrough which provides a design to produce steam in-situ. The technology manages the extreme temperature and corrosion issues associated with past failures by the industry to create viable down-hole steam generation.
In 2012, after burner testing at a major combustion lab, RII NA signed an agreement with Rock Energy to implement STRIP on lands located in the EDAM area of Saskatchewan.
On behalf of the Government of Canada, Sustainable Development Technology Canada helps commercialize Canadian clean technologies, readying them for growth and export markets. With a portfolio of companies under management valued at more than $2 billion, SDTC is positioning cleantech as a driver of jobs, productivity and economic prosperity.
SDTC operates two funds aimed at the development and demonstration of innovative technological solutions. The $590 million SD Tech Fund™ supports projects that address climate change, air quality, clean water, and clean soil. The $500 million NextGen Biofuels Fund™ supports the establishment of first-of-kind large demonstration-scale facilities for the production of next-generation renewable fuels.
SDTC works with the private sector, the financial sector and all levels of government to meet the Government of Canada's commitment to create a healthy environment and a high quality of life for all Canadians. SDTC operates as a not-for-profit corporation.
Cautionary Statement Regarding Forward-Looking Information
This press release contains forward-looking statements that are generally identifiable as any statements that express, or involve, discussions as to, expectations, beliefs, plans, objectives, assumptions or future events of performance.
By their nature, forward-looking statements are subject to a variety of factors that could cause actual results to differ materially from the results suggested by the forward-looking statements. In addition, the forward-looking statements require RII NA to make assumptions and are subject to inherent risks and uncertainties. There is significant uncertainty that the forward-looking statements will be realized, that RII NA's assumptions may not be correct and that actual results may differ materially from such forward-looking statements. Accordingly, readers should not place undue reliance on the forward-looking statements.
The forward-looking statements contained in this press release are made as of the date hereof. Except as required by law, RII NA undertakes no obligation to update publicly or to revise any forward-looking statements that are contained or incorporated in this document.