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UAT Group’s Subsidiary, H2O Processing, Announces Up To $17.2M Contract with Texas Oil Company
UAT Group’s Subsidiary, H2O Processing, Announces Up To $17.2M Contract with Texas Oil Company.
About this update from Umbra Applied Technologies Group, Inc.
[{"type":"text","content":"\n Denver, CO, Dec. 15, 2022 (GLOBE NEWSWIRE) -- Umbra Applied Technologies Group, Inc’s (OTC Pink: UATG) subsidiary, H2O Processing, announced today that it has been contracted by Pinto Red Gathering Company (PRGC) to treat iron contaminated crude oil. Under the agreement, H2O Processing will treat an initial 650 bbls/day for the first 60 days and 1,200 bbls daily every day after based on existing production. The contract specifies a reduction in iron contamination to under 10 ppm minimum so that product may be retailed to a U.S. pipeline. The newly signed agreement outlines an increase in production to 1,200 bbls a day totaling an estimated $3.24 million dollars in annual service contracts. Initial anticipated monthly production is valued to begin at an estimated $108,000 eventually increasing to $216,000. The agreement announced today further allows for an increase in production of up to 8,000 bbls a day totaling an estimated $17.2 million dollars in annual service contracts. Increase in production will coincide with the delivery of additional equipment from H2O Processing over the course of the year. This contract is in addition to the two previous contracts announced earlier in the week. In total H2O has announced three contracts this month totaling nearly $50 million annually. H2O Processing Chief Executive Officer, Stan Abrams stated, “H2O continues to receive requests from customers to extract iron from their oil so they can meet oil refinery requirements. The proprietary extraction process has proven to be an important process for the sellers of crude oil to obtain the maximum price benefit thus reducing high penalties or the inability to even sell their oil.  H2O is excited to bring this technology to the crude oil industry”. H2O Processing is a manufacturing, research and engineering company, with extensive experience in the water treatment industry. With an expanding portfolio of intellectual property, the H2O team has just recently begun its expansion as a full-provider and manufacturer of mobile on-site and fixed commercial water and oil treatment solutions.  PRGC is a crude buyer/seller based in Edinburg TX with longstanding operations within the state. PRGC is yet another U.S. oil company effected by oil refineries recent move to significantly restrict the iron content and oxygenates o...