| FOR IMMEDIATE RELEASE
New Joint Venture Advances Natural Gas Fueling Market In Canada
CALGARY --November 19, 2013 -- Ferus Natural Gas Fuels and ENN Canada Corporation announced a Joint Venture today to construct, own and operate two LNG liquefaction plants in Canada. The plants will be strategically located in Vancouver, British Columbia and Edmonton, Alberta to service the on-road trucking market as well as other high-horsepower applications including marine, rail, mining, and oil and gas exploration.
"The benefits of fueling with natural gas are significant," said Henry Cai, CEO of ENN Canada. "Natural gas over diesel represents a 30-40% cost savings to the end-user and contributes up to a 25% reduction in greenhouse gas emissions."
"These projects will help build the market for clean burning natural gas as a transportation fuel," said Ken Hughes, Alberta's Energy Minister. "It is another step on the road to finding new uses and new markets for our abundant natural gas resources here and in British Columbia."
The partnership brings together two major players in the North American natural gas fueling market. Ferus Natural Gas Fuels specializes in building and operating cryogenic and micro-LNG plants and distribution equipment, and ENN Canada, which is developing LNG refueling infrastructure across the country, brings expertise in the construction and operation of LNG/LCNG stations and provides assistance in acquiring and transitioning to natural gas vehicles.
"Lack of infrastructure is one of the major challenges associated with the development of the LNG fueling market," said Dick Brown, CEO of Ferus Natural Gas Fuels. "In order for our customers to make the switch to natural gas, they need certainty of an uninterrupted supply of LNG to fuel their equipment. These two LNG liquefaction plants, along with the specialized distribution equipment and planned retail fueling stations, will ensure that supply, which in turn will promote and facilitate the widespread usage of LNG in Western Canada."
Both facilities will initially be built to produce 100,000 US gallons per day of LNG, with the ability to expand as demand grows. Site selection will be determined within six months, and construction will be initiated immediately afterward. First product is expected early in 2016.
As Operator, Ferus Natural Gas Fuels is responsible for the design, engineering, construction, operation, and marketing and sales of both facilities. ENN Canada has committed to a significant amount of the LNG produced at these plants for its planned fueling stations.
About Ferus Natural Gas Fuels
Ferus Natural Gas Fuels (formerly Ferus LNG) is privately-held by The Energy & Minerals Group. Ferus Natural Gas Fuels provides end-to-end LNG and compressed natural gas ("CNG") fueling services including production, transportation, storage and delivery to our customers in all end-use industries. Ferus Natural Gas Fuels supplied the first LNG fueled well fracturing job in North America, and, with its partner, is constructing a LNG production facility in Canada expected to be operational in 1Q 2014 to supply LNG to various proximal end-use markets. Ferus Natural Gas Fuels is also an equal partner in Eagle LNG Partners, a consortium dedicated to building out LNG infrastructure across the United States. For more information, visit http://www.ferus.com.
About The Energy & Minerals Group
The Energy & Minerals Group is the management company for a series of specialized private equity funds. EMG focuses on investing across various facets of the global natural resource industry including the upstream and midstream segments of the energy complex. EMG has approximately $6.7 billion of total investor commitments (including co-investments) with in excess of $4.2 billion allocated across the energy sector since inception.
About ENN Canada Corporation
ENN Canada is a wholly owned subsidiary of ENN Group, a global leader in alternative energy solutions and one of the largest natural gas distributors in China. ENN Group employs over 33,000 employees and operates over 200 subsidiaries worldwide. Currently ENN owns and operates over 150 LNG fueling stations in China and US (under the brand name BLU.). ENN Canada is dedicated to providing its customers with a full range of natural gas solutions including LNG supply, LNG station construction and operation and assistance in acquiring LNG vehicles. By the end of 2013, ENN Canada plans to open five mobile fuel stations, three in BC and two in Ontario. More information can be found at www.enncanada.com
Ferus Natural Gas Fuels
ENN Canada Corporation