Los Angeles, CA -- November 30, 2017 -- InvestorsHub NewsWire
-- Petroteq Energy, Inc. (the "Company") (TSX
VENTURE: PQE) (OTCQX: PQEFF) (FRANKFURT: A2DYWC)
Dear Shareholders:
In response to questions from many of you I wanted to talk about
the strategic direction of Petroteq (TSX
VENTURE: PQE) (OTCQX: PQEFF) (FRANKFURT: A2DYWC)
and explain how I believe all of our current efforts will work
together to deliver long term shareholder value.
First and foremost, Petroteq is a technology company. Since we
began operations we have moved away from commodity businesses to
high margin businesses at the cutting edge of technology. That is
our mission and we are striving for that goal at Petroteq.
Currently, we happen to be a Technology company that
is building a substantial production facility on site of an 87
million barrel oil equivalent resource.
The first technology we have brought to the market is our unique
patented technology for extracting oil from Oil Sands, in a clean way. We have successfully
extracted 10,000 barrels from our original plant and are in the
process of expanding and upgrading that facility at our new
location with a capacity of 1,000 barrels a day.
Of course we expect our Asphalt Ridge plant to be profitable,
but that doesn't make us "just" an Oil Production company. We had
to build and operate the plant because most of our strategy is
driven off of proving our technology and then distributing that
technology and licensing it worldwide.
Our recent announcement regarding a Joint Venture with Deloro is
proof that our technology is disruptive and helps generate rates of
return that most other aspects of the energy industry cannot
achieve.
I intend to continue to work diligently to bring additional
partners into the fold for Petroteq to unlock value across dozens
of locations worldwide and billions of barrels of oil that can be
accessed in a clean, environmentally friendly way, by selling and
licensing our TECHNOLOGY...
I am writing you today to explain the logic behind embarking on
developing blockchain technology for the energy Industry -- which
we have named Petrobloq.
I have enjoyed a 50-year career in the Oil Patch, rising to the
level of President of Exxon operations in the Arabian Gulf. Over
that career, both domestically and overseas, both upstream and
downstream, I have handled very large budgets and a considerable
multi-national workforce, while managing multimillion dollar
projects.
Few people outside of the energy industry understand the
complexity of the transactions that need to happen between getting
crude oil from the ground to ultimately ending up as gasoline in
your automobile. There are land lease agreements, royalty
agreements, taxes, revenue shares, profit shares, among other ways
to slice up the revenues we receive. Further there of government
and political relationships that govern the transition of product
across borders and tax jurisdictions. It is an extremely
complicated business as any group of auditors and accountants will
attest, along with the many engineers and operators that handle the
hardware.
The Blockchain holds the promise of unlocking billions
of dollars in profits for the Energy Industry by reducing the
friction inherent in the business processes we need to
control.
Petroteq is uniquely positioned to participate in this tidal
transition for the energy industry because we can work with and
partner with all of the majors and juniors and not be seen as a
threat. Further, our organizational structure is such that we are
nimble. Our organization is designed and dedicated to be flexible
and innovative, while challenged to create a new opportunity.
Blockchain is poised to be the biggest gamechanger for the energy
industry for the next several decades. I am not a blockchain
expert, but I will become one, and I am pleased to lead this
venture. We have the resources and access to work with the leaders
in the industry from our headquarters in California.
We are working with the team at First Bitcoin Capital (OTC: BITCF) to begin this effort and develop tools
that we feel will bring value to the industry. It might be through
a ledger structured blockchain product or it could be through a
coin, or maybe both. We intend to then package up that technology
and deliver it to the majors, so they don't have to do it
themselves. We can create a network where all the players in the
energy industry can send and receive crucial production,
transportation, and accounting information in real time and save
billions in costs. By developing these technologies and providing
them as a service to the industry we feel we will be able to
generate a new revenue stream for our company as well as benefit
from the efficiencies of the platform ourselves.
So remember that we are
a technology company -- developing and
monetizing all kinds of technologies for the benefit of the
industry and everyone whose quality of life depends on oil and
energy. Watch us as we progress in this mission. By the way, I am
presenting at LD Micro's conference in Bel Air in case you're in
California next week.
Sincerely,
Jerry Bailey, Director & President
About Petroteq Energy, Inc.
The Company is engaged in the development and implementation of its
proprietary environmentally friendly heavy oil processing and
extraction technologies. Our proprietary process produces zero
greenhouse gas, zero waste and requires no high temperatures.
Petroteq is currently focused on developing its oil sands resources
and expanding production capacity at its Asphalt Ridge heavy oil
extraction facility located near Vernal, Utah. The company also
owns a minority stake in an exploration and production play located
in southwest Texas held by Accord GR Energy Inc. Under a joint
venture agreement with Recruiter.com and Oilprice.com, we anticipate that the
website offering employment opportunities in the Energy sector will
be launched in the month of November 2017. Petroteq is also
developing technologies to optimize petrochemical industry workflow
processes and will bring a team of professionals to expedite the
process. For this purpose, Petroteq is developing an advanced
blockchain solution for the Energy industry, this project is named
PetroBloq.
For more information about Petroteq Energy Inc.
visit: https://petroteq.energy/. For more on Petrobloq
visit: https://petrobloq.com/
Forward-Looking
Statements
Certain statements contained in
this press release contain forward-looking statements within the
meaning of the U.S. and Canadian securities laws. Words such as
"may," "would," "could, "should," "potential," "will," "seek,"
"intend," "plan," "anticipate," "believe," "estimate," "expect" and
similar expressions as they relate to the Company, and the Company
successfully increasing production capacity of its extraction plant
from 250 to 1,000 barrels per day, are intended to identify
forward-looking information. All statements other than statements
of historical fact may be forward-looking information. Such
statements reflect the Company's current views and intentions with
respect to future events, based on information available to the
Company, and are subject to certain risks, uncertainties and
assumptions. Material factors or assumptions were applied in
providing forward-looking information, including: the TSX Venture
Exchange providing final approval of the loan; Mr. Blyumkin
advancing the balance of the loan; and the Company having the funds
necessary to complete the expansion of the production capacity from
250 to 1,000 barrels per day. While forward-looking statements are
based on data, assumptions and analyses that the Company believes
are reasonable under the circumstances, whether actual results,
performance or developments will meet the Company's expectations
and predictions depends on a number of risks and uncertainties that
could cause the actual results, performance and financial condition
of the Company to differ materially from its
expectations.
Certain of the "risk factors"
that could cause actual results to differ materially from the
Company's forward-looking statements in this press release include,
without limitation: the TSX Venture Exchange not providing final
approval of the loan; Mr. Blyumkin not advancing the balance of the
loan; changes in laws or regulations; the ability to implement
business strategies or to pursue business opportunities, whether
for economic or other reasons; status of the world oil markets, oil
prices and price volatility; oil pricing; state of capital markets
and ability by the Company to raise capital; litigation; the
commercial and economic viability of the Company's oil sands
hydrocarbon extraction technology, the SWEPT technology, the S-BRPT
technology, and other proprietary technologies developed or
licensed by the Company or by Accord, which are of experimental
nature and have not been used at full capacity for an extended
period of time; reliance on suppliers, contractors, consultants and
key personnel; the ability of the Company and Accord to maintain
their respective mineral lease holdings; potential failure of the
Company's business plans or model; the nature of oil and gas
production and oil sands mining, extraction and production;
uncertainties in exploration and drilling for oil, gas and other
hydrocarbon-bearing substances; unanticipated costs and expenses,
availability of financing and other capital; potential damage to or
destruction of property, loss of life and environmental damage;
risks associated with compliance with environmental protection laws
and regulations; uninsurable or uninsured risks; potential
conflicts of interest of officers and directors; and other general
economic, market and business conditions and factors, including the
risk factors discussed or referred to in the Company's annual
Management's Discussion and Analysis for the year ending August 31,
2016, filed with the securities regulatory authorities in certain
provinces of Canada and available at www.sedar.com.
Should any factor affect the
Company in an unexpected manner, or should assumptions underlying
the forward-looking information prove incorrect, the actual results
or events may differ materially from the results or events
predicted. Any such forward-looking information is expressly
qualified in its entirety by this cautionary statement. Moreover,
the Company does not assume responsibility for the accuracy or
completeness of such forward-looking information. The
forward-looking information included in this press release is made
as of the date of this press release, and the Company undertakes no
obligation to publicly update or revise any forward-looking
information, other than as required by applicable law.
Neither TSX Venture Exchange
nor its Regulation Services Provider (as that term is defined in
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this release.
The securities referred to in
this news release have not been, nor will they be, registered under
the United States Securities Act of 1933, as amended, and may not
be offered or sold within the United States or to, or for the
account or benefit of, U.S. persons absent U.S. registration or an
applicable exemption from the U.S. registration requirements. This
news release does not constitute an offer for sale of securities,
nor a solicitation for offers to buy any securities. Any public
offering of securities in the United States must be made by means
of a prospectus containing detailed information about the company
and management, as well as financial statements.
