HOFFMAN ESTATES, Ill., Aug. 9, 2005 (PRIMEZONE) -- American Petroleum Group, Inc. (OTCBB:AMPE) has acquired the assets of Triton Petroleum, LLC of Detroit, Michigan. Triton Petroleum is a reclamator of "un-combusted" oils that it purchases from the automotive industry. Triton purchases used oil from various consolidators of used petroleum such as gear oil, machine oils, etc. that have never been burnt before. It then transports the un-combusted, but unrefined, oils back to its reclamation facility for refining. After a very detailed reclamation process, all impurities and contaminants are extrapolated out of the oil through Triton's centrifuge operation, thus leaving it with a very valuable renewable petroleum base oil. This base oil can be blended with new crude and other chemical components and bottled in our Bedford Park, Illinois facility. Using the renewable oils from Triton Petroleum will drastically reduce American Petroleum Products Company's (APPC) cost of base oil by 35%, and management feels that the acquisition of the assets of Triton petroleum, making APPC its only customer, will be an advantage with respect to earnings.
APPC has purchased this kind of oil in the past from various supplies, including Triton Petroleum, but owning the supplier creates a vertical integrated supply chain and giving AMPE a price advantage over its competitors in this highly competitive commodity market.
James W. Zimbler, Interim President of AMPE stated, "The acquisition of the assets of Triton Petroleum is something we have been excited for some time. Controlling the stream of this very valuable renewable product, as well as the proper purchases of new crude oil, will help us reach our production and revenue goals, as this will double our current production capabilities."
About American Petroleum Group, Inc.
American Petroleum Group, Inc. (the "Company") is a Chicago area based holding company with an agenda to acquire, merge, and manage various business opportunities. The Company's current direction is in the manufacturing and distribution of petroleum and related products for the automotive industry with its subsidiary American Petroleum Products Company. Primarily in the motor oil industry, such as bulk motor oil distribution, as well as the bottle motor oil industry. American Petroleum Group's management has made their mark in the Private Label Bottling sector for some of the major oil companies in the U.S. American Petroleum Group also plans to exploit several opportunities for Private Labeling of Motor Oils for several well-know retail chains throughout the United States, as well as several anti-freeze and brake fluid private distribution agreements for a few well-known national automotive repair facilities. Another big area for growth is in the recycled or "un-combusted" oil industry, through a new marketing relationship in Michigan that the Company plans to launch.
Forward-Looking Statements
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