PHOENIX, AZ, April 02, 2020 (GLOBE NEWSWIRE) -- Multiple New End Markets Still Progressing
PHOENIX, AZ – April 2, 2020 – Taronis Fuels, Inc., (“Taronis” or “the Company”)(OTC: TRNF), a global producer of renewable and socially responsible fuel products, today provided a summary update of international operations. The Company is currently advancing multiple new end market opportunities in Europe, the Middle East and Latin America for the use of the Company’s patented Venturi plasma arc gasification technology. Taronis produces the world’s only renewable and socially responsible metal cutting fuel, MagneGas. Details by each international market are as follows:
First, the mobile gasification unit scheduled for shipment to Ankara, Turkey is being commissioned as fully operational in Clearwater, Florida this week. The unit will be shipped out from the port of Tampa within a week, and is scheduled to arrive in Ankara within 45 days of shipment. The unit was sold for $5 million to a business development firm that successfully arranged a 30 unit, $165 million contract for a country wide launch of MagneGas as a viable replacement in the Republic of Turkey.
The unit is expected to be commissioned in Ankara upon delivery in the second half of May. As part of the commissioning process, key Turkish officials and prospective gasification unit buyers from neighboring markets will observe a demonstration of the gas production process, as well as live demonstrations using MagneGas.
This commissioning process is the final condition requested by the Turkish Ministry of Energy and Natural Resources before the acceleration of the $18.75 in payments commence. The first payment will be required for $4.7 million immediately after the commissioning process. A second payment will be then accelerated to 30 days from the initial payment. The third payment will be required approximately 90 days from the initial payment, when the 5 units are ready for shipment. The remaining $4.7 million payment will be required immediately after the 5 units are commissioned in Ankara, likely in late September 2020.
Next, the Company has made meaningful progress in Bahrain with a global industrial gas provider. The Company successfully demonstrated the ability to produce MagneGas in Bahrain for less than half the cost to produce acetylene using local market cost factors. The Company also provides a number of logistical benefits to the prospective partners, including the elimination of challenging importation steps related to calcium carbide, the total elimination of fresh water consumption in the gas production process, and the elimination of costly waste disposal expenses related to lime waste.
The Company is working to coordinate a final meeting with the regional executives of the prospective partner in order to secure approval to proceed. In the interim, Taronis has begun procuring the requisite electrical components that would be required to deliver a customized gasification unit that would be able to operate using the local electrical power configuration, which is different from what is used in the US.
The Company is also working to complete all of the required permitting paperwork with the Port of Amsterdam for the launch of a fully operation gasification facility in Amsterdam. The process is expected to be completed in late third quarter. During that time, Taronis will begin to customize a second gasification unit for end use in Europe. Turkey, the EU and the GCC all use the same electrical power configuration, which provides the Company with significant operational flexibility to rapidly deploy the newly configured units for multiple end markets as needed.
Lastly, the Company continues to navigate the due diligence process with the government of El Salvador. In this market, Taronis has been asked by the government of El Salvador to develop an entirely new fuel product intended to replace propane for residential uses. The government of El Salvador imports in excess of $250 million in propane products annually and subsidizes more than twenty-five percent of the end market.
This subsidy enables the poorest members of the Salvadoran economy to afford propane on a daily basis. Based on the Company’s current models, it is possible to eliminate the need for imports and provide a renewable propane substitute to meet the country’s needs.
“We receive a number of inquiries related to our international expansion opportunities,” commented Scott Mahoney, CEO of Taronis. “We are very fortunate that we are operating primarily in markets that have not been as negatively impacted by the COVID-19 pandemic. We are systematically advancing all of these opportunities, as well as exploring several additional, promising new markets for future development.”
“We are very fortunate that we have extremely high caliber partners in all of these markets, and we are confident we are advancing all of these opportunities as efficiently as possible, given the global market conditions. Given we are able to deliver massive cost savings using an environmentally responsible product, we are providing a powerful benefit that is only magnified during uncertain economic times such as these,” concluded Mr. Mahoney.
About Taronis Fuels, Inc.
Taronis Fuels, Inc. is a global producer of renewable and socially responsible fuel products. Our goal is to deliver environmentally sustainable, technology driven alternatives to traditional fossil fuel and carbon-based economy products. We believe our products offer a vastly cleaner solution to legacy acetylene and propane alternatives.
Taronis is also dedicated to providing fundamentally safer solutions to meet the industrial, commercial and residential needs of tomorrow’s global economy. Our products have been rigorously tested and independently validated by global gas authorities as vastly safer than acetylene, the most dangerous industrial gas in use today.
Lastly, we strive to deliver products that offer significant function superiority at a reduced cost to the end consumer. Through these efforts, we support 9 of the 17 United Nations Sustainable Development Goals. For more information, please visit our website at www.taronisfuels.com/
FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements as defined within Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements relate to future events, including our ability to raise capital, or to our future financial performance, and involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance, or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. You should not place undue reliance on forward-looking statements since they involve known and unknown risks, uncertainties and other factors which are, in some cases, beyond our control and which could, and likely will, materially affect actual results, levels of activity, performance or achievements. Any forward-looking statement reflects our current views with respect to future events and is subject to these and other risks, uncertainties and assumptions relating to our operations, results of operations, growth strategy and liquidity. We assume no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.
For a discussion of these risks and uncertainties, please see our filings with the Securities and Exchange Commission. Our public filings with the SEC are available from commercial document retrieval services and at the website maintained by the SEC at http://www.sec.gov.
Investor Contacts:
Michael Khorassani
IR@TaronisFuels.com