Debut of the New Severe-Duty APG Dual Fuel Glider Kit by Harrison Truck Centers; First APG Dual Fuel Class 8 Truck to Utilize Conditioned Wellhead/Flared Natural Gas
LYNNFIELD, MA--(Marketwired - Mar 24, 2015) - American Power Group Corporation (
The Mid-America Trucking Show (MATS) is the largest annual heavy-duty trucking industry event in the world. Held each year at the Kentucky Expo Center in Louisville, KY, the show attracts 70,000+ attendees and 1,000+ exhibitors from throughout the United States and abroad. APG and HTC will be co-displaying their dual fuel severe-duty glider in Booth 32921.
As previously announced on February 10, 2015, APG has been selected by Harrison Truck Centers to provide APG's Turbocharged Natural Gas® Dual Fuel System for HTC's new dual fuel heavy-duty and severe-duty glider kit product line launch. Harrison Truck Centers is an Iowa-based, full service Freightliner/Western Star dealership and one of the industry leaders in the production of Freightliner Glider Kits.
A Freightliner Glider Kit is designed, engineered and assembled alongside new Freightliner trucks giving the prospective fleet owner everything a new truck offers except for two of the three main driveline components (engine, transmission, or rear axle). The fleet owner can either recapitalize any of the driveline components from their existing unit or specify a factory installed remanufactured engine or reman rear axle. Freightliner Glider Kits are available in day cab or sleeper units with a wide range of options at a much lower cost compared to a new diesel truck. APG has EPA engine family approvals for all six engine platforms that HTC uses in their glider kits.
Lyle Jensen, American Power Group's Chief Executive Officer commented, "We look forward to participating again in this year's MATS conference and are excited to spot light our new "Fueled By Flare™" dual fuel natural gas system. A convergence of technologies now allows wellhead/flared gas in the oil and gas fields to be filtered and conditioned to harvest the methane, propane and butane contained in what has been considered a waste gas by the exploration and production ("E&P") companies. Over 70% of APG's dual fuel stationary oil rig conversions are operating on conditioned wellhead gas. We also have our first drilling rig operating successfully on high-BTU conditioned wellhead/flared gas in the Bakken region of North Dakota, an area that is facing significant penalties and restrictions associated with the flaring of their wellhead gas. While there are significant opportunities associated with the use of conditioned wellhead gas in stationary oil and gas drilling applications, we see a much larger addressable market in the thousands of heavy-duty trucks supporting the oil and gas exploration industry. The ability to use conditioned wellhead/flared gas to fuel these trucks can provide an operator with a significant competitive economic advantage as well as help address a significant pending problem for the E&P companies who have to eliminate the flaring of their wellhead gas. The ability to scale the production of acceptable quality conditioned wellhead/flared gas will produce a natural gas fuel that is expected to save regional fleet owners 25% - 35% in fuel costs as compared to diesel fuel. APG currently has a severe-duty dual fuel glider truck in the Bakkens. We believe our dual fuel system is perfectly matched for the high-horsepower and heavy-haul demands of the oil and gas services industry and we are able to deliver diesel-like performance at a lower total cost of ownership."
Mr. Jensen added, "In addition to using "Fueled By Flare™" dual fuel systems with new dual fuel gliders, APG can convert existing vehicular diesel engines that support the regional trucking markets. APG leads the industry with 474 OUL and IUL approvals (2012-1987) covering six of the top OEM engine platforms including 18 IUL approvals received over the past 90 days for 2012-2010 OEM engine families (Detroit Diesel DD15/DD13 and Mack/Volvo D13) with SCR engine technology. Our dual fuel solution can also use the conditioned wellhead/flared gas for drilling, fracking, pumping, compressing air, and mobile lighting towers operating in the oil and gas exploration industry. We believe that federal, state, and local emission regulations will only get tougher as it relates to the amount of wellhead/flared gas that can be emitted into the environment. The economic and environmental benefits of converting this previously considered "waste" gas into usable fuel is one of the most compelling environmental case studies of our time and we believe APG's Dual Fuel technology will become a major consumer and sustainability solution for operators in this area."
About American Power Group Corporation
American Power Group's alternative energy subsidiary, American Power Group, Inc., provides a cost-effective patented Turbocharged Natural Gas® conversion technology for vehicular, stationary and off-road mobile diesel engines. American Power Group's dual fuel technology is a unique non-invasive energy enhancement system that converts existing diesel engines into more efficient and environmentally friendly engines that have the flexibility to run on: (1) diesel fuel and liquefied natural gas; (2) diesel fuel and compressed natural gas; (3) diesel fuel and pipeline or well-head gas; and (4) diesel fuel and bio-methane, with the flexibility to return to 100% diesel fuel operation at any time. The proprietary technology seamlessly displaces up to 75% of the normal diesel fuel consumption with the average displacement ranging from 40% to 65%. The energized fuel balance is maintained with a proprietary read-only electronic controller system ensuring the engines operate at original equipment manufacturers' specified temperatures and pressures. Installation on a wide variety of engine models and end-market applications require no engine modifications unlike the more expensive invasive fuel-injected systems in the market. See additional information at: www.americanpowergroupinc.com.
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With the exception of the historical information contained in this release, the matters described herein contain forward-looking statements and opinions, including, but not limited to, statements relating to new markets, development and introduction of new products, and financial and operating projections. These forward-looking statements and opinions are neither promises nor guarantees, but involve risk and uncertainties that may individually or mutually impact the matters herein, and cause actual results, events and performance to differ materially from such forward-looking statements and opinions. These risk factors include, but are not limited to, the fact that our dual fuel conversion business has lost money in the last six consecutive fiscal years, the risk that we may require additional financing to grow our business, the fact that we rely on third parties to manufacture, distribute and install our products, we may encounter difficulties or delays in developing or introducing new products and keeping them on the market, we may encounter lack of product demand and market acceptance for current and future products, we may encounter adverse events economic conditions, we operate in a competitive market and may experience pricing and other competitive pressures, we are dependent on governmental regulations with respect to emissions, including whether EPA approval will be obtained for future products and additional applications, the risk that we may not be able to protect our intellectual property rights, factors affecting the Company's future income and resulting ability to utilize its NOLs, the fact that our stock is thinly traded and our stock price may be volatile, the fact that we have preferred stock outstanding with substantial preferences over our common stock, the fact that the conversion of the preferred stock and the exercise of stock options and warrants will cause dilution to our shareholders, the fact that we incur substantial costs to operate as a public reporting company and other factors that are detailed from time to time in the Company's SEC reports, including the report on Form 10-K for the year ended September 30, 2014 and the Company's quarterly reports on Form 10-Q. Readers are cautioned not to place undue reliance on these forward-looking statements and opinions, which speak only as of the date hereof. The Company undertakes no obligation to release publicly the result of any revisions to these forward-looking statements and opinions that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
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