Drosrite International LLC Receives First Payment under US$17M Contract with Radian Oil & Gas Services Company
03/23/2020 | 02:06pm EDT
MAHWAH, N.J., March 23, 2020 (GLOBE NEWSWIRE) -- Drosrite International LLC, a private waste management technologies company based in New Jersey, USA, (the "Company", the “Corporation” or "Drosrite International"), is pleased to announce that, further to its press release dated February 5th, 2020, the first $1M of the $2M down payment has been received from Radian Oil & Gas Services Company (“Radian” or the “Client”). Due to electronic transfer limits currently in place as result of the current pandemic, payments are limited to $1M per week.
“It is extremely exciting to officially start this project, and to be introducing the DROSRITE™ technology to one of the biggest high-tech aluminum smelters in the world,” said Mr. Alex Pascali, CEO of Drosrite International. “As previously disclosed, this down payment as well as the three subsequent payments of $2M will be closely timed. As such, the Company will receive $1M transfers approximately every week over the next several months. We do not see any reason to modify this expectation as the relevant invoices have, or will be sent out shortly. It is important to note that, not only has work already begun on the project, but our supply chain is intact.”
The Company does not expect to announce any further receipt of payments unless there is a material change to expectations.
Under this contract, Drosrite International will provide innovative environmental services aimed at treating aluminum dross (“Aluminum Dross Processing”), using the DROSRITE™ technology. All DROSRITE™ systems will be manufactured in the United States.
The Company will manufacture, under a limited exclusive arrangement to sell DROSRITE™ systems, five (5) DROSRITE™ 5,000 TPY systems, plus two (2) 10,000 TPY systems to treat 30,000 to 40,000 tons per year of white and black aluminum dross. In addition, the Company will also supply spare parts over a 20-year period and, separately, benefit from an annual royalty stream.
DROSRITE™ is a patented, proven, salt-free, cost-effective, sustainable process for maximizing metal recovery from dross (a waste generated in the metallurgical industry) which avoids costly loss of metal, while reducing a smelter’s carbon footprint and energy consumption, thus providing a high return on investment. The system has been designed to process and recover valuable metals such as aluminum, zinc and copper from dross.
Radian is a private Saudi Arabian company providing technologies that help customers conserve energy, operate more efficiently through a broad range of solutions while saving fuel, water / electricity & reducing CO2 emissions. Radian is owned by the HAKA Group, an established conglomerate business founded in 1967 which is also based in the Kingdom of Saudi Arabia. The group is operating in a diverse range of business sectors from logistics to food and drink and from construction to real estate, owning a flourishing mix of brands under its umbrella.
About Drosrite International LLC
Drosrite International LLC, is a US based private company duly constituted and existing under the laws of the State of Delaware, providing state-of-the-art waste management technologies to the aluminum industry. The Company is duly licensed and has the right to manufacture, market, sell and distribute DROSRITE™ systems and technology. All DROSRITE™ systems supplied by Drosrite International are manufactured in the USA. The Company’s core business is to promote, under a limited exclusive arrangement, the trademarked DROSRITE™ systems and technology; a revolutionary salt-free rotary tilting furnace for maximizing the recovery of non-ferrous metals from dross. Drosrite International’s focus is to supply DROSRITE™ systems, together with complete plant and accessories, required for the recovery of aluminum dross. Drosrite International LLC is in discussion with other smelters to provide this type of service on a direct/indirect basis.
This press release contains certain forward-looking statements, including, without limitation, statements containing the words "may", "plan", "will", "estimate", "continue", "anticipate", "intend", "expect", "in the process" and other similar expressions which constitute "forward- looking information" within the meaning of applicable securities laws. Forward-looking statements reflect the Corporation's current expectation and assumptions and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those anticipated. These forward-looking statements involve risks and uncertainties including, but not limited to, our expectations regarding the acceptance of our products by the market, our strategy to develop new products and enhance the capabilities of existing products, our strategy with respect to research and development, the impact of competitive products and pricing, new product development, and uncertainties related to the regulatory approval process. Such statements reflect the current views of the Corporation with respect to future events and are subject to certain risks and uncertainties and other risks.
Actual results, events, and performance may differ materially. Readers are cautioned not to place undue reliance on these forward-looking statements. The Corporation undertakes no obligation to publicly update or revise any forward- looking statements either as a result of new information, future events or otherwise, except as required by applicable securities laws.