Kleangas Energy Technologies, Inc. (OTCPK:KGET) signed a letter of intent to acquire Second Cycle Recycling from Lori Willis on May 29, 2014. Upon completion of the definitive agreement and closing, the Second Cycle Recycling facility will begin its expansion and move to a larger production facility with enormous onsite expansion possibilities. Kleangas Energy Technologies, Inc. (OTCPK:KGET) signed a stock purchase agreement to acquire Second Cycle Recycling from Lori Willis for $0.3 million on June 3, 2014.

The purchase price shall be paid as follows: (i) issuance by Kleangas Energy Technologies, Inc. of 25 million shares of its restricted common stock and (ii) $0.2 million in cash with (a) $5,000 paid upon closing of the stock purchase agreement, (b) $2,000 per week until the new facility is generating sufficient revenue pursuant to which the remaining balance would be paid in full or payments would be accelerated, (c) $500 per week to be applied to start-up expenses until the new facility is generating sufficient revenue pursuant to which the remaining balance would be paid in full or payments would be accelerated. Kleangas Energy Technologies will invest $0.5 million worth of equity and equipment over the next 12 months to expand Second Cycle Recycling's operations. Second Cycle Recycling will become the wholly-owned subsidiary of Kleangas Energy.

Lori Willis will also enter into employment and non competing agreement. The closing will occur on or before June 30, 2014.