Deloro Energy LLC (“Deloro”)
Deloro is a private company established to acquire a 49% interest in the Asphalt Ridge heavy oil project in Utah, USA (“Asphalt Ridge”), being developed by TSX listed Petroteq Energy Inc (‘Petroteq’).
Asphalt Ridge is Petroteq’s core asset and has 87 Million Stock Tank Barrels contingent resource in place, a defined development plan to produce 5,000+ bopd by 2019 and strong economics:
In November 2017 Mayan acquired a 17.6% interest in Deloro, for a total consideration of US$1.505million and once Deloro has completed its acquisition of its 49% interest in the Asphalt Ridge, Mayan will effectively have an 8.62% stake in that project.
In January 2018 Deloro announced that it had completed the first US$2.5m tranche of its US$10m acquisition of a 49% interest in Asphalt Ridge, entitling Deloro to a 25% economic royalty from the project.
Petroteq is on track to complete the construction of a newly relocated plant with an initial production target of 1,000 bopd. The plant, which is expected to commission during February 2018, will utilise Petroteq’s patented process technology which unlocks heavy oil without generating greenhouse gases or waste, a process proven by Petroteq who produced and sold 10,000 barrels of oil in 2015 using this technology at its first facility in Maeser, Utah.
Analysis of production from Petroteq’s first facility in Maeser, Utah indicates that end-product will contain a high range of diesel organics as well as low sulphur and any other contaminants. This is encouraging as there is presently a high demand for low sulphur diesel from the USA trucking and shipping industries.