CASTLE ROCK, Colo., April 25, 2003 — Nathaniel Energy Corp., announced that it has completed the acquisition of Keyes Helium and related assets from El Paso Corp.
Nathaniel paid $9.9 million to El Paso for its interest in Keyes Helium along with related compression, processing and gathering facilities owned by affiliates of El Paso.
This strategic acquisition of Keyes Helium, along with previously announced transactions, provides Nathaniel with $14 million in helium related assets and positions Nathaniel Energy to potentially become one of the largest independent helium producers in the United States because of its unique ability to dramatically decrease production costs by creating lower-cost energy and nitrogen.
The helium is presently sold under an agreement with Air Products & Chemicals, Inc. (NYSE: APD – News). Based on previous audited financial statements and prior to cost savings and production enhancements, Nathaniel projects that Keyes Helium’s profits for calendar year 2003 is expected to be approximately $2.4 million, on revenues of $7.5 million.
Helium is a rare gas with demand and prices increasing while supply is decreasing. It is used in many industries including semiconductors, spacecrafts, cryogenics, document preservation, lasers and medical MRI machines.
Nathaniel Energy Corporation (www.nathanielenergy.com) develops environmentally safe energy infrastructures that produce electricity, heat, steam, alternative fuels, natural gas and chemical products using its proprietary, patented technology, the Thermal Combustor.
The Thermal Combustorà¢â€ž- gasification system converts waste, biomass, tires and other solid carbon based materials into electricity and thermal energy, while capturing the pollutants and turning them into useful products. The Thermal Combustorà¢â€ž- has proven to be the most economical and efficient method of extracting all available energy and by-products from the waste. This process accommodates the use of many different solid wastes without any alteration to the unique Thermal Combustorà¢â€ž- design. This means that Nathaniel Energy can monetize every possible product generated from the waste conversion process while still exceeding the most stringent EPA and European Union regulations.