
These factors will strengthen MCW's ability in making strategic moves within its core distribution business, while dramatically increasing the Company's profit margins. At this juncture, there is little oil produced on a commercial basis in the United States from oil sands or oil shale deposits. The state of Utah contains almost 32 billion barrels of oil within its eight extensive oil sands deposits, a total which is just less than 50% of all American oil sands deposits. Despite the fact that the steam/pressure technology (SAGD method) is widely used in the Canadian "water-wet" deposits, this technology cannot be applied to America's oil sands deposits because they are defined as "oil-wet," and require totally different technologies for successful extraction. And because one of the key components of Canadian oil sands processing is the need for vast amounts of water, an element that is just not an available commodity in U.S. oil sands deposit locations.
MCW feels that it has now bridged the gap in U.S. oil sands technology with its proprietary, environmentally-friendly, closed-loop system, which utilizes benign solvents within the system and requires no water during the extraction process. (See "Oil Sands Technology," within this website.) MCW's oil extraction technology may be used on most kinds of oil sands deposits (oil-wet or water-wet) as well as many other types of hydrocarbon deposits. MCW's scientific team has been hard at work perfecting the solvent combinations in order to reach hydrocarbon extraction levels of 97% to 98%. One of the Company's key team members who created this environmentally-friendly technology, Vladimir Podlipskiy, has had extensive experience in the research and development of bio-organic chemicals and has an impressive portfolio of accomplishments in the field of human-friendly, natural and organic compounds. The Company now feels that after four years of research, it possesses a satisfactory extraction technology which is commercially viable and one that will satisfy all environmental concerns/requirements during the extraction process.
Recent developments within the U.S. have focused on the increased production of domestic energy sources, together with a commitment from Federal and State Governments to encourage the development of safe technologies for the exploitation of energy….especially oil production. This newly-engendered, positive attitude will go a long way to reduce the nation's current reliance on foreign oil imports and will provide a large number of highly-skilled job vacancies for local workers. All of these factors provide a very favorable climate for MCW's plans to implement its oil sands development program in Utah.
Based on conservative projections of near future oil prices versus very attractive operating costs
($30.00 - $40.00 USD per barrel), management feels that its oil sands operations will add significantly to projected revenue levels within a two year period. MCW is also investigating other oil sands lease opportunities in the Uintah Basin region in Utah in order to augment its portfolio of proven/probable reserves.
After successfully completing a $3,000,000 USD debt financing program in June, 2011, MCW's Oil Recovery division is now moving ahead with the development of its oil sands lease in Utah. The funds will be utilized to fabricate its first oil extraction unit, as well as costs for site development, which includes a mining plan, feasibility study and an environmental impact study (which has now been completed) by the Company's geological and environmental consultant teams.