Successful Testing and Patented Technology During Developmental 2016 Provides Optimism for 2017
Norcross, GA -- (ReleaseWire) -- 12/28/2016 --Vega Biofuels, Inc. (OTCPink:VGPR), provides the following update to its shareholders.
2016 has been a very productive year for the Company. As a result of President Obama's plan to cut carbon pollution in the United States by reducing carbon dioxide emissions created by coal-fired power plants, we adjusted our Business Plan to focus more attention on the domestic market for our renewable energy product called Bio-Coal. Our Bio-Coal is a renewable energy product made from timber waste using unique technology called torrefaction. Torrefaction is the treatment of biomass at high temperatures under low oxygen conditions.
During the first half of the year, we focused on increasing our production capacity by building a larger torrefaction machine and streamlining a portion of the manufacturing process. The increase in capacity was followed by several successful laboratory tests of our Bio-Coal to assess whether or not our product could replace traditional coal in coal-fired power plants. The lab testing was performed by Standard Labs and the results indicated that our product could meet and in most cases, beat the specifications of traditional coal.
In the first quarter, we responded to a Request for Proposal from a major US Utility to provide a quote for 8,000 tons of our Bio-Coal product. From the list of companies providing quotes, Vega was chosen to move forward with the Utility. During the second quarter of the year, we sent several samples of our Bio-Coal to the Utility for further testing to confirm that our product could perform safely and successfully in their coal-fired boiler.
The Utility was impressed with our product and sent larger samples to the Western Research Institute to have testing done in an actual boiler that WRI has at their facility. The results of this extensive testing proved that Vega's Bio-Coal out performed traditional coal in the boiler and could be burned in the Utility's plant as a clean-energy replacement for PRB coal.
The extensive report by WRI is posted on our website vegabiofuels.com.
Subsequent to the WRI report being made public, we received requests from several other power companies that were interested in performing their own tests on our Bio-Coal. As a result of the increase in the attention our Bio-Coal is receiving, we are projecting 2017 revenue will surpass two million dollars. In order to accommodate the increased demand for our product, we completed construction in November on our generation four torrefaction machine. The new design increases the production of each machine by approximately 25%.
To protect the design of the Company's torrefaction machine, we secured the services of King & Spaulding, LLP to draft and submit a Provisional Patent with the U.S. Patent and Trademark Office under the title "Method and Apparatus for Torrefying Biomass". The application disclosure relates generally to wood used as a fuel source, and more particularly to systems, methods, and devices for torrefying biomass, such as wood or other agricultural biomass. We feel that our torrefaction machine is the most robust production unit currently in the marketplace.
The attention we are receiving from all over the world is a result of the hard work done by everyone associated with our Company and our partners as well as the successful testing of our Bio-Coal product by power companies and laboratories around the world.
On behalf of our management team, we want to thank you for your continued support during our developmental stage. We look forward to capitalizing on the increased interest in our Company as we move into 2017. We will provide additional updates as we move forward.
About Vega Biofuels, Inc. (OTCPink:VGPR)
Vega Biofuels, Inc. is a cutting-edge energy company that manufactures and markets a renewable energy product called Bio-Coal made from timber waste using unique technology called torrefaction. Torrefaction is the treatment of biomass at high temperatures under low oxygen conditions.
For more information, please visit our website at http://www.vegabiofuels.com.
Forward Looking Statement
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. In some cases, you can identify forward-looking statements by the following words: "anticipate," "believe," "continue," "could," "estimate," "expect," "intend," "may," "ongoing," "plan," "potential," "predict," "project," "should," "will," "would," or the negative of these terms or other comparable terminology, although not all forward-looking statements contain these words. Forward-looking statements are not a guarantee of future performance or results, and will not necessarily be accurate indications of the times at, or by, which such performance or results will be achieved. Forward-looking statements are based on information available at the time the statements are made and involve known and unknown risks, uncertainty and other factors that may cause our results, levels of activity, performance or achievements to be materially different from the information expressed or implied by the forward-looking statements in this press release.
DATASOURCE: Vega Biofuels, Inc.
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