GENOIL INC. AND HEBEI ZHONGJIE PETROCHEMICAL GROUP COMPANY ANNOUNCE RESULTS OF HEAVY OIL UPGRADING TEST
Edmonton, Alberta, Canada. – November 7, 2007 – Genoil Inc. (TSX.V: GNO; OTCBB: GNOLF) and Hebei Zhongjie Petrochemical Group Company Ltd. (“HZ”) are pleased to announce the result of the successful test run of HZ’s heavy crude and residual oil blend using the patented Genoil Inc. GHU® technology.
The results of the pilot plant testing for the proposed Genoil 20,000 BPD GHU® upgrader met the goals for the upgraded synthetic crude product. Genoil is very pleased with the results as outlined below and looks forward to completion of the FEED (Front End Engineering and Design study as the next step in moving the project forward. A delegation from Genoil will be in China in December in order to present the final results and work with HZ on the planned integration of the GHU® into the existing refinery. During the pilot plant testing, Genoil processed the blended refinery residue and heavy crude through the GHU®, resulting in a decrease of the sulphur content by 91.6% (0.062% in GHU® product stream), a decrease in nitrogen content by 45.9%, and a decrease in metals content by 86.4%. Additionally, the GHU® increased the API from 12 API to 22 API before heavy bottoms removal for gasification. Genoil expects the calculated final API of the upgraded crude to be in the range of 27 to 30 once the heavy bottoms are separated and sent to gasification where the syntheses gas will be used in the new facility to produce hydrogen, power and steam.
Yu Guo Chen, Vice President Hebei Zhongjie Petrochemical Group Co. Ltd., stated: “We are very excited about the results of the pilot plant testing and laboratory results. We are looking forward to completing the work now underway and towards Genoil’s visit to China in December, where we anticipate finalizing the design and impact on our refinery and petrochemical factory.”
Genoil Inc. is an international engineering technology development company based in Alberta, Canada, that develops innovative hydrocarbon, oil and water separation and marine technologies for the oil and gas and commercial marine industries.