Newly-Formed JV with UK-based Partner for CoronaLux™ Units Announces First Unit Deployment
Existing Paragon Deployments and Partnerships Continue to Progress
GOLDEN, Colo., Sept. 2, 2015 /PRNewswire/ -- Strategic Environmental & Energy Resources, Inc. ("SEER") (OTCQB: SENR) today provided a global operations update on its technology division, Paragon Waste Solutions ("PWS"). The updates address the division's newly launched joint venture in the UK, its 6-month-old joint venture in China, and its ongoing operations throughout the United States.
In October 2014 Paragon UK, our UK-based subsidiary, entered into an exclusive joint venture agreement with its UK-based partner to deploy SEER's CoronaLux™ technology throughout the territories of the UK and the Republic of Ireland. Paragon UK has entered into an agreement with an established medical waste treatment facility to be the first in the country to deploy a large volume CoronaLux system. The product's shipment is scheduled for delivery in the next week, regulatory approval is expected to reach "final determination" status by the end of September, and installation, start-up and commissioning has been scheduled for the fourth quarter of this year. The Company's partner for Paragon UK has been working to facilitate permitting and installation with one of the largest and well established European-based engineering firms with extensive experience in all facets of waste resource management, spanning technology selection and procurement, facility design, engineering, contract performance, financial and waste flow modelling, sustainability and project delivery.
"Our newly formed partnership with a well-financed and well-recognized, industrial leader with strong relationships throughout the European environmental and waste markets signals a very positive step in the global advancement and commercial adoption of our innovative CoronaLux technology," said Fortunato Villamagna, PWS's CEO and President. "We are excited about our launch into the UK market and expect to announce the deployment of additional systems throughout the UK and elsewhere in Europe in conjunction with our new partner in the coming quarters."
Paragon-Pinnacle Environmental Solutions is PWS's recently formed JV with a Chinese partner, a well-established and prominent industrial equipment manufacturer in China. The JV has identified an initial customer location, and a CoronaLux L system is being shipped to China. Progress is also being made with respect to commercialization and business development in China, a market with tremendous upside potential given the current level of medical waste treatment needs and growing environmental regulations. Patent filings in China have recently been successfully completed. The system has been fully prepaid by the JV. Start-up and commissioning will take place during the fourth quarter. Similar to PWS's arrangement with its UK partner, all costs and expenses associated with startup and operation of deployed units shall be borne by the PWS's partner in China. Beyond the initial unit, a second system is also currently being prepared for deployment in China through the JV.
The CoronaLux Model L is performing well at the install site in southern California, with approximately 40,000 pounds of waste destroyed in the first six weeks under the operating restrictions of the conditional air permit in place. In-house sponsored stack testing conducted by an independent lab showed similar low emissions as previously recorded as part of the permitting process in Florida.
Paragon and its California partner have submitted all documentation required by South Coast Air Quality Management District (SCAQMD) to begin the review for the final (unrestricted) permit that will facilitate a significant increase in waste processed at this facility. Testing on the residue from the CoronaLux has been completed in California, resulting in the small amount (approximately 3% by weight) of residue being approved for ordinary disposal at nearby landfills. A positive response from a second landfill is expected soon. Plans are underway to provide additional systems to our California partner for deployment in both Southern and Northern California following approval from SCAQMD of the pending unrestricted operating permit.
Due to the documented successful results achieved by the Paragon system in its first deployment, the California Department of Public Health has identified Paragon's California partner as the only California waste treatment facility that is approved to treat all types of medical waste, including pharmaceutical waste which no other facility can treat within that state.
Regulatory and permit work is underway in several other states including Texas, Massachusetts and New York. PWS is receiving numerous inquiries from entities representing diverse market applications throughout the United States and other countries.
Progress in introducing the CoronaLux technology in the Florida market has been challenging due to certain logistical considerations at both the Pompano and Palm Beach facilities completely unrelated to the technology. The company is currently exploring options to better leverage and utilize the progress made to date and monetize the valuable permitting issued by Broward County and the State of Florida, Department of Health.
"While progress has not come easy as is expected when introducing a disruptive technology into a highly regulated industry, we are pleased with the completed permitting in Florida and the positive developments in California, China and the UK. In an industry that has not seen any new significant destruction technology in decades, our progress has been achieved in just 10 months following the issuance of the underlying patent for the CoronaLux technology," said J. John Combs, Chairman and CEO of SEER. "We see the challenges in regulatory approval and regional business development as an expected part of our entry into very large and growing world-wide markets. As these formidable barriers to entry are overcome, we believe these successes will provide a very profitable and sustainable opportunity for PWS, and consequently, increased value for all SEER shareholders," concluded Combs.
According to "Medical Waste Management Market - Global Industry Analysis, Size, Share, Growth, Trends and Forecast, 2013 - 2019", a new research report by Transparency Market Research, the global medical waste management market, worth US$14.5 billion in 2012, is estimated to reach US$20.1 billion by the end of 2019 registering growth at a CAGR of 4.8%.
About Strategic Environmental & Energy Resources, Inc.
Strategic Environmental & Energy Resources, Inc. (SEER) identifies, secures, and commercializes patented and proprietary environmental clean technologies in several multibillion dollar sectors (including oil & gas, renewable fuels, and all types of waste management, both solid and gaseous) for the purpose of either destroying/minimizing hazardous waste streams more safely and at lower cost than any competitive alternative, and/or processing the waste for use as a renewable fuel for the benefit of the customers and the environment. SEER has three wholly-owned operating subsidiaries: REGS, LLC; Tactical Cleaning Company, LLC; MV Technologies, LLC; and two majority-owned subsidiaries: Paragon Waste Solutions, LLC; and ReaCH4biogas ("Reach").
For more information about the Company visit: www.seer-corp.com
Safe Harbor Statement
This press release contains "forward-looking statements" within the meaning of various provisions of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, commonly identified by such terms as "believes," "looking ahead," "anticipates," "estimates," and other terms with similar meaning. Although the company believes that the assumptions upon which its forward-looking statements are based are reasonable, it can give no assurance that these assumptions will prove to be correct. Such forward-looking statements should not be construed as fact. Statements in this press release regarding the cost effectiveness, impact and ability of the Company's products to handle the future needs of customers are forward-looking statements. The information contained in such statements is beyond the ability of the Company to control, and in many cases the Company cannot predict what factors would cause results to differ materially from those indicated in such statements. All forward-looking statements in the press release are expressly qualified by these cautionary statements and by reference to the underlying assumptions.
Strategic Environmental & Energy Resources (SEER)
J. John Combs III
Chief Executive Officer
Darrow Associates, Inc.
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SOURCE Strategic Environmental & Energy Resources, Inc.
Released September 2, 2015