Alaska Pacific Energy Corp. (APEC or the Company) (OTCBB:ASKE), a public company listed on the OTC Bulletin Board in the United States, announced June 8 it has entered into a purchase agreement to acquire all the outstanding shares and assets of Engineering Technology Inc. (Entec), a Calgary Alberta-based, private company.
Entec is an international provider of horizontal directional drilling (HDD) engineering and technology development to the oil and gas industry. Entec has provided its clients with design, construction turnkey project engineering and management services for the last three decades. Entec has applied advancements in drilling engineering and technology to develop and establish new industry standards resulting in the successful completion of more than 1,000 projects worldwide. In May 2009, Entec provided the primary drilling engineering and construction management for a TransCanada Pipeline project that saw a Canadian record 42-in. pipeline successfully drilled under the Peace River in
This new agreement marks a major extension of the Oil Sands Licensing Agreement between APEC and Entec announced at the end of March 2009. Under that previous agreement, Entec granted Alaska Pacific Energy Corp. and any affiliates, North American License rights to its drilling solutions programs that will be used to advance oil sands recovery technology. This new agreement places APEC in the position of being able to use and license the solutions worldwide.
According to the terms of this new agreement, the Company will pay $7 million and issue a total of 12 million restricted common shares to the Entec shareholders at a deemed price of $0.25 per share. Additionally, APEC will raise $5 million for working capital.
President and CEO of Entec is Grant Jameson. At the closing, Jameson, will be appointed a director of APEC. The Company has also incorporated a wholly owned subsidiary, Alaska Pacific Energy (
The agreement is subject to a full due diligence review of Entec. Completion of the due diligence and the closing is expected by no later than August 31, 2010. With the Entec acquisition, comes new methodology for the extraction of oil from oil sands wherever they occur. APEC’s goal will be to utilize its drilling solutions to enhance current oil recovery in the Alberta and Saskatchewan oil sands and in other countries and make the exploitation of shallower depth oil sands much more environmentally acceptable and cost efficient than it is at present.