NEW YORK, April 11, 2011 /PRNewswire-FirstCall/ -- Energtek Inc. (Other OTC:EGTK.PK, Pink Sheets: EGTK ), a leader in hi-tech natural gas solutions and Adsorbed Natural Gas (ANG) technology, announced today that the company signed a multi-million dollar contract, with expected accumulated revenues near $100MM over the ten-year contract period, to sell natural gas to one of the largest commercial entities in Bosnia and Herzegovina.
The agreement was signed with Aluminij d.d. Mostar, owned by Federation of Bosnia and Herzegovina, and widely considered to be one of the country's most influential companies.
Aluminij is among the largest aluminum producers in Europe, with multinational clients that include Daimler-Chrysler (Germany, US), Fiat (Italy), Venture Coke Company L.L.C. (Venco-Conoco joint Venture) from the US), Glencore International AG (Switzerland), and Hydro ASA (Norway).
The ongoing supply and delivery of natural gas utilizing Energtek's mobile-pipeline systems is expected to commence during Q4 2011. Revenues generated from the sales of natural gas are expected to total approximately $10MM per year.
The sales contract follows a recently reported agreement between Energtek and BH Gas d.o.o., the government-controlled sole natural gas transmission provider, which allows Energtek to purchase natural gas from the nation's pipeline grid and deliver it to clients.
Energtek is currently working to establish a local subsidiary to implement the business activities in Bosnia and Herzegovina, together with local partners. Energtek will retain majority control of the subsidiary.
"The agreement with Aluminij significantly reinforces Energtek's presence as the first and major mobile supplier of natural gas in the country. This major revenue generating contract is the result of ongoing business development activities and strategic agreements carried out in Bosnia and Herzegovina during the past year," said Lev Zaidenberg, CEO of Energtek. "We plan to leverage the technological and commercial competitive advantages that we managed to build in order to acquire additional customers in the country and across the region."
Energtek (EGTK.PK) develops and applies innovative low-pressure mobile transportation solutions for industrial consumers and fleets of small vehicles. The company is also involved with oil and gas exploration in Israel. Energtek operates subsidiaries in North America, Europe, Asia and the Middle East. To learn more about Energtek, visit http://www.energtek.com
This release contains forward-looking statements within the meaning of the Securities Exchange Act of 1934, as amended. All forward-looking statements are inherently uncertain as they are based on current expectations and assumptions concerning future events or future performance of Energtek and its technologies. Readers are cautioned not to place undue reliance on these forward-looking statements, which are only predictions. In evaluating such statements, prospective investors should review carefully various risks and uncertainties identified in this release and other matters set in Energtek's filings. These risks and uncertainties could cause actual results to differ materially from those indicated in the forward-looking statements.
Contact: Investor Relations IR@energtek.com +1-212-999-6202
SOURCE Energtek Inc.