CALGARY, Oct. 22, 2012 /CNW/ - Whitehorn Resources, Inc. (hereafter referred to as "Whitehorn") is pleased to announce that it has entered into a Memorandum of Understanding ("MOU") with the Ministry of Energy and Mineral Resources of the Hashemite Kingdom of Jordan for the development of oil shale resources in Jordan. The MOU was signed by the Director General of Jordan's Natural Resources Authority, H.E. Dr. Mousa Al-Zyoud and the Whitehorn President and CEO Mr. David Street, in Amman on October 22, 2012.
Whitehorn will conduct oil shale exploration drilling and evaluation work, an initial engineering assessment, and a feasibility study at the Wadi Abu Al- Hamam project, covering an area of 283 sq. km. in the southern region of the country. Whitehorn will evaluate the potential use of the Red Leaf Resources Inc. EcoShaleTM In-Capsule technology as the centerpiece of its project in Jordan. Whitehorn plans to implement this technology at full commercial scale of 9,500 bbl/d and expand the project, over time, to achieve a sustained rate of 50,000 bbl/d.
According to Mr. Street, "Extensive exploration work will be conducted to better understand and quantify the oil shale resources and determine the applicability of the environmentally-friendly EcoShaleTM In-Capsule process to develop this deposit." "We are pleased that Whitehorn has selected our technology for the project in Jordan, and we are committed to providing all the technical support required to make the project successful", said Mr. Matt Greene, the CFO of Red Leaf Resources.
Whitehorn will initiate exploration activities immediately and complete them within 12 months, followed by conceptual engineering activities and the preparation of a Project Development Plan within 24 months.
Whitehorn has engaged INTEK Inc. to serve as the "integrating contractor" responsible for managing the exploration and engineering work program for this project during the MOU period. INTEK, Inc. is an international energy project development company headquartered in Arlington, Virginia, USA. "We are very pleased to be selected by Whitehorn to implement this project, and we believe this project will help position Jordan to potentially supply its liquid fuels requirements from domestic resources and advance Jordan's leadership in global oil shale development", said Mr. Khosrow Biglarbigi, President and CEO of INTEK Inc.
Whitehorn's proposed 50,000 bbl/d commercial project offers the potential to deliver substantial public benefits to the Kingdom, including potential capital expenditures in excess of US$1 billion, thousands of direct and indirect jobs, public revenues, and other contributions to the Jordanian economy. "We recognize our social responsibility to conduct our activities and develop these resources in a manner that is environmentally sustainable and respects the history, culture, and socio-economic imperatives of local communities" said Mr. Dean Prodan, the CFO and a director of Whitehorn.
About Whitehorn Resources Inc. Whitehorn Resources is a Canada-based private company, focused on the commercial development of global oil shale resources utilizing state-of-the-art oil shale process technology. The company is headquartered in Calgary, Alberta Canada. The Company's interests also extend to other oil shale resources in the Middle East North Africa (MENA) region and other areas. We hope to make the Hashemite Kingdom of Jordan our home base for exploring oil shale opportunities in the region.
SOURCE: Whitehorn Resources Inc.
For further information:
David Street, President and CEO
Whitehorn Resources Inc.
540 2424 - 4th Street SW
Calgary, Alberta T2S 2T4, Canada
Tel: +1 403- 930- 0501
Matt Greene, CFO
Red Leaf Resources Inc.
200 W. Civic Center Dr. Suite 190
Sandy, Utah 84070
Tel: +1 801-878-8100