ENP Newswire - 10 October 2013
Release date- 09102013 - Toronto, New York - Micromem Technologies Inc. (CNSX: MRM, OTCBB: MMTIF) through its wholly owned subsidiary Micromem Applied Sensor Technologies Inc. is pleased to provide the following update on one of its market opportunities that has developed over the last 12 months.
Since the inception of the work with our first International oil company, Micromem has been able to demonstrate a capability in the oil exploration and infrastructure sector that has garnered the attention of 4 of the world's largest oil companies. Already under contract with 2 oil companies for 2 specific projects and negotiating with 2 other oil companies on 2 more projects, Micromem puts forward this summary to its shareholders: The 2 projects under contract are currently at various stages of development.
The International oil company has received the beta unit for evaluation, expected to be complete in October 2013. This milestone will close out the development phase and, if approved, will activate the sales portion of this project. This product, utilizing Micromem's patented technology, is designed to detect tiny magnetic nano particles at concentrations below 1 ppb. These particles are injected into the wells to detect water breakthrough into the production oil stream. The second contracted project is currently under development and recently announced positive results on stage 1.
Once complete, this product is designed to help oil/gas companies better understand the condition of aging production wells. As per our recent announcement, the value of this project through roll out is $25 million for the first 200 units.
In addition, Micromem has submitted 2 proposals on 2 new projects which are currently being negotiated and anticipate being awarded these projects in 2013. These 2 projects are: 1) a product designed to accurately measure fracturing lines created in gas wells during the fracing phase of gas well enhancement. Under current technologies measurements of frac lines are to within 50 meters accuracy, utilizing Micromem's approach, these frac lines can be measured to within centimeters.
This will be accomplished by seeding the cement casing of the gas wells with Micromem sensors which will remain dormant in the cement until activated by a wireless signal. This project is cutting edge technology and could solve many problems encountered by the industry. 2) This same company is now working with Micromem on the specifications on a cement integrity device which will also require its oil wells to have sensors seeded into the cement casing but instead of measuring ground fractures it will measure cracks in the cement lining of oil wells and provide an early warning notice of damage or wear to this lining. The spin off opportunities of this development in the construction industry still needs to be assessed.