DALLAS, TX, Mar. 22, 2011 -- Ecosphere Energy Services has signed an exclusive technology licensing agreement with oil and gas service company Hydrozonix, LLC to deploy its patented Ecosphere Ozonix technology in the U.S. oil and gas exploration and production industry.
Under the agreement, Hydrozonix is required to purchase a specified number of Ecosphere's new EF60 mobile high volume water treatment units each quarter during the initial 24 months. If Hydrozonix meets this requirement, Ecosphere will recognize approximately $44 million of revenue over the next 24 months, plus recurring performance-based royalties. Thereafter, Hydrozonix may maintain its exclusive license by meeting annual minimum purchases over the 20-year life of the Ecosphere Ozonix patents.
The EF60 is a mobile, high volume advanced oxidation system specifically designed to eliminate chemicals during the fracturing of natural gas and oil wells. Ecosphere has been operating its patented Ozonix technology on hundreds of wells in the oil and natural gas industry since 2008. The EF60 allows energy producers to recycle 100 percent of their production and flowback waters.
Ecosphere Energy Services is financially backed by Clean Water Partners, LLC, which is a funding arm of the Bledsoe Capital Group, LLC.
Drew Bledsoe, founder and principal of Bledsoe Capital Group, stated, "When we first started this project we were confident that the Ozonix technology would be the one to get us to the finish line the quickest; it's mobile, it's fast, and more importantly it eliminates the use of chemicals during hydraulic fracturing operations in the oil and natural gas exploration process."