RG Global's CBM plant for Yates Petroleum begins production

RG Global's Catalyx Fluid Solutions division announced that its first plant for Yates Petroleum Corp. to treat discharge water from coal bed methane wells has begun water treatment production after successfully passing the Wyoming DEQ water quality tests in the preceding weeks. Located near Gillette, Wyoming, in the Powder River Basin, the plant employs Catalyx Fluid Solutions' ion exchange technology that cleans the water more cost efficiently and with less waste byproduct than other methods...

• Plant to reduce treatment cost by 50%

ANAHEIM, CA, and GILLETTE, WY, April 30, 2008 -- RG Global's Catalyx Fluid Solutions (CFS) division announced that its first plant for Yates Petroleum Corp. to treat discharge water from coal bed methane (CBM) wells has begun water treatment production after successfully passing the Wyoming Department of Environmental Quality (DEQ) water quality tests in the preceding weeks. Located near Gillette, Wyoming, in the Powder River Basin, the plant employs Catalyx Fluid Solutions' innovative new proprietary ion exchange technology that cleans the water more cost efficiently and with less waste byproduct than other existing methods.

The multi-million dollar plant is the first phase of three phases and part of a five-year, $20-22 million gross revenue Build-Own-and-Operate contract with Yates. It currently has a capacity to treat 30,000 barrels per day (BPD) of coal bed water and can be operated continuously at 120% of capacity.

"The high level of sodium and other contaminants in the water discharged from CBM production is a major environmental issue that has stymied CBM production in many areas," said Juzer Jangbarwala, CTO of RG Global. "We are extremely pleased to report that the CFS water treatment plant is producing water which is completely safe for irrigation and discharge into nearby bodies of water."

The plant uses a patent pending technology to reduce treatment costs by more than 50%. Tests are being conducted on a crystallization process from the saturated waste to completely eliminate waste discharge from the plant, and produce a usable commodity (sodium sulfate) from the treatment system waste.

The plant removes sodium, barium, iron and other inorganic contaminants present in the water that is extracted from the coal beds underground. Its automated 24/7 monitoring system enables instantaneous adjustments in water treatment in response to changes in the water content to ensure that the final discharge water meets standard requirements at all times.

"We expect that the major cost reduction afforded by the CFS water treatment technology will help make it economically viable to harvest the vast clean burning CBM resources domestically and help reduce our dependence on foreign energy," Jangbarwala stated. "Additionally, we anticipate that the treated discharge water will come to be viewed as a valuable resource as it is put to use in a wide variety of applications."

Methane, the hydrocarbon resulting from CBM production, is the principal component of natural gas and an attractive fuel source. Compared to other hydrocarbons, methane combustion produces less carbon dioxide per each unit of heat released. As the simplest hydrocarbon, methane produces the most heat per unit mass than other more complex hydrocarbons.

RG Global Lifestyles Inc. develops and markets innovative technologies for water purification and wastewater treatment.

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