All-- News today. Also, no good reason this stock should not trade at $2.
Monday June 30 10:00 AM EDT
Company Press Release
Source: Marcum Natural Gas Services, Inc.
Marcum Natural Gas Services, Inc. Sells Its Marcum
Fuel Systems, Inc. Subsidiary to Natural Fuels
Corporation
DENVER, June 30 /PRNewswire/ -- Marcum Natural Gas Services, Inc. (Nasdaq:MGAS)
Monday announced that it has completed the sale of substantially all of the assets of its
wholly-owned subsidiary, Marcum Fuel Systems, Inc., to Natural Fuels Corporation, an affiliate of
Public Service Co. of Colorado and Colorado Interstate Gas.
Terms of the sale include a cash payment from the purchaser of approximately $400,000 for
certain inventory, fixed assets and technology of Marcum Fuel Systems. The Company anticipates
receiving additional cash proceeds during the subsequent twelve months from a shared interest in
the gross margins related to Marcum Fuel Systems' backlog of approximately $4.8 million, which
will be completed by the purchaser. In addition, the Company will retain a royalty on future sales
of the Company designed compressed natural gas dispensers over the next five to ten years. After
liquidation of certain liabilities retained by the Company, the Company anticipates additional net
cash proceeds from the collection of outstanding accounts receivables and the completion of
certain projects currently in progress.
With this transaction, the Company will concentrate its growth on its remaining three
wholly-owned subsidiaries: Southern Flow Companies, Inc., a large independent natural gas
measurement services company; Metretek, Incorporated, a manufacturer and supplier of
electronic natural gas meter monitoring and data collections systems; and Marcum Gas
Transmission, Inc., which pursues acquisitions of natural gas gathering, processing and
transportation facilities and related assets.
Statements in this press release that look forward in time, which include everything other than
historical information, are forward-looking statements made pursuant to the safe harbor provision
of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are
subject to risks and uncertainties which could cause actual results to differ materially from those
projected or implied. These risks and uncertainties include, but are not limited to, changes in the
natural gas utilities industry, the energy industry in general and the natural gas industry in particular,
the impact of competition, product development and product acceptance risks, and other risks and
uncertainties described from time to time in the Company's filings with the Securities and Exchange
Commission, including the most recent report on Form 10-KSB. The Company assumes no
responsibility to update the information included in this press release. |
