All:
Another press report;
Tuesday September 9 9:03 AM EDT
Company Press Release
Penn Octane Corporation Announces LPG Agreement with PMI
REDWOOD CITY, Calif.--(BUSINESS WIRE)--Sept. 9, 1997--Jerry Richter, Chairman of Penn Octane Corporation
(NASDQ:POCC) announced today the signing of a new one year agreement with Petroleos Mexicanos International
(PMI) to purchase 81 million gallons of Liquid Propane Gas (LPG). This agreement commences October 1, 1997 and
ends September 30, 1998, and is a 24% increase over the previous agreement, which will end September 30, 1997. The
expected value of this agreement is in excess of $40 million per year, based on present value.
Mr. Richter further stated that POCC has proven itself as an efficient and economical supplier to PMI, and subsequently its
volume of business has steadily increased over the past three years and continues to do so.
It was also announced that POCC has begun shipping propylene to its customers in Texas and is confident it will make up
for delays experienced in August and the first week of September.
Penn Octane is a leading supplier of LPG to Mexico and propylene to the petrochemical industry in Texas. Penn operates
a 132-mile, six-inch pipeline from a pipeline in Kleberg County, Texas to its terminal in Brownsville, Texas, which acts as a
trans-shipment point for delivery to Mexico. In addition, the Company owns and operates PennWilson CNG, located in
Santa Fe Springs, CA, a world leader in Compressed Natural Gas (CNG) station design, engineering, manufacturing and
safety.
Certain of the statements contained in this news release are forward-looking statements. While these statements reflect the
company's beliefs, they are subject to uncertainties and risks that could cause actual results to differ materially.
Contact:
Penn Octane Corporation
Jerry Richter, 650/368-1501
pennoctane@aol.com
pennoctane@earthlink.net |
