@Ventures Portfolio Company 212 Resources Secures $250 Million Credit Facility
From GE Energy Financial Services
Business Wire News Release
CMGI
CMGI Inc
2007-09-26T19:32:00-04:00
WALTHAM, Mass.--(BUSINESS WIRE)--
@Ventures, the venture capital fund affiliated with CMGI, Inc. (Nasdaq: CMGI), announced today that
portfolio company 212 Resources has secured a $250 million credit facility from GE Energy Financial Services,
a unit of GE (NYSE: GE). The capital provided will be used to finance the implementation of 212 Resources'
patented water treatment technology in partnership with major oil and gas producers. The press release
follows.
GE Unit Provides $250 Million Credit Facility to Company Recycling
Millions of Barrels of Water at Second-Largest US Gas Field
MIDWAY, Utah and STAMFORD, Conn., Sept. 26, 2007 - Expanding its financing for oilfield services while
helping overcome environmental challenges, GE Energy Financial Services, a unit of GE (NYSE: GE),
announced today that it is providing a senior secured credit facility for up to $250 million to 212 Resources.
An initial $27.5 million of equipment and working capital financing will allow 212 Resources to commence
processing and recycling oilfield wastewater into clean water for reuse in drilling operations at the Pinedale
Anticline and Jonah fields in Wyoming, which together comprise the nation's second-largest natural gas
field. This six-year facility allows the company the flexibility to expand its services to protect environmentally
sensitive areas.
212 Resources, based in Midway, Utah, is a portfolio company of @Ventures, the venture capital fund
affiliated with CMGI, Inc. (Nasdaq: CMGI). 212 Resources employs patented vapor compression flash
evaporation systems. This technology separates wastewater generated by oil and natural gas exploration
and production into clean water, brine, methanol and natural gas condensate. Recovering valuable
by-products, while generating clean water, achieves the industry's lowest water management costs. In
addition to protecting fresh water aquifers in production fields, the negative environmental impacts of
trucking and impounding wastewater are reduced.
The units to be constructed under the new credit facility will be used, under a long-term contract with a
major exploration and production company, to treat more than 9,000 barrels of water per day at western
Wyoming sites. 212 Resources expects to significantly increase the wastewater it can treat in Wyoming
fields as well as in other oil and gas producing areas across the U.S. and internationally.
"This investment taps our oilfield services, water, environmental, and debt expertise to support a proven
technology that addresses economic and reclamation challenges in oil and gas production," said Matt
O'Connor, Managing Director and head of debt finance at GE Energy Financial Services. "And, in the spirit of
GE's ecomagination initiative, 212 Resources' well-site service enables oil and gas companies to develop
reserves, reclaim and purify water, and add incremental revenue by enhancing hydrocarbon recovery."
Ecomagination is GE's initiative to help its customers meet their environmental challenges while expanding
its own portfolio of cleaner energy products.
"GE's commitment to funding superior water management services, its rigorous vetting of our company and
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technology and the size and strength of this financing package confirm our potential for rapid, sustainable
growth," said Jim Schleiffarth, 212 Resources' CEO. "Saving our precious water resources, while recovering
valuable byproducts generated from oil and gas drilling and production enables our customers to save
money and meet increasingly stringent environmental requirements. Our team is committed to bringing the
industry best available technologies and on-site services to enable the recovery of our nation's valuable
energy resources while protecting the environment."
With more than 50 dedicated professionals, GE Energy Financial Services' debt finance group provides a full
complement of debt products and services for the energy industry, including corporate, structured, project,
acquisition and equipment financing. GE Energy Financial Services also provides debt to the water industry.
Its GE Capital Markets affiliate provides arranging and syndication for many of these facilities.
About 212 Resources
212 Resources, based in Midway, Utah, is a natural resource recovery company specializing in the
reclamation of valuable hydrocarbons and fresh water from oil and gas exploration and production
processes. For more information, visit: www.212resources.com.
About GE Energy Financial Services
GE Energy Financial Services' 350 experts invest globally with a long-term view, backed by the best of GE's
technical know-how and financial strength, across the capital spectrum and the energy and water
industries, to help their customers and GE grow. With $14 billion in assets, GE Energy Financial Services,
based in Stamford, Connecticut, invests more than $5 billion annually in two of the world's most
capital-intensive industries, energy and water. More information: www.geenergyfinancialservices.com.
About GE
GE (NYSE: GE) is a diversified technology and services company dedicated to creating products that make
life better. From aircraft engines and power generation to financial services, medical imaging, television
programming and plastics, GE operates in more than 100 countries and employs more than 300,000 people
worldwide. For more information, visit the company's Web site at ge.com
About @Ventures
@Ventures provides venture capital to early stage and mid-stage technology companies. Formed in 1995,
@Ventures has funded more than 70 software, IT, Internet, and clean energy companies. The focus of
@Ventures' fifth fund, formed in 2004, is on investments in the cleantech sector, including alternative energy,
energy storage and efficiency, and water purification technologies. For more information, visit:
www.ventures.com.
About CMGI, Inc.
CMGI, Inc. (Nasdaq: CMGI), through its subsidiary ModusLink, provides industry-leading global supply chain
management services and solutions that help businesses market, sell and distribute their products around
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the world. In addition, CMGI's venture capital business, @Ventures, invests in a variety of technology
ventures. For additional information, visit: www.cmgi.com.
This release contains forward-looking statements, which address a variety of subjects including, for
example, the expected achievements by 212 Resources. All statements other than statements of historical
fact, including without limitation, those with respect to 212 Resources' goals, plans and strategies set forth
herein are forward-looking statements. The following important factors and uncertainties, among others,
could cause actual results to differ materially from those described in these forward-looking statements: 212
Resources' success, and in turn, @Ventures' and CMGI's success with respect to this investment depends
on 212 Resources ability to execute on its business strategy and the continued and increased demand for
and market acceptance of its products and services; Our ability to earn returns on our investment, or even
recover our capital, is dependent upon factors outside of our control, including the success of our portfolio
companies' businesses, and the market for initial public offering and mergers and acquisitions. For a detailed
discussion of cautionary statements that may affect CMGI's future results of operations and financial results,
please refer to CMGI's filings with the Securities and Exchange Commission, including CMGI's most recent
Annual Report on Form 10-K and Quarterly Report on Form 10-Q. Forward-looking statements represent
management's current expectations and are inherently uncertain. We do not undertake any obligation to
update forward-looking statements made by us.
Source: CMGI, Inc. |
