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Gold/Mining/Energy : American International Petroleum Corp -- Ignore unavailable to you. Want to Upgrade?

To: Randy McCubbin who wrote (11344)	2/23/2000 11:54:00 AM
From: Terry Jackson	Respond to of 11888

$8 million gross may help... wonder what the net will be? Wednesday February 23, 10:26 am Eastern Time Company Press Release American International Petroleum Leases Portion of Lake Charles Refinery Lease Estimated To Generate Approximately $8 Million In Revenue Annually NEW YORK--(BUSINESS WIRE)--Feb. 23, 2000--American International Petroleum Corporation (AIPC) (NASDAQ NMS:AIPN - news) announced today it has reached agreement with Maretech Corporation allowing resumption of operations of a portion of AIPC's refinery in Lake Charles, La. Maretech will lease the atmospheric distillation unit for processing Maretech's crude oil supply. The asphalt and vacuum distillation unit (VDU) segments of the refinery will continue to operate outside the Maretech agreement. The lease has a one-year term with extensions. The deal will trigger the resumption of operation of the refinery's atmospheric distillation unit (ADU) to process crude oil and condensate into low sulfur naphtha and gas oil feedstocks in addition to finished jet fuel and distillates. AIPC said, under current conditions, gross revenue from the agreement is estimated at approximately $8 million annually. The agreement is part of the Company's strategy to maximize the refinery's operating assets and increase cash flow. Under the terms of the agreement, Maretech will provide for the payment of all costs, including taxes and insurance, associated with the operation of the ADU and ancillary equipment, and pay AIPC a fee based on through-put volume and yield. Mr. Joe Michael McKinney, Chief Executive Officer of AIPC, said, ``This operation will complement our existing asphalt business and VDU capability. In addition, the revenue and cash flow to be generated are in line with our overall strategy of reducing costs and developing opportunities to improve cash flow.' Mr. McKinney added, ``Start-up activities on this project will commence promptly. Processing of crude oil into transportation fuels and feedstock at the rate of 17,500 barrels per day is anticipated by April 1, 2000.' Maretech Corporation is a privately-owned company created to secure crude oil feedstocks for conversion into high demand petroleum products. Jesse Martinez, Maretech's President and sole shareholder, said Maretech is a registered minority vendor with the U.S. government and as such is eligible for participation in applicable government programs. However, the agreements are not dependent upon award of minority-based contracts. American International Petroleum Corporation is a diversified petroleum company which, through various wholly-owned subsidiaries, is involved in oil and gas exploration and development in the Republic of Kazakhstan, and in refining, marketing and transportation of refined products in the United States. The matters discussed herein may be deemed forward-looking statements. These statements involve risks and uncertainties, such as timely availability of products, services and equipment, as set forth in the Company's filings with the Securities and Exchange Commission. These risks and uncertainties could cause actual results to differ materially from any forward-looking statements made herein. Contact: American International Petroleum Corporation Michael Dodge, 212/688-3333 or