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To: Tom Allinder who wrote (8518)	4/23/1999 9:19:00 AM
From: Craig K	Respond to of 13776

Now we know why OIL has been so strong... PR NEWSWIRE) Synergy Technologies Signs Licensing for Oil Upgrading Techn Synergy Technologies Signs Licensing for Oil Upgrading Technology Agreement Could Yield $20 to $40 Million in Annual Royalty Revenues Within Six Years DENVER, April 23 /PRNewswire/ -- Synergy Technologies Corp. (OTC Bulletin Board: OILS) today announced that its 50 percent-owned subsidiary, Lanisco Holdings Limited, has completed an exclusive licensing agreement for its heavy oil upgrading technology with a major Canadian oil and gas company. Under the agreement, Synergy will grant an exclusive license in Canada for Lanisco's proprietary process for converting heavy oils into lighter oils. Lanisco will receive an up-front fee of $150,000, $50,000 of which will be paid immediately upon formalization of the licensing agreement and $100,000 upon completion and evaluation of testing. The licensee commits to commence building, within 120 days of completion of testing, a 500 barrel-per-day (BOPD) pilot plant in Canada at a cost of up to $2 million USD. Within six months of building the pilot plant, the licensee further commits either to construct, over approximately six years, three additional plants with an aggregate minimum capacity of 25,000 barrels of oil per day and pay Lanisco a 3 percent GORR (gross overriding royalty) on all production at those plants, or, to pay Lanisco a 3 percent GORR on production of 5,000 BOPD within two years, 15,000 BOPD within four years, or 25,000 BOPD within six years. The licensee will use its best efforts to sub-license the technology to third parties, with the objective of achieving optimum penetration of the Canadian market. Based upon a projected 10 to 20 percent penetration of the Canadian market, this agreement would generate $40 million to $80 million in annual royalty revenues for Lanisco within six years. Lanisco is currently in negotiations with a third party in regard to worldwide licensing rights for this technology. Such rights, if awarded, would require this third party to build the 500 BOPD pilot plant. Should these rights not be awarded to the third party, the current licensee shall build this pilot plant as originally stated and acquire a right of first refusal to any portion of these worldwide rights on terms to be negotiated, but which offer Synergy the right to participate in up to 49 percent ownership in any project outside of Canada. The licensee, for reasons of competitive advantage in possibly pursuing worldwide rights, prefers to remain unnamed at the present time. Lanisco's heavy oil upgrading technology converts heavy oils into lighter oils, which sell at a premium over heavy oils. This technology is believed to offer up to 70 percent savings over competing heavy oil upgrading processes. The current heavy oil market in Canada is 2.5 million barrels per day. The current worldwide market for heavy oil is estimated at 4.5 million barrels per day, some six percent of worldwide oil production. Many experts believe this market will increase to 25 percent of worldwide oil production by the year 2015. Synergy Technologies Corp. is a Colorado corporation headquartered in Calgary with offices in Houston and London and an R&D affiliate in Orleans, France. This document contains forward-looking statements. There are certain important factors that could cause results to differ materially from those anticipated by the statements made above. Additional information on these and other factors are included in the company's Private Placement Offering Circular, dated November 30, 1998. SOURCE Synergy Technologies Corp. -0- 04/23/99 /CONTACT: Jacquie Danforth, Director of Synergy Technologies Corp., 403-269-2274; or Rick Eisenberg of Eisenberg Communications, 212-496-6828, for Synergy Technologies Corp./ (OILS)