CHICAGO, and SCOTTSDALE, Ariz., April 19, 2018 (GLOBE NEWSWIRE) -- Quantum Energy Inc. (OTC Pink:QEGY) (“Quantum”) and Inductance Energy Corporation, a Wyoming corporation (“IEC”) a privately held company, today announced that they have entered into a binding letter of intent, pursuant to which upon satisfaction of certain conditions, IE Arizona, Inc., an IEC affiliated company (“IE Arizona”) a Wyoming corporation, a privately held company, would be merged with Quantum. The proposed merger is conditioned upon, among other things, IEC’s successful completion of its due diligence examination of Quantum, the negotiation and execution of a definitive agreement and IEC raising in the aggregate up to $50,000,000 (the “Total Capital Investment”). Provided such conditions are satisfied including IEC’s funding of the Total Capital Investment, Quantum will issue to IEC such number of shares of Quantum common stock as shall represent 60% of the then issued and outstanding shares of Quantum common stock. Quantum will also, based on valuations as yet to be determined, issue additional shares (after the initial issuance to IEC), to additional investors, as necessary to accommodate the closing of the Total Capital Investment. The combined entity will also provide the necessary funds required to prove out the viability of the development of the refinery (the “Refinery”) currently planned to be developed in Stoughton Saskatchewan, Canada including (a) obtaining environmental and engineering studies to prove the viability of the intended site, (b) if the site is determined to be viable, to acquire the land, (c) obtain required permits and (d) pay other related costs.
The transaction is expected to be completed on or before December 31, 2018.
Also, upon completion of the merger, William J. Hinz, who is currently a member of the Board of Directors of Quantum and a member of the Board of Directors and CEO of IEC, will become interim Chief Operating Officer of Quantum. Mr. Hinz’ vast business experience and board appointments will be an immeasurable asset to Quantum’s current energy projects and strategic vision.
About Inductance Energy Corporation “IEC”
IEC is a development stage company that holds certain exclusive intellectual property licenses for the application of the science and mechanical application of Magnetic Propulsion. Magnetic Propulsion is a technology that uses highly concentrated magnetic energy to move physical objects in a rotary, reciprocating, angular, linear, or vertical direction, purely through the manipulation (use) of a magnetic field (magnetic radiation). IEC has the exclusive license to design and manufacture a broad range of high quality Magnetic Propulsion engines, as well as related and support equipment marketed through a worldwide distribution network, under a variety of brand names. IEC’s licensed products are used principally to produce electrical and mechanical energy.
About Quantum Energy Inc.
Quantum is an energy focused company with a project emphasis toward refinery development, construction and operations in the United States and Canada, through its subsidiary Dominion Energy Processing Group, Inc.
Quantum is continuing to work on proposed Bakken refinery development projects in Stoughton Saskatchewan, Canada and in North Dakota.
Safe Harbor Forward-Looking Statements
To the extent that statements in this press release are not strictly historical, including statements as to revenue projections, business strategy, outlook, objectives, further milestones, plans, intentions, goals, future financial conditions, future collaboration agreements, the success of the Company's development, events conditioned on stockholder or other approval, or otherwise as to future events, such statements are forward-looking, and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The forward-looking statements contained in this release are subject to certain risks and uncertainties that could cause actual results to differ materially from the statements made.
For Company Contact:
Andrew J. Kacic
© 2018 Canjex Publishing Ltd. All rights reserved.