Prolab Technologies signs an agreement in principle with SGF
Black Lake, Québec, January 31, 2002 — Prolab Technologies announces that it has concluded an agreement in principle with SGF Chimie for the subsequent creation of a limited partnership held by both parties. This agreement fits in with the preliminary stages to construction of the Prolaïk oleochemicals plant, which will specialize in the production and marketing of oleic acid and derivatives. These basic value‑added materials will be made from naturally sourced inexhaustible recycled materials, namely used fats.
“We are very delighted to announce this agreement, since SGF will provide us with various specific support, for instance through its experience and extensive network of contacts in engineering and construction,” indicated Jean‑Guy Grenier, President and Chief Executive Officer of Prolab Technologies.
“With its innovative and exclusive process, which will yield a new low‑cost raw material, Prolaïk will gradually carve out a solid share of the international fatty acid market. I should point out that the oleic and stearic acid market was estimated at some US$950 million in North America in 1999*. These fatty acids are used in numerous industrial processes and products, including pulp and paper de‑inking, rubber, lubricants, corrosion inhibitors, metallurgical fluids and industrial cleaners,”, added Yvan Beaudoin, Chief Operating Officer.
* SRI International (1999) – Humes Company
Profile of Prolab Technologies
From its industrial complex in Black Lake, Quebec, Prolab Technologies Inc. develops, manufactures and markets environmentally friendly high‑performance industrial acids, lubricants and treatments. The Company has two subsidiaries –Prolab Technolub and Prolaïk– and currently employs some 40 people. Its production, which is targeted primarily to industrial clients and the automotive sector, is sold in Canada and in international markets.
Profile of SGF Chimie
SGF Chimie is a subsidiary of the Société générale de financement du Québec whose mission is to implement economic development projects in cooperation with partners under normal profit conditions. Since its restructuring in 1998, SGF has generated investments of approximately $4.4 billion and created over 19,400 direct and indirect jobs in projects cultimating in the operational phase, not to mention the thousands of jobs created during the construction phase. As at December 31, 2000, SGF had consolidated assets of over $2.3 billion. SGF has 53 international partners with facilities in Quebec. (sgfqc.com)
The Canadian Venture Exchange CDNX does not accept responsibility for the adequacy or accuracy of this release.
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President and Chief Executive Officer
Chief Operating Officer