Freestone Resources and Dynamis Energy Announce Merger Agreement
DALLAS–(BUSINESS WIRE)–Freestone
Resources, Inc. (“Freestone”) (OTCQB: FSNR)
and Dynamis
Energy, LLC (“Dynamis”) today announced the signing of a merger
agreement under which Freestone and Dynamis will combine their
businesses in an all-stock transaction.
Upon completion of the transaction, Dynamis shareholders are expected to
own 75 percent of the new combined entity (not including its existing
shares) and Freestone current shareholders will own 25 percent, based on
an implied value of $0.195 per share for Freestone’s stock. The combined
entity will have offices in Idaho and Texas, and a joint management team
to be announced. The transaction is expected to be non-taxable to
Freestone’s and Dynamis’ shareholders.
Michael McGhan, CEO of Freestone Resources said, “We believe that this
merger is in the best interest of our company and its shareholders and
creates an exceptional opportunity for growth and expansion for our oil
& gas technology products and other markets. Dynamis’ mission and
objective complements ours in that we are both committed to making
beneficial use of products and energy developed from waste products.”
Kevin McNulty, CEO of Dynamis said, “We are pleased to announce the
proposed transaction with Freestone Resources. We believe that this
merger will create a great opportunity for our company to enlarge its
portfolio of green technology offerings. Having worked closely with
Freestone through our existing joint venture, we believe the combination
of the two companies should enhance our ability to develop and expand
our product offerings into new markets.”
Dynamis previously teamed with Freestone to further develop the
production and marketing of Petrozene and related products. Freestone is
the developer of its proprietary Petrozene technology. This product has
displayed unparalleled results in solving several key oilfield and
refinery problems. Petrozene is designed to prevent and eliminate the
build up of paraffins and asphaltenes from crude oil products, as well
as improving the viscosity of such crude. Paraffin and asphaltene
buildup is an industry-wide, multi-billion dollar problem that occurs
when paraffin crystals within the oil base combine into a waxy buildup.
Petrozene has been shown to be effective in tank bottom cleanup, clean
up of rail cars and tanker trucks while in operation, as well as for use
downhole in the improvement of yields of operating oil wells.
It should be noted that the closing of the merger is subject to numerous
conditions and there can be no assurance that these conditions will be
met or that the merger will close.
About Freestone Resources, Inc.:
Freestone Resources is a Dallas, Texas based oil and gas technology
development company. The continuing goal of the Company is to develop
new technologies that allow for the utilization of our vast resources in
an environmentally responsible and cost effective way. http://www.freestoneresources.com/.
About Dynamis Energy, LLC:
Dynamis is an Eagle, Idaho based technology development company focused
on waste management and energy production from solid wastes to provide
sustainable economic and environmental benefits, while turning such
waste into usable products. As such, Dynamis provides technology to
recycle municipal and other solid wastes to produce sustainable economic
and environmental benefits, in the form of fixed and mobile
waste-to-energy plants. Dynamis has a network of agents worldwide to
support the sale of its technology and products. Currently Dynamis has
projects in various stages of development in Europe, Asia, South
America, the Caribbean, and the US.
SAFE HARBOR STATEMENTS:
Certain statements in this news release may contain forward-looking
information within the meaning of Rule 175 under the Securities Act of
1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are
subject to the safe harbor created by those rules. All statements, other
than statements of fact, included in this release and other potential
future plans and objectives of the company, are forward-looking
statements that involve risks and uncertainties. There can be no
assurance that such statements will prove to be accurate and actual
results and future events could differ materially from those anticipated
in such statements.
Contacts
Freestone Resources, Inc.
G. Don Edwards, 214-880-4870
www.freestoneresourcesinc.com
or
Dynamis
Energy, Inc.
[email protected]
208-938-2680
www.dynamisenergy.com
