Abakan Inc. (OTCQB:ABKI), a leader in the advanced coatings and metal formulations markets, announced entry into the Mexican and Central American markets by signing an exclusive sales agent agreement with Metallurgic Solutions, S.A. de CV ("MetalSol") to introduce MesoCoat's products into Mexico, Guatemala, El Salvador, Honduras, Nicaragua, Costa Rica, and Panama.
MetalSol will also assist MesoCoat in the establishment of production and service operations in Mexico for its PComP(TM) long-life metal coatings, CermaClad(TM) clad steel, and future products that are currently under development.
Abakan CEO, Robert Miller stated, "Growth in the Central American and Gulf of Mexico oil and gas and steel industries, coupled with significant business reforms and the commitment to after highly corrosive oil and gas projects offer significant growth opportunities for our advanced metallurgical products and services in Mexico. We are excited about our partnership with MetalSol's team which has extensive operating expertise in Mexico and Central America coupled with their vast network in the Oil and Gas, and Finance industries. Abakan is extremely pleased to work with partners like MetalSol that share our vision and commitment, and which bring the potential to accelerate the adoption rates and growth that we foresee in the near future."
Mexico is one of the ten largest oil producers in the world, the third-largest in the Western Hemisphere, making it ripe for companies manufacturing products and providing services to the Oil and Gas industry. Mexico is estimated to possess up to 27 billion barrels of oil in the deeper waters of the Gulf of Mexico (3 times Mexico's current total proven reserves), with a majority of these new reserves being sour (corrosive). Mexico also has one of the world's largest shale gas resource bases. According to an initial assessment of world shale gas resources, Mexico has an estimated 681 tcf of technically recoverable shale gas resources (40 times their total proven reserves of conventional natural gas) the fourth largest of any country examined in the study by the US Energy Information Administration.
"We have been at the forefront of developing and adopting breakthrough technologies in the paper, and printing industries in Mexico; and with MetalSol we intend to do the same with the Mexican coating and cladding industry", said MetalSol CEO, Jose Maria Ribot Barroso. If you look at Abakan's technology portfolio, you just know it, you can feel the impact, and you are immediately attracted to the breadth an value proposition of technologies that are being developed and commercialized including advanced coatings, clad steel, engineered reactive materials, high-strength light-weight composites, and several more. Mexico's oil and gas, shale, and steel industries are seeing exponential growth and Abakan's solutions that extend life of metals,reduce liability of oil and gas assets, and furthermore enable efficient production from both conventional and unconventional energy sources, thereby adding significant value to the energy companies' bottom line making these solutions absolute winners."