MagneGas Secures Significant Fuel and Strategic Development Customer
Product News Mar 30, 2011
MagneGas Corporation, has announced that it has reached an agreement with Michigan-based Blue Water Industrial Products to provide its multiple locations with MagneGas™. Expanding throughout Michigan and the Upper Midwest, Blue Water currently has over 30,000 fuel cylinders in rotation and produces and sells more than 2.0 million cubic feet of metal working fuel per month.
Blue Water already has customers for MagneGas™, and is taking receipt of its first fuel shipment from the Company this week. Its goal is to eventually make MagneGas™ a leading component of its fuel product offering.
In addition to its importance to MagneGas as a large fuel customer, Blue Water represents a potential strategic leap forward for the Company's fuel sales platform.
As MagneGas President Scott Wainwright explains, "While we have achieved rapid success with our new direct sales model, it is our long term goal to have a MagneGas™ Refinery onsite at each distributor, allowing them to produce their own fuel and eliminating our transportation costs. As we roll out our fuel sales to Blue Water we will be exploring structures whereby Blue Water can become the first satellite MagneGas™ producer, and thus create a template for accelerated expansion and market penetration."
Adds Blue Water Principal Steve Olson, "As a metal working fuel MagneGas™ has proven to be without peer - in our extensive testing MagneGas™ has cut cleaner and quicker than any other fuel, and it represents the first "green" alternative to hit the market. If regional demand is as strong as we anticipate, we look forward to growing our relationship with MagneGas the company, the fuel and the technology."
MagneGas can provide no assurance as to the eventual installation of a MagneGas™ Recycler at a Blue Water facility, nor at the facilities of any other existing or future client.