Northcote Managing Director Randall J. Connally said,'We are very excited to be pushing forward with implementation of this business opportunity. In this environment of low oil prices I really like the fact that this plant will serve to increase and diversify Northcote's revenue not only because the revenue is not directly linked to oil price but also because the platform can remediate waste from a wide range of sources not just oil and gas.
Additionally, we are pleased to play a role in maintaining a clean environment for the Mexican people and the JVCo provides Northcote's shareholders with exposure to a platform that is strong today and has excellent upside potential to scale-up as drilling activity in Mexico increases over time.'
Northcote Vice-President, Mexico, Abraham Achar said,'The formation of the JVCo signals the start of an exciting period of development for Northcote. We expect cash flows to be achievable as soon as six months after the commencement of work at the site, on which we will provide updates as soon as practicable. I am confident that this Facility is well situated to benefit from the re-opening of Mexico's oil and gas sector and based on my experience on the ground, will focus on securing further opportunities with similar attributes.'