Aqua-Pure Provides Business Update

CALGARY, AB / ACCESSWIRE / February 26, 2015 / Aqua-Pure Ventures Inc. ("Aqua-Pure" or the "Company") (TSXV:AQE), a premier recycler of oil field and shale gas wastewater, today is providing an operational update. While Aqua-Pure has been affected by the aggressive drop in oil prices over the past several months, similar to other suppliers to the oil and gas industry, it is taking steps to manage its costs.

Aqua-Pure entered fourth quarter 2014 with four NOMAD units in operation at two customer locations in the Permian, as well as four ROVER units contracted in the Permian and Eagle Ford by three additional customers, of which two were contracted outside the joint venture. In addition, the Company continued to receive royalty payments from the three Marcellus NOMAD units and the pipeline of new opportunities was such that Aqua-Pure contemplated construction of additional ROVER units. However, given the halving of oil prices from October 2014 through February 2015, the entire oil field service industry has been negatively impacted. As previously announced, Aqua-Pure exited the 4th quarter with 2 NOMADs less in operation and recently, as a result of oil price uncertainty, Aqua-Pure has been notified that all but one ROVER unit will be decommissioned over the next 30 days as the fields in which they had been operating are experiencing a significant reduction in fracturing activities.

In light of these developing industry conditions, management has consolidated operations into its Texas facility, reduced its staff by half and lowered costs. The Company believes it can achieve positive EBITDA with just four ROVER units in operation under the reduced operating cost structure. As of today, Aqua-Pure through its wholly owned subsidiary, Fountain Quail Water Management ("Fountain Quail"), has received conditional confirmation to mobilize a second ROVER unit at the Permian Basin operations of a second customer. The Company expects the new contract to be for a term of one year and processing up to 8,000 barrels per day starting April 2015. The 2 ROVERS would be independent from the Company's joint venture with Select Energy, FQS Ventures, and as a result, 100% of the revenues and profits from this project will accrue to Aqua-Pure.

"There is no question that the Company is persevering during difficult conditions. However, we believe these conditions are temporary and are already seeing signs that we have seen the trough. We have been validated by each of our customers as well as those who had indicated serious interest in our services just a few months ago, that our capabilities are highly cost effective, utterly dependable and consistent. As oil prices stabilize and companies finalize their drilling plans, we believe our customers will re-engage our services, and we will be prepared to resume our topline growth. Our Company is lean, our equipment is in great operating condition and we can mobilize rapidly not only within Texas, but also as far north as Canada's heavy oil region where we are vetting some unique opportunities," commented Richard Broderick, President of Fountain Quail Water Management. 

For more information, please contact: [email protected] or: 

Karim Teja
Chief Financial Officer
(403) 301 4123 ext. 26 

Yvonne Zappulla
Grannus Financial Advisors, Inc.
(212) 681-4108

About Aqua-Pure Ventures Inc. 

Aqua-Pure (www.aqua-pure.com) is the premier recycler of oil field wastewater in North America. The Calgary and Texas based firm has developed and commercialized a cutting-edge, cost effective water recycling technology that transforms wastewater from a liability to an asset. Aqua-Pure's oil and gas wastewater services and technology solutions enhance environmental sustainability through the utilization of patented and proprietary technologies. The Corporation's common shares are listed on the TSX Venture Exchange under the trading symbol "AQE." 

About Fountain Quail Water Management 

Fountain Quail Water Management (www.fountainquail.com) provides low-cost, practical recycling alternatives for both shale gas and shale oil producers. The company is the global leader in recycling shale gas flowback and produced water into fresh water for re-use. Fountain Quail is wholly owned by Aqua-Pure Ventures Inc. and is based in Roanoke, Texas. 

Forward-looking Statements:

Certain statements in this release are forward-looking statements, which reflect the expectations of management regarding the Company's future operations. Specifically, this release contains forward-looking statements respecting expectations for the time period of engagement for the second ROVER installation, the expected volume to be processed from ROVER operations, the expected mobilization date for the second ROVER installation and the expansion and contract extension opportunities resulting from ROVER operations including receiving additional ROVER and NOMAD orders, the target activity of ROVERS required to achieve positive EBIDTA. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits the Company will obtain from them. These forward-looking statements reflect management's current views and are based on certain expectations, estimates and assumptions which may prove to be incorrect. A number of risks and uncertainties could cause our actual results to differ materially from those expressed or implied by the forward-looking statements, including: (1) the performance of the ROVER in a new area or shale play with different water characteristics, (2) the success of the customer's exploration and development program in the area the ROVER is deployed (3) a downturn in general economic conditions in North America and internationally, (4) the inherent uncertainties associated with the demand for oil and gas, (5) federal and local government regulations that affect the oil and gas drilling industries (6) the risk that the Company does not execute its business plan, (7) inability to finance operations and growth (8) inability to retain key management and employees, (9) ; an increase in the number of competitors with larger resources, and (10) other factors beyond the Company's control; (11) the introduction of new technologies either in the water reuse and recycling or in the amount of water used in hydraulic fracturing operations; (12) the availability of more cost effective sources of water These forward-looking statements are made as of the date of this news release and the Company intends to update such forward looking information in the Company's MD&A in the event that actual results differ materially from such forward-looking statements contained herein. Additional information about these and other assumptions, risks and uncertainties are set out in the "Risks and Uncertainties" section in the Company's MD&A filed with Canadian security regulators. 

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

public://news_release_pdf/AquaPureFeb262015.pdf  

Source: Aqua-Pure Ventures (TSX Venture:AQE) www.aqua-pure.com

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