Water Resources Group (WRG)

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WRG

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Water Resources Group (WRG) is a water company that owns specific water treatment technologies and rights to ozone generation technology immediately applicable to water treatment. The Company’s initial product is its Advanced Seawater Reverse Osmosis (“ASWRO”) Desalination Plant incorporating the Company’s breakthrough technology, the Plasma Chemical Reactor (“PCR”) that produces ozone from ambient air for pre-treatment of water in place of chlorine.

The Company aims to become an industry leader and innovator in the treatment and sale of water. Since its formation in 2007 Water Resources Group Ltd has acquired exclusive rights to its core technologies, other than the Plasma Chemical Reactor, for which it has non-exclusive world-wide perpetual rights (excluding NIS Countries). The Company has exercised its option to enter into exclusive negotiations to obtain the exclusive rights and continues to progress this with the Department of Energy in the United States.

The ASWRO Desalination Plant is based on a modular design (available in units of 1,000m3/day of production capacity), able to be scaled up to capacity of 60,000m3 per day. The ASWRO Desalination Plant has considerable advantages over conventional desalination systems with:

• 20% to 40% lower overall costs of water production;
• 25% to 40% lower energy use (2.2 to 2.6Wh/m3 vs 3.5 kWh/m3 or more
• 30% shorter time to install and commission
• Modular design which simplifies plant operation, maintenance and expansion
• Autonomous unmanned operation and centralised performance monitoring and control
• Significant environmental performance improvements through the elimination of all chemicals in the pre-treatment phase

Approximately 60% of the world's population lives in urban centres within a 35 kilometer proximity to the coastline. This vast consumer base is comprised of thousands of municipalities servicing hundreds of millions of consumers who, in certain regions, are forced to comply with water restrictions due to water scarcity.

Due to the prevailing economics of desalination, and until the recent development of the licensed technology, small scale desalination systems have not presented a viable option for localized water production to supplement existing urban water supply. This also applies to commercial and industrial users that could also be supplied directly through on site installations and includes:

• Municipal water supply supplementation
• Housing estate developments
• Coastal resort facilities
• Commercial and industrial supply
• Farming and agriculture supply

Natural gas produced from Coal Bed Methane (or Coal Seam Gas as it also referred to) is a growing source of clean energy world-wide. This is due to both economics and the fact that it is a cleaner burning fuel, contributing 50% less greenhouse gas emissions than conventional coal fired electricity generation.

In spite of its inherent appeal, the environmental issues and associated costs are likely to escalate, due to the enormous amount of contaminated waste water it produces at the surface of the well head. This surface waste water is heavy in salts and other undesirable elements and causes contamination to surrounding ground water streams and aquifers.

Treating the water economically for human, agricultural or livestock consumption is occurring to a limited degree, but is generally constrained from mainstream adoption due to high cost. In some parts of the world and in particular the USA, development of new CBM gas fields have been severely constrained due to environmental contamination issues caused by the disposal of waste water.

Natural gas extraction from underground coal bed methane seams requires huge volumes of water to be drawn to the surface in order to release the gas from within the coal seam, which from an environmental perspective, must be responsibly managed. This water can be treated and made suitable for human consumption, agriculture or industry. Presently however, due to economics, it is most commonly disposed of by storing it in evaporation ponds or by re-injecting it underground. Both methods have undesirable environmental consequences and incur substantial direct costs to the gas producer.

Water Resources is preparing to treat this waste water and provide economically viable long term water supplies for human consumption, as well as water for industrial and agricultural uses. In effect, Water Resources can offset a significant proportion of a gas producer's waste water disposal costs into a joint venture or royalty based income stream and in so doing, secure potentially lucrative long term water treatment and supply contracts.