We began covering MMEX Resources Corp (OTCMKTS:MMEX) here on Street Register early this spring, after the company revealed a massive project it was undertaking to move forward on the construction of a $450M, 50,000 barrel-per-day oil refining facility in Pecos County, Texas.
With construction previously slated to begin in early 2018, and the facility projected to begin operations in 2019, fruition for that particular project was still quite a ways off, but in the meantime, the MMEX newswire recently revealed some new information that could speed up the process.
MMEX Resources Corp (OTCMKTS:MMEX) reported its new plans and adjusted time-frame this week, and that’s what we want to relay along to our readers. MMEX plans to build a 10,000 barrel-per-day (BPD) crude distillation unit near Fort Stockton, Texas as an initial unit for the $450M, 50,000 BPD Pecos County refinery project announced earlier this year.
Jack W. Hanks, President and CEO of MMEX Resources Corp., commented, “Response to MMEX’s Pecos County Refinery project has been tremendously positive to date and we’re eager to begin construction and bringing new jobs to the region. This smaller-scale, initial refinery unit will significantly accelerate the permitting process for the project, while the equity commitment from Crown Bridge Partners, LLC will assist MMEX in financing project development costs on an as-needed basis.”
The permitting process for the large-scale, 50,000 BPD refinery, which will distribute its refined products in the Western United States and Mexico, was originally projected to be 9-12 months. By beginning with a smaller-scale, 10,000 BPD refinery unit, MMEX expects to be able to obtain full permitting within 45 days after permits are filed.
The 10,000 BPD refinery project will require approximately 15 months of construction time and is expected to create jobs in Pecos County during fast-tract construction, including full-time positions going forward. These initiatives will accelerate the potential for cash flow while developing the large-scale refinery.
This is the latest in a series of project milestones MMEX has achieved since initially announcing the Pecos County Refinery project in March. MMEX formally opened their Fort Stockton office in May with a ribbon cutting ceremony with the Fort Stockton Chamber of Commerce. The office is located at 107 South Main Street, Fort Stockton, Texas. (Source: Globe Newswire)
The announcement came concurrently with another, alluding to some recent equity funding. According to an 8-K filing, MMEX entered into an Equity Purchase Agreement with Crown Bridge Partners, LLC. Pursuant to the terms of this agreement, Crown Bridge has committed to purchase up to $3,000,000 of MMEX common stock for a period of up to 24 months commencing upon the effectiveness of a registration statement covering the resale of shares issuable to Crown Bridge under the agreement. In connection with entering the Equity Purchase Agreement, MMEX issued to Crown Bridge, as a commitment fee, an $80,000 convertible promissory note which matures on December 12, 2017, bearing nterest at a rate of 8% per annum. (Source: EDGAR Filing)
There has also been a pickup of both volume and price action on MMEX stock this week, which is another reason why we want to continue to watch this play and monitor for any new updates.If you want to easily follow MMEX’s progress the solution is very simple. We’ll stay up on any developments with MMEX and continue to pass them along to you! Stay locked on StreetRegister.com and be sure you’re signed up for our 100% free smallcap newsletter. It’s as easy as that! Simply submit your primary active email address in the box below. Subscribe now!
Disclosure: No one at Street Register has been compensated in any way for the publishing of this article, nor do we hold any position in MMEX stock, short or long.