HOUSTON, Feb. 6�Enerchem International Inc., Nisku, Alta., has signed a letter of intent to purchase the shares of Trysol Canada Ltd. for $10 million.
Enerchem will pay $6.4 million in cash and issue 1.2 million in shares. The transaction is subject to shareholder and stock exchange approval, but is expected to close by Mar. 31.
Trysol Canada processes and markets a variety of specialty solvents to the oil and gas industry, including frac fluids, paraffin and asphaltene solvents, viscosity and pour point depressants, specialty well completion solvents, and oil-based drilling fluids.
Trysol holds eight patents and has 13 patents pending. It markets its products in Saskatchewan, Alberta, and British Columbia.
Trysol's head office and laboratory facilities are in Calgary, and its processing plant is near Sundre, Alta.
Larry B. Phillips, president and CEO of Enerchem, said, "Trysol's operations combined with our Specialty Chemicals Group will provide exceptional value to our shareholders."
Enerchem International Inc. is an oil field services company.