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Sionix Corp. (SINX) Executes Agreement with Dakota Solutions Inc.

Mobile water treatment systems designer Sionix Corp. announced today that it has executed an agreement with Dakota Solutions, Inc. (DSI) for the lease of property in Tioga, North Dakota. The property will be used in the operation of a Waste Water Treatment Facility (WWTF) in the Bakken Shale Formation.

According to the terms of the agreement, Sionix will design, build, own and operate a WWTF on an 80 acre parcel of leased property near Tioga, ND, the first WWTF of its kind in the Williston Basin. The WWTF will be designed specifically for the treatment of heavily contaminated production, flowback and frac water and will be equipped with the company’s proprietary MWTS products and underlying dissolved air flotation technology. DSI owns and operates a fleet of waste hauling tankers for the transport of oil and gas drilling waste water in the Williston Basin region of North Dakota; therefore, DSI will transport oil and gas drilling waste to the WWTF as well as treated water back to drillers so that continued draw down on threatened fresh water resources is minimized.

“After months of evaluating available data, we are moving forward with plans to construct and operate a waste water treatment facility in the Bakken Shale Formation,” said James R. Currier, Chairman and CEO of Sionix. “We believe the combination of current and projected oil and gas drilling activities, limited availability of fresh water resources, and the absence of a comprehensive waste water treatment and water recycling facility makes this high energy reserve area an ideal location for the installation and operation of a WWTF equipped with our proprietary MWTS.”

He continued, “It is expected to provide a critical resource for oil and gas drillers to treat and recycle (millions of gallons of) contaminated production, flowback and frac waste water (daily) without unnecessary stress on limited fresh water resources in the area. We expect the facility will serve not only oil and gas interests but also other industrial, agricultural, commercial and general public demands that require access to the limited public water supplies. With DSI hauling waste water exclusively to the Sionix WWTF, expected contracts with a number of drillers, and anticipated cooperation from local regulators, we believe we will have significant demand for our services.”

John Hennessy and Mark Tudahl, co-owners of DSI, commented, “With deep roots, strong family ties, and a life long love for the prairies of North Dakota, we feel this is a great opportunity to preserve and maintain one of the prairies’ most vital resources, simply water.”

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