American Gilsonite Company will be at ADIPEC to provide information on how the strength, flexibility, extreme light weight and environmental safety of Gilsonite^® uintaite provide unmatched benefits in cementing and drilling fluids in virtually any downhole environment. The conference is November 12-15 in Abu Dhabi, UAE. We will be presenting in booth 13212.

We will also be celebrating the opening of our newest distribution location in Singapore, making the world’s only true source of Gilsonite^® uintaite even easier to source for our South East Asia customers. (And another distribution center is coming soon to Dubai!)

If you’re planning to be at ADIPEC, stop by our booth and learn why American Gilsonite Company should become your trusted supplier and technical partner.

The Offshore Technology Conference Asia (OTC Asia) is a biennial event held in Kuala Lumpur, Malaysia. The 2018 event marked the recovery of the oil and gas industry in the region with more than 40,000 professionals in attendance from over 80 countries.

The highlight of American Gilsonite’s participation in OTC Asia was the presentation of a paper selected for publication at the conference. The paper, Evaluation of Uintaite and Asphaltic Additives in Synthetic Base Fluids, was displayed throughout the event in an e-poster. The study provided technical information and data about the unique qualities of Uintaite (Gilsonite^®) to demonstrate its superior performance compared to other additives that are sometimes sold using the gilsonite name.

Natalie Pascarella and Ghery Sotomayor represented American Gilsonite at the event and said the presentation was well received by service companies and NOC’s in attendance – a technical audience that uses Gilsonite^® uintaite routinely as their preferred fluid loss control additive for synthetic base fluids formulations.

The results of the study showed Gilsonite^® to present unvarying physical and chemical properties and highest purity, as well as the highest improvement in HPHT fluid loss. SBM treated with Gilsonite^® also passed USA EPA Gulf of Mexico environmental tests for deepwater discharge, while the other additives failed – showing that Gilsonite^® uintaite is the best choice for drilling fluids professionals wanting to improve technical performance while protecting the environment.

A paper submitted by the American Gilsonite Company has been chosen for publication at the Offshore Technology Conference Asia (OTC Asia), to be held March 20-23, 2018 in Kuala Lumpur, Malaysia. OTC Asia is where energy professionals meet to exchange ideas and opinions to advance scientific and technical knowledge for offshore resources and environmental matters.

The paper, “Evaluation of Uintaite and Asphaltic Additives in Synthetic Base Fluids”, details a study carried out to understand the differences in technical performance and environmental compliance of Gilsonite^® uintaite and three other asphaltic additives, commonly referred to as “black powders”, when used in a SBM field formulation commonly used to drill deepwater wells and wells in environmentally sensitive areas. The results were conclusive and are outlined in OTC technical document (OTC-28588-MS).

Stop by and review the paper at the OTC Asia conference:

A new study which evaluated the performance and environmental compliance for Gilsonite^® uintaite in deepwater drilling operations has revealed that it is a safe and effective means of extending emulsion stability and increasing the temperature threshold in invert emulsion system formulations while fully complying with EPA standards for deepwater discharge.

Gilsonite^® uintaite is known to be effective as an additive in a wide range of drilling fluid applications. It controls fluid loss and prevents lost circulation – protecting the formation from damage. Gilsonite^® is used extensively in onshore and offshore shelf applications around the world. However, its use has been limited in most deepwater areas due to the industry’s widespread belief that Gilsonite^® (and other asphaltic additives commonly referred to as “black powders”) are detrimental if discharged into a marine environment. The current perception is that Gilsonite^® use will lead to noncompliance with the Environmental Protection Agency’s (EPA) standards.

The results of this study categorically disprove this perception. Both the efficacy of Gilsonite^® uintaite and its compliance with EPA Gulf of Mexico discharge requirements were tested in accordance with American Petroleum Institute (API) recommended practices and EPA guidelines using a certified third-party lab. The findings of the study were documented in AADE technical document (AADE-NTCE-086) entitled: “Uintaite Application in Deepwater Operations”. Access the study here

Dario Montes and Ghery Sotomayor of American Gilsonite Company shared the findings of this study with their peers at the 2017 AADE Technical Conference – proving that Gilsonite^® uintaite is safe and effective in deepwater operations.

Dario Montes and Ghery Sotomayor of American Gilsonite Company have been chosen as joint speakers at the 2017 American Association of Drilling Engineers National Technical Conference and Exhibition (AADE). The AADE is a non-profit volunteer organization dedicated to providing a forum for the dissemination and interchange of drilling practices and technology among its members and guests.

Mr. Montes and Mr. Sotomayor will be presenting the results of a study which evaluated the performance and environmental compliance for Gilsonite^® uintaite in deepwater drilling operations. The findings of the study were documented in the AADE technical document (AADE-NTCE-086) entitled: “Uintaite Application in Deepwater Operations”.

American Gilsonite Company will also be exhibiting at the 2017 AADE National Technical Conference. Drop by booth 40 to speak to our experts and learn how Gilsonite^® uintaite’s unique blend of strength, flexibility, bonding and high-temperature capability increases performance in cementing and drilling fluids.

Normal operations expected to continue with no impact on customers, employees, or vendors

HOUSTON, TEXAS – October 24,2016 – American Gilsonite Company, Inc. (“American Gilsonite”, or “AGC”), the world’s principal commercial miner and processor of uintaite, the unique mineral marketed under its trademark name “Gilsonite^®,” today announced that it has reached an agreement with holders of more than 67% of its Second Lien Notes (the “Supporting Noteholders”) and its current equity sponsor on the terms of a reorganization that will eliminate substantial indebtedness, significantly reduce debt service, and provide financing to restructure its balance sheet.

“We are pleased to have reached an agreement with our key financial stakeholders that recognizes the underlying strength of our business and provides a path to restructure our debt without any impact on our customers, employees, or vendors,” said David G. Gallagher, Chief Executive Officer. “American Gilsonite has positive operating cash flow, a highly differentiated product offering, more than 100 years of mineral reserves, and a broadly diversified customer base. With the implementation of this prepackaged reorganization plan, we will significantly strengthen the company’s balance sheet and create a capital structure that is more sustainable over the long term.

“Today’s announcement is good news for our customers, employees, and business partners, as it ensures we will have adequate liquidity to continue uninterrupted operations even under these adverse energy market conditions,” Mr. Gallagher concluded.

Company Initiates Voluntary, Court-Supervised Process to Implement Prepackaged Restructuring
In order to implement the agreed upon restructuring, AGC and its subsidiaries (the “Company”) filed a Joint Prepackaged Plan of Reorganization (“Prepackaged Plan”) along with voluntary petitions for protection under chapter 11 of the U.S. Bankruptcy Code with the United States Bankruptcy Court for the District of Delaware. The Company intends to use the court-supervised process to facilitate a financial restructuring designed to restore the Company to long-term financial health while continuing to operate in the normal course of business without interruption.

In accordance with the Prepackaged Plan, holders of general unsecured claims, including trade vendors, employees, and lease counterparties, will receive payment in full on account of existing obligations in the ordinary course of business. The Company’s revolving lenders will also be paid out in full.

The Supporting Noteholders have agreed to vote in favor of the Company’s Prepackaged Plan and exchange their loans for reorganized equity and subordinated debt. The Prepackaged Plan, which will transition ownership to the Company’s Second Lien Noteholders, is also supported by the Company’s current shareholders.

Gilsonite^® uintaite is a naturally occurring hydrocarbon resin with a number of unique chemical properties and physical characteristics that improve the performance of many critical materials and applications. The strength, flexibility, extreme light weight, and environmental safety of Gilsonite^® make it a superior additive for cementing and drilling fluids in the oilfield, as well as improving performance and quality in asphalt, inks, paints, stains, construction materials, and foundry castings. AGC works with its customers as a technical partner and trusted supplier to ensure superior performance in every application.

Forward-Looking Statements
The information above includes forward-looking statements within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934. These forward-looking statements are subject to certain risks, uncertainties and assumptions. As a result of these factors, actual results may differ materially from those indicated or implied by such forward-looking statements.

About American Gilsonite Company
AGC operates as an industrial minerals company and is the world’s primary miner and processor of uintaite, a variety of asphaltite, a specialty hydrocarbon which AGC markets to industrial customers under its registered trademark name “Gilsonite^®”. Gilsonite^® uintaite is a glossy, black, solid naturally occurring hydrocarbon similar in appearance to hard asphalt and is believed to be found in commercial quantities only in the Uinta Basin in northeastern Utah. Because of its unique chemical and physical properties, Gilsonite^® has been used in more than 160 products. The Company sells its products to customers in four primary markets: (i) oil and gas, (ii) inks and paints, (iii) foundry and (iv) asphalt. AGC is headquartered in Houston, Texas.

Gilsonite^® uintaite has been proven safe and effective in more than 60 years of oilfield performance. Added to drilling fluids, it increases performance and reduces cost in deepwater drilling while minimizing risk.

Gilsonite^® meets all EPA requirements for Gulf of Mexico discharge

The deeper you look, the more benefits you’ll see
With natural bonding and plugging properties and a high softening point, Gilsonite^® uintaite delivers multiple advantages:

• Extends thermal life 10% or more
• Prevents lost circulation
• Minimizes differential sticking
• Stabilizes shales
• Performs in oil- and water-based drilling muds
• Performs in HP/HT environments
• Reduces cost vs. polymers
• Delivers higher performance with no HSE risk

Gilsonite^® reduces costs more than 80%
At a fraction of the cost of premium polymers, Gilsonite^® uintaite delivers greater cost advantages at higher temperatures:

For more information, download the technical information sheet.