The BROADWAY, NY 10018, New York

368 Bloor Street East, M4W 1H4, ONTARIO, Toronto 

1 Calenberger Esplanade, D-30169 Hannover 

604 Royal Plaza, Al Rigga, 454487, Dubai 

ASCHMOUN (UK) Limited (ASCHMOUN), together with its Associate Companies is a strategic alliance based upon skills and technology acquired over a period of 20 years in the Minerals and Natural Resources sectors in the Russian Federation and the United States of America. The Associate Companies are each specialist in the various sectors of business, specifically in the development and exploitation of energy (Oil and Gas), minerals and natural resources. The management of ASCHMOUN has secured with the Associate Companies a powerful relationship with the Regional Governments in the Russian Federation where there is an abundance of the above-mentioned commodities, as well in North America, with a major producer of high-quality crude oil and natural gas.

In parallel with its strong supply-side relationships, through its Associate Companies, ASCHMOUN has identified markets and has already secured buyers for crude oil, refined oil products, timber and timber products throughout the world as well as in the Russian market.

The overall success of these operations is dependent on there being an adequate flow of capital. ASCHMOUN has secured a $1.50 billion projects with private investors through Merrill Lynch, JP Morgan Chase Bank N.Y., Bank of America NY, Credit Suisse Securities (USA) NY, and UBS Bank, Zurich. The Company currently retains an interest in physical commodities (held in Western European Securities Houses) having an estimated market value of approximately $750 million, and these substantial assets are to be used alongside the projects as collateral in form of MTN listed on Bloomberg, Clear-Stream, and having terms and conditions against such investment facility. ASCHMOUN will invest these funds into the project in Russia, Australia, Lebanon and Northern America as well as in other Associate Company activities through Petrogas Energy Limited who will act as Project Manager. Capital, together with an appropriate return on capital will in turn flow back via Petrogas Energy Limited to ASCHMOUN over a period of seven years.

ASCHMOUN (UK) Limited, registered in the British Virgin Islands maintains representative offices in New York (USA), Hannover (Germany) and Toronto (Canada) to enable it to coordinate with, and support its Associate Companies especially those registered in England and Wales, as well in Australia.

In summary, the Company has been formed on a solid foundation of financial security and industry sector expertise. A pooling of the management team’s many years of experience in finance, the energy business, and commodity resource development has been the reason ASCHMOUN and its Associate Companies are considered to be a formidable and compelling proposition for investment and partnership.

Since 1997, ASCHMOUN has developed strong relationships and valuable interests in Moscow city, Tomsk region, Tambov region, and Rostov region of the Russian Federation. The activities and expertise of the Associate Companies are rooted principally in these relationships and revolve around the main project of ASCHMOUN in the exploration and development of four sites covering an area of 24,000 square kilometers.

Tomsk Region is rich in mineral resources, especially hydrocarbons (crude oil, natural gas and gas condensates). It also has high quality forest, spread over a vast area - 420,000 square kilometers. The total regional production capacity of crude oil is estimated to be 4.5 million Metric Tons per year, but to date the estimated amount of hydrocarbon recovered in the Region is something in excess of 250 million metric tons, whereas the total estimated hydrocarbon reserves exceed One Billion Metric Tons.

Relationships with the regional Governments has enabled the Associate Company Petrogas Energy LLC to secure agreement for the development of 1100 wells in different locations in the oil and gas province over a period of 25 years. The Project has been extended to include exploration and development of oilfields in the Regions. Petrogas Energy LLC applied for licenses to explore and develop four (4) sites in the region over an estimated area of around 11,250 square kilometers, where there are reserves of 176 million barrels of crude oil, confirmed by the regional Committee of the Ministry of Natural Resources. 

The Joint Venture Company Participants:

1. ASCHMOUN (UK) LTD (Investment Company) 50% shareholding
2. AURIGA DEVELOPMENTS LTD (Project Management) 5% shareholding
3. ASCHMOUN GROUP CAPITALS LLC (Commercial Operations) 5% shareholding
4. PETROGAS ENERGY LLC & Associates (Licenses Holders) 35% shareholding
5. LOCAL AUTHORITIES (Social Development) 5% shareholding

Arrangements are being finalized to form the Joint Venture to implement the Projects. More detailed information on the functions of the participating companies will be found under the heading Associate Companies hereunder.

The JV Company is planning to develop the four sites for which Petrogas Energy LLC have licenses over 25 years of exploitation period. During the first six months from the commencement of the project development, the production will reach 50,000 - 150,000 metric tons of non-commercial grades of crude oil which will be sold to local end-users. After ten months of the oilfield's development, the JV will produce 250,000 metric tons of commercial crude oil per month and an estimated projection of 750,000 - 1,500,000 metric tons per year in the first two years of operation, adjusted to 1,750,000 metric tons per year in the following years and thereafter up to 25 years.

Through its commercial operations company, the JV will perform sales and purchase agreements of crude oil from a variety of different producers and administrative resources for further supply to existing potential buyers in China and the Far East market as well as to European refineries located in Rotterdam and Marseille in France where the Crude will be refined under processing agreements to enable the JV to supply refined products to the European and the American markets.

Fund raising obtained for the projects will be applied as follows.

• US$150 million: Seismic studies including engineering work during the first two years until the oilfields become productive units.
• US$350 million: Purchase of oil & gas drilling equipment, mainly from Russian manufacturers, thus reducing the cost of importing equipment.
• US$400 million: Building LNG Processing Plant and Gas Terminal.
• US$425 million: Purchase of two second-hand refineries to be dismantled and shipped to Russia for further refurbishing and re-assembly one in the Tomsk region for supplying the local market, and the other in Eastern side of Russia to meet with the export conditions.
• US$100 million: Construction, and agriculture projects, including Social Investment.
• US$50 million: Working Capital.
• US$25 million: Insurance Premium, risk finance security, and administrative expenses, including the servicing of the investment!

The JV will generate around US$2 billion in cash before the distribution of dividends to participants under an agreement that 75% of cash generated from operations to be reserved for the servicing and capitalization of the JV. The cash projections together with the participants’ agreement enable the JV easily to meet the terms and conditions of the investment.

The wider management group will be comprised of people with extensive experience in Business Management, Finance, Engineering and Oil Development and Exploration representing qualified companies such as Genesis Oil & Gas Consultants Ltd., (UK), Tatneftgeophysika JSC (Tatarstan Republic) geology and seismic research, Miller & Lents (USA) hydrocarbon reserve auditing and evaluation, Couch Petroleum LLC (USA) drilling and wells development, Jacobs Engineering (UK) for refinery construction. All members have in excess of 35 years of experience in their fields of expertise within the oil and gas business.

The Joint Venture Company employs Lawyers, Accountants and technical people in the crude oil and refinery business.  It has relationships and working arrangements with local Banks to handle the commercial and other oil transactions of the Company.

The Company is negotiating with vendors to provide the necessary equipment and other machinery for the development, exploration and construction of the sites. These will include oil wells, pipelines, reservoirs and heavy equipment for the construction and development of the sites. An  additional US$250 million will be provided by ExImBank as a loan for buying equipment from American Companies, such as refinery refurbishment from King Oil Tools (Oklahoma, USA) and drilling platforms for oilfield development from Gefco (Oklahoma, USA), as well as Bank of Montreal and (Export Development Canada) for buying equipment from Canadian Companies for timber harvesting and wood processing plants.

The Company is working with International Engineering and Project Management Companies to assist and manage the development of the Oil and Gas sites. As prescribed, these companies are willing to issue Corporate and Bond Performance Guarantees that all jobs will be completed according to contracts as per industry standards.

The Company is working very closely with the representatives of the Regions and with the representatives of the Ministry of Oil and Energy, Ministry of Natural Resources, Ministry of Finance and other state organizations to ensure that all contracts are carried out in accordance with the corresponding investment contracts and programs.

Through the commercial operations of the JV, “ASCHMOUN GROUP CAPITALS COMMERCIAL BROKERS CO. L.L.C”, the JV has identified and agreed contractual purchasing arrangements with refineries and buyers of LNG and oil products who are willing to issue Standby Letters of Credit and whatever other documents are needed to secure the payment for the products after delivery either at sight payment or after three consecutive months subject that accumulated amount doesn’t exceed the SLC face value.  These buyers are supported by Prime International Banks capable of handling the financial instruments necessary to complete the transactions.

ASCHMOUN and its Associates Companies are developing the business projects into three profiles:

Petrogas Energy will control acquisition of major licenses for oil and gas fields in the Siberian sector of Russia, Tomsk region, Krasnoyarsk region, and Tatarstan republic.

Jointly with Couch Petroleum Inc., the Company will generate, drill and develop large “oily” Penn Black shale on the East side of the Permian Basin near Sweetwater, Texas (USA). With the aid of previously drilled wells, the mapped area is about 18 square miles.

The refining industry urgently requires new investment. However, the obstacles to investment from traditional sources have never been greater. Global refining capacity will grow at an average annual rate of 3.5% by 2023 as new refineries come online.

Independent storage terminals play a vital role in helping refiners and traders to manage market volatility, but they too are faced with significant uncertainties. Rapid changes in product flows mean that investment in new capacity must be carefully applied, not just in terms of effective location of new capacity but also in terms of the sorts of services that cargo owners require. The Company will develop River/Sea Terminal.

Twenty-three subsidiaries, of which eight are active, and the remaining under developments as Special Purpose Vehicles (SPV)

Established under the law and regulations of the Russian Federation in the Oil and Gas sector, Petrogas Energy has secured initially four (4) extraction licenses for productive oilfields where there is known to be significant reserves estimated by 150 million barrels of recoverable crude oil and 25 billion cubic meter of natural gas which have enabled the company to secure the complete support of Russian banks (namely JSB PROMSVIAZBANK & JSB RAIFFEISEN Bank) both of whom are qualified and permitted to participate with foreign banks in trade finance of the commercial operations of the Company, and which support enables the company to enter into long term commercial agreements, thus ensuring the security of any investment which may need to be raised to develop the above mentioned oilfields.

Since 1967 Couch has developed shallow and deeper natural gas fields. As natural gas prices dropped, Couch refocused efforts starting in 2004 into shallow oil fields. In 2009, Couch began efforts to develop deeper oil fields, and oil black shale, which allow for higher oil production and higher accumulated oil reserves. The Company is utilizing the extensive need of work over rigs, reverse out units, and water trucks to create a proven process of consistent cash flow in the oil sector.

The Company’s mission is to use our highly developed verification skills to produce known oil reserves or proven undeveloped oil reserves from deeper oil black oil shale plays, using the latest in cutting edge technology in order to safety produce the maximum amount of oil, in an ecologically responsible manner.

Auriga developments Limited, a Company registered in England and Wales, with an operational base in London, was formed in close association with ASCHMOUN UK Ltd. Auriga’s role is and will continue to be Project Manager vehicle for ASCHMOUN UK Limited to facilitate the implementation of the various investment projects brought to ASCHMOUN UK by the Associate Companies. Auriga’s management team has many years of experience in investment management and in identifying investment opportunities.  Auriga’s activities will be directly subordinate to ASCHMOUN, the principal source of its capital.

The market for crude oil and refined product is vast and ever increasing. The aggressive demand from China and India along with that of other newly emerging countries, together with the apparently limitless pressures on the market from North America will ensure a continuous and voracious appetite in a growing market for many years to come.

While international markets are dominated by the ‘Majors’, there will always be room for the smaller, more agile ‘players’, especially those who can efficiently keep costs to a minimum and therefore be in a position to offer attractive prices.  ASCHMOUN GROUP CAPITALS COMMERCIAL BROKERS CO.LLC intends, and has the means, to fit into this, latter category by exploiting well established and existing long-term relationships in the industry.  ASCHMOUN GROUP CAPITALS will lift crude from the Black Sea and from Arabian Gulf to serve customers already identified in the Far East and Europe where contractual purchasing arrangements with refineries have already been agreed in principle. Furthermore, it is also intended to establish the Company’s own processing contracts as the business develops.

ASCHMOUN GROUP CAPITALS has based its operations in Lausanne, from where all international business development, marketing and contract management will be controlled.

Established under the law and regulations of the Russian Federation in the oil and gas engineering and infrastructure development of crude oil and natural gas processing, gas pipelines distribution and electrical power stations based on gas turbine engines designed and built in the high technology of the Russian and Ukrainian military industry.  The Company has secured the territory in three different regions to build 125,000bbl refining capacity in Tomsk region, 115,000bbl refining capacity in Eastern side of Russia and in Azov city, Rostov region to build a new LNG processing plant with further production of ammonia and carbamide.  All projects will have their own storage capacity allowing the JV Group to proceed on production of crude oil and natural gas, also on additional supply from other producers. The Company is participating in negotiation with The Russian gas Giant Gazprom based upon a contract to supply pipeline technology and gas pipeline building for the gas distribution in Kostroma region including build-up three gas turbine power plants for industrial and domestic consumers.

The project consists of constructing River/Sea Terminal for transfer of Liquid Natural Gas, Liquid Petroleum Gas, and Oil Products, with initial capacity of 2 million m3, in case tank-containers are used. The transfer capacity will grow up to 3 million m3, and in the long term will increase up to 4 million m3. As distinct from the European gas market, which in the medium term can be affected by global economic recession, the market for Russian export transfer of LNG & LPG is expected to grow. The principal consumers of our services are big Russian oil and gas Companies, with whom we have already signed provisional arrangements.

The financial stability of the project is ensured by the necessity of expanding production due to the adoption of the “Russian Energy Strategy” and the signature of Kyoto Protocol by Russia. The project has gone through environmental assessment and has been sanctioned by public opinion. The project investment parameters look pretty attractive.

The main products of the company are the LNG, and LPG transfer employing intermediate storage container which make it possible to save transfer time both for the railway transport and sea-going vessels. The port is to be equipped with a site for general cargoes transfer. In the case of adverse conjuncture there is an opportunity to expand the transfer of general cargoes. The terminal is to provide 2 types of services: LNG, LPG transfer and general cargoes transfer.

The Company will be established under the law and regulations of the Russian Federation for social services in every region where ASCHMOUN have to have projects. The Company designated to proceed with supplying of food stuff, medicine, agriculture, education and humanitarian services.

The projects of ATCO Food will consist of building different kind of food processing plants in Tambov region, Bugulma region of the Republic of Tatarstan, and Moscow suburb, water treatment and bottling plant in Tomsk, hospital, dental and polyclinics, schools, etc.…

The major Siberian Forestry & Timber producing areas of Archangels and Krasnoyarsk each offer the opportunity to secure harvesting concessions with over one (1) million m3 of allowable harvest per annum.  The concessions would provide sufficient raw material to enable full production of a substantial sawmill and MDF (particle board) plant on the same site.  The Archangels site would further be in a position to supply dried woodchips to the UK power generation market whilst Krasnoyarsk would be able to export any surplus logs to China and or Japan.

Financial projections indicate positive cash flows for individual component parts of each project leading to payback of the initial investments over seven to ten years.  The total investment required for each site is in the order of US$135 million over a period to three years though the harvesting and sawmill components would be required prior to the coming on stream of the MDF plant.

A strong international demand exists for the high-quality timber obtainable from this region. Moreover, the demand for MDF particle board currently exceeds significantly the available supply within the Russian Federation; for the longer term, world-wide demand is not expected to diminish.

Over the past 25 years INVENTIS Technology has been accepted as one of Australia’s leading electronic product designers and manufacturers.  The Company has acquired a number of complementary businesses, OPENTEC Solutions and Impart Special Products, along with the organic in-house development of a number of product brands such as Safe Zone (Wireless Safety Systems for road and rail applications), EAS (Wireless Emergency Alert Systems) and PANDA (Pedestrian and Driver Awareness), Event Zero (Software Technology), and Rugged Computer Technology.

GLOBAL SECURITY TECHNOLOGIES (“GST”) is engaged in the development, production, marketing and sales of a broad range of security card and security document systems, all based on its suite of unique patented technology designed to prevent the full spectrum of fraudulent identification processes. Summarily, the existing corporation will continue its current activities and planned expansion program for outside North America subject, to licensing the technology and all‐inclusive intellectual property pertaining to both variants of the OVD card technology and to “brand protection” systems, only for the markets of the Americas.

The IT & GST technology integration will establish the most effective security system for the business operations of the Company Global Investment.