SELLERSVILLE, Pa., April 14, 2005 (PRIMEZONE) -- Delta Mutual, Inc. (OTCBB:DLTM), specializing in energy recovery and construction services through environmentally-friendly technologies and construction technologies and products, today announced results for the year ending December 31, 2004.
Peter Russo, President and CEO, commented, "2004 was a critical foundation building year for Delta. We have made progress in positioning the Company for what we believe will be significant growth in 2005 and 2006. We are very pleased that Delta is now designated, for SEC accounting purposes, as an operating company and no longer designated a "Development Stage Company."
Results from operations for the year ended December 31, 2004 were a loss of $1.85 million versus $1.21 million in 2003. The net loss for 2004 was $3.92 million or $0.28 per share compared to a net loss of $1.25 million or $0.19 per share, for 2003. A significant portion of our loss, $2.11 million, was due to a non-cash expense associated with a warrant issuance as required by accounting conventions. The weighted number of shares outstanding in 2004 were 14.3 million compared to 6.7 million in 2003. Shares outstanding as of April 12, 2005 were 20.9 million.
The Company made significant progress in 2004, strongly positioning itself in its key markets through its joint venture subsidiary Delta-Envirotech, Inc., and through its limited partnerships with Delta Development Partners LP and Delta Development Partners II, LP.
Delta-Envirotech, Inc. has established contractual working relationships with companies that have proven technologies for converting contaminants in soil and water into marketable residual materials while simultaneously improving the existing environmental conditions. Oil sludge, an ongoing byproduct of refineries and present in waste deposit areas and oil storage tanks, is the primary area of concentration.
In Indonesia, Delta-Envirotech has:
-- Signed a multi-year landmark agreement that will establish a
permanent oil sludge processing facility. The agreement is with
Pertamina, the state-owned oil company, and the regional
government in the Indramayu region of Western Java. The
regional Governor has agreed to provide the land for the
facility and will require the use of this facility for the
entire region that includes six refineries. The oil recovered
from the sludge processing will be sold,
-- Executed an agreement with the Indonesian government's
technology authority, LIPI to assist in identifying and making
available the needed technologies to address a range of
environmental issues,
-- Begun discussions with other regions for additional sludge
pool and tank cleaning projects, and
-- Begun discussions with organizations requiring off-shore oil
storage facility cleaning.
In Saudi Arabia, Delta-Envirotech has:
-- Enabled our local strategic partner to receive approval for
deploying several environmental technologies into the country,
-- Commenced work on a municipal water treatment plan, and
-- Opened discussions with Saudi environmental authorities on
several oil sludge projects that are scheduled to begin in 2005.
Delta Development Partners employs an energy efficient building material system to construct affordable housing. Initial activities are currently focused in Puerto Rico, where there is a shortage of affordable housing, and the government is committed to providing housing for low and moderate income families through its Section 124 program.
In Puerto Rico, the limited partnerships have initiated two housing projects in Aguadilla and Guayanilla.
Aguadillia
-- Project has been certified by the Housing Authority for
270 homes
-- Project awaiting final permit approvals for construction start
-- Pre-selling of homes by GMAC Realty
-- Project is expected to generate approximately $20.5 million in
revenue over the life of the project
Guayanilla
-- Forty-acre tract will contain approximately 300 homes
-- Project is expected to generate approximately $25 million in
revenue over the life of the project
About Delta Mutual
Delta Mutual, Inc. specializes in energy recovery and construction services through environmentally-friendly technologies and products currently operating through joint ventures in the Middle East, Far East and Puerto Rico. Delta employs technologies that efficiently recover energy sources from soil, water and other waste streams while simultaneously improving existing environmental conditions. The Company also employs an energy efficient building material system for construction projects that are initially taking place in Puerto Rico. www.deltamutual.com
If you would like to be added to the Company's e-mail list for press releases and updates, please send your e-mail address to dltm@focuspartners.com. For further information, including a factsheet on the company, please contact FOCUS Partners.
Forward Looking Statement
This press release contains forward-looking statements that involve risks and uncertainties where actual results could differ materially from those discussed in this Press Release. Forward-looking statements including "Project (Aguadillia) is expected to generate approximately $20.5 million in revenue over the life of the project" and "Project (Guayanilla) is expected to generate approximately $25 million in revenue over the life of the project" involve risks and uncertainties. These risks and uncertainties include: lack of capital, delays in finalizing contracts, typical issues of dealing with a foreign government, using the appropriate technology and additional risks as outlined in our SEC filings.
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