Chelsea Natural Gas Ltd. (Chelsea CNG), a British Columbia-based company specializing in compressed natural gas (CNG), has announced plans to become a publicly traded entity following a proposed reverse takeover deal with Valencia Ventures Inc.
Chelsea CNG develops and operates CNG fueling stations throughout Canada, as well as provides CNG vehicle conversion products.
‘In Canada, there are many commercial and municipal fleets which are small in number. This fact makes it difficult for individual fleet operators to justify the expense of building their own compressed natural gas refueling facilities and converting their existing vehicle inventory,’ comments Steve Carmichael, president and CEO of Chelsea CNG.
‘Chelsea CNG's fueling solutions and vehicle conversion products allow us to offer a cost-effective way for fleet operators to take advantage of the economic and environmental benefits that come with using compressed natural gas as a transportation fuel,” he continues.
Valencia Ventures Inc., a Canadian resource company, has entered into an amalgamation agreement with Chelsea CNG, whereby Valencia will acquire all of the issued and outstanding shares of Chelsea CNG. However, Chelsea CNG leaders will head the newly amalgamated company.
The completion of the transaction remains subject to a number of conditions.
Following a successful reverse takeover, Chelsea CNG plans to then go public on the TSX Venture Exchange under the name ‘Chelsea.’
For further details on the transaction, click here.