OVERVIEW: Latitude Solutions, Inc. (LSI) is a publicly traded (OTCQB: LATI) holding company for several subsidiaries which provide products, processes and solutions for contaminated water applications. LSI’s Integrated Water Systems™ treatment processes are based on the Company’s proprietary Electro Precipitation™ (EP) technology. LSI’s has the ability to convert massive amounts of contaminated water resulting from the operations of energy companies and other industrial users into reusable water in large volumes on a highly efficient and cost effective basis. This provides a sustainable solution by substantially reducing the cost and requirements of freshwater harvesting, regulatory compliance and wastewater disposal.
Business Model
LSI, through its subsidiaries, owns and operates all of our remediation plants and provides services to its clients through monthly and annual operating leases. LSI’s revenues are derived from a combination of monthly lease payments and royalty payments based on the volume of treated water. This model creates a recurring revenue stream for LSI.
The LSI pricing model is flexible; therefore, the ultimate profitability of each installation will likely differ between industry sectors and clients depending upon three variables:
1) treatment requirements, 2) existing industry economics, 3) the specifics of each project.
LSI is confident its technology can deliver substantial cost savings versus the range of existing competitive treatment costs. Based on the price per gallon charged, it is expected that each unit will be able to generate a substantial, recurring monthly revenue stream for the company.
RECENT NEWS & INVESTMENT HIGHLIGHTS:
February 7, 2012 — Boca Raton, Florida — (February 7, 2012) – Latitude Solutions, Inc. (OTC: LATI.QB) announced today that its wholly owned subsidiary, Latitude Energy Services, LLC has successfully deployed the Company’s proprietary Electro-Precipitation™ (EP™) water remediation technology pursuant to an agreement entered into with a top tier oil and gas company in the Permian Basin of West Texas.
February 2, 2012 — Latitude Solutions, Inc. and Crestmark Bank Finalize a $5 Million Revolving Asset-based Line of Credit Boca Raton, Florida — (February 2, 2012) – Latitude Solutions, Inc. (“LSI” or the “Company”), trading symbol OTC: LATI.QB announced today that the Company and Crestmark Bank have finalized the establishment of a $5 million revolving asset-based line of credit. This type of working capital facility will provide LSI with greater flexibility and liquidity to support growth and take advantage of further opportunities.
December 5, 2011 — Latitude Solutions, Inc. announced today that it has completed the formation of its international subsidiary, Latitude Worldwide, B.V., which will provide the resources necessary to market and deploy LSI’s Electro Precipitation™ Integrated Water Systems™ wastewater treatment technology outside of North America.
October 26, 2011 — Latitude Solutions, Inc, in collaboration with John Paul DeJoria announced today that they have recently formed a 501 c-3 not-for-profit foundation named Water the World with Latitude™.
October 6, 2011 — Latitude Solutions, Inc., announced today that the Company’s subsidiary, Latitude Energy Services, LLC, has deployed its proprietary Electro PrecipitationTM, Integrated Water Systems™ water remediation unit in support of a hydraulic fracturing operation in the Fayetteville Shale in Arkansas for one of the world’s largest oil/gas producers.
May 24, 2011 — Latitude Solutions, Inc. announced today that they have entered into an exclusive agreement wherein Jabil, trading symbol NYSE: JBL, a multibillion dollar global manufacturing services provider will manufacture LSI’s Proprietary Electro Precipitation™, Integrated Water System Technology™.
Key Capabilities, Features & Benefits:
- High Treatment Volumes – up to 840 gpm or 20 bbls per minute per unit
- Scalable – units can be combined to operate in parallel to achieve the customer’s volume requirements
- Small Footprint – mobile units allows for ease of deployment
- Mobility – quick installation, optimization and demobilization
- Advanced Low Power Consumption Technology – ensures best treatment at competitive prices.
- Customizable – to specific wastewater contaminants and parameters
- No Filters – no fee for purchase or disposal
- No Chemical Additives Required – no cost, no spills, no residual harmful content
- Stand Alone or Tandem Treatment Methods – Can be used alone or in conjunction with other treatment methods
- Wastewater Re-Use – once treated can be re-used, in most cases
- Multiple Waste Stream Treatment – treats a wide variety of waste streams with substantial cost savings
- Regulatory Compliance – allows for compliance to various government and regulatory agency standards
- Reduces or eliminates the need for Wastewater trucking
Industry Applications:
ENERGY
Oil and Gas Production – Treatment of produced, flowback and other wastewater. Effectively killing bacteria, eliminating suspended solids and heavy metals to provide a cost effective and sustainable solution for production activities industry wide.
Oil Sands – Processing and wastewater remediation can be performed for large operations in a simultaneous, multi-stage process with our small footprint, mobile facilities.
Site Disposal– Pre deep-well injection treatment, pond and/or open pit remediation, storage tank treatment.
INDUSTRIAL
Mining – acid mine drainage, metal contamination, radioactive contaminants,
reducing solids in effluents discharged into streams and rivers
Mining
- Acid mine drainage
- Heavy metals
- Radioactivity
- Solids reduction in discharged effluents
Agriculture
- Bacteria and other active biologicals
- Sulfates and Sulfides
- Heavy metals
Livestock Management
- Bacteria and other active biologicals
- Sulfates and Sulfides
- Heavy metals
Food Processing
- Bacteria and other active biologicals
- Fats, Oils and Greases (FOG) removal and reclamation
- Heavy metals
Electric Utilities/Power Generation
- Heavy metals
- Solids reduction
Maritime Applications
- ballast, bilge water, gray water
Target Markets
Energy Sector/Oil and Gas Industry Focus
Our technology allows for a sustainable program of re-use of contaminated water and an overall reduction in use of new sources of fresh water.
- Hydraulic fracturing produces 1.4 trillion gallons of wastewater/year.
- Wastewater is now strictly legislated in all states and quality requirements for discharge are severe.
- Injection of wastewater in deep disposal wells is now being regulated and/or eliminated in numerous areas
- Most oil and gas wastewater and the solids contained therein are considered hazardous waste
Industrial
Our technology allows clients to both remediate legacy water quality issues
and adapt to new, more stringent regulatory requirements.
- Water-pollution problems caused by active or abandoned mines include acid mine drainage, radioactive and metal contamination and increased sediment levels caused by high solids content in water discharged into streams.
- Other industrial wastewaters facing compliance issues include food processing, agricultural and electric utilities and power generation wastewater.
- The EPA is enforcing new regulations against non- compliant companies. The global maritime industry is preparing for sweeping regulatory compliance changes in the management and discharge of ballast and bilge water.
Corporate Structure
Management Team
Jeffrey A. Wohler, Chief Executive Officer
Mr. Wohler has successfully created and managed multiple companies over the past thirty years in the Oil & Gas, Exporting Trading, Marine and Real Estate industries. Within those industries he has been recognized as a leader and innovator with a proven track record. Prior to his recent appointment as CEO of LSI, Mr. Wohler co-created, along with Michael Gustin and John Paul Dejoria, Water the World with Latitude a 501c3 public charity whose mission is to provide “water solutions for a thirsty world”. He holds a Juris Doctorate and a finance and accounting degree.
Matthew J. Cohen, Chief Financial Officer
Mr. Cohen has served as the Chief Financial Officer for many private and public companies and underwriters in multi-million dollar public and private equity offerings, amalgamations, divestitures and mergers and acquisitions. Mr. Cohen’s corporate and accounting experience includes all aspects of Sarbanes Oxley Act of 2002, SEC accounting and filings and internal controls over financial reporting guidelines. He has also participated in educational seminars for tax planning, derivative accounting, supply chain management. Mr. Cohen has a Bachelor of Business Administration degree in Accounting from New Paltz State University, New York.
Board of Directors
Harvey Kaye, Director
Mr. Kaye has more than 30 years of experience in providing financing, strategic planning and administrative leadership to both large and small companies as an entrepreneur, investment banker, chairman, chief executive officer and director. Mr. Kaye has a BS in business from Temple University.- Matthew J. Cohen, Chairman of the Board and Director
Mr. Cohen has served as the Chief Financial Officer for many private and public companies and underwriters in multi-million dollar public and private equity offerings, amalgamations, divestitures and mergers and acquisitions. Mr. Cohen’s corporate and accounting experience includes all aspects of Sarbanes Oxley Act of 2002, SEC accounting and filings and internal controls over financial reporting guidelines. He has also participated in educational seminars for tax planning, derivative accounting, supply chain management. Mr. Cohen has a Bachelor of Business Administration degree in Accounting from New Paltz State University, New York. 
John Paul DeJoria, Independent Director
Mr. DeJoria joined the Board of Directors in October 2011. He brings the experience of a world renowned entrepreneur and philanthropist who has created highly successful international companies such as John Paul Mitchell Systems and Patrón Tequila. Mr. DeJoria adds enormous experience in transitioning companies to full domestic and international operations and also brings unique experience in marketing, corporate positioning and operations to our Company. Additionally, in his capacity as businessman, environmentalist and philanthropist, Mr. DeJoria has served on several U.S. government and United Nations missions.- Jeffrey A. Wohler, Director
Mr. Wohler has successfully created and managed multiple companies over the past thirty years in the Oil & Gas, Exporting Trading, Marine and Real Estate industries. Within those industries he has been recognized as a leader and innovator with a proven track record. Prior to his recent appointment as CEO of LSI, Mr. Wohler co-created, along with Michael Gustin and John Paul Dejoria, Water the World with Latitude a 501c3 public charity whose mission is to provide “water solutions for a thirsty world”. He holds a Juris Doctorate and a finance and accounting degree. 
Michael H. Gustin, Director
Mr. Gustin has been associated with the oil and gas industry for more than thirty-five years. His diversified experience ranges from the rig floor to executive management. He has played vital roles as a founder of Geoscience International, Inc. in 1990, Skidmore Energy in 1995, Lone Star Energy in 1998, and Three Star Energy in 2001. In 1998, he formed the Thor Group which was heavily involved in the funding of research and development projects relating to the cost effective pre-seismic alternative methods of exploration techniques. Prior to 1981, Mr. Gustin served as President of Crew Energy, Great Western Natural Resources, Inc. and Defiance Offshore International. He was responsible for the management of eight land rotary rigs and the design and construction of an offshore drilling barge. These companies conducted various oil and gas exploration, development, and drilling in the U.S. and many foreign countries. Mr. Gustin holds a BA degree from the University of Houston.
Lynden Rose, Independent Director
Lynden B. Rose is a partner in the law firm of Stanley, Frank & Rose, LLP in Houston. Since 1992 Mr. Rose’s practice specializes in matters relating to the Oil, Gas & Energy Industries. Mr. Rose is a member of the Oil, Gas & Energy Resources Law Section of the State Bar of Texas. Mr. Rose graduated from the University of Houston and received his Juris Doctorate from the University of Houston.
