The Oil industry has shown exciting promise in terms of opportunities for investors looking to the space, significant investments, improved distribution and refined marketing strategies mean theses public energy companies are only just starting to sprout. Energy stock investors are looking for the industry bounce from its low this year.
High-flying and volatile energy stocks have caught the attention of both the Main street and Wall Street this year.
For investors ready to jump on the Oil bandwagon, Cycle energy Industries (OTC: XFLS) is a great penny stock to consider buying at these levels.
XFLS is trading at a discount compared to other players. And several upcoming catalysts could catapult shares higher.
The company recently entered a non-arm’s length transaction to purchase all issued and outstanding shares of Cycle Energy Industries Inc. The corporation will then change the name to Cycle Energy Industries Inc. and request a symbol change at the same time.
Xfuels will purchase Cycles outstanding shares of 95,000,000 with a 1 for 1 share exchange valued at .0531 cents per share for a purchase price of $5,000,000 dollars. The acquisition is subject to Xfuels moving to current status on the OTC Markets.
Mr. Michael McLaren CEO states “The acquisition by Xfuels is an exciting step for Cycle to integrate Xfuels technology development such as the Hydrogen Generation Technology from Combustion.” Mr. McLaren also stated, “This is an excellent opportunity for Cycle to implement this technology where we have access to combustion gasses such as compressors and generators.” Mr. McLaren further stated, “Taking Cycle public on the OTC markets is progressing the company and we believe it will provide value to our shareholders as well as the ability to grow our company and take it to the next level.”
Today, the company reported that its wholly owned subsidiary Cycle Energy Services (CES) has purchased 3 new heavy vehicles for its well abandonment fleet.
The purchase now gives Cycle the ability to work on 3 simultaneous sites concurrently without having to share or reschedule equipment.
Mr. Michael McLaren CEO states “The purchase of this equipment allows us to be in 3 places at once increasing our daily ability to produce revenue as well as efficiently abandon well sites in a timely fashion without having to share or reschedule equipment to and from sites.” Mr. McLaren also stated ” Our business plan with CES has always been to rig onto a well site complete the work and rig out without any further work or equipment needed.” “Mr. McLaren further stated “By reducing the amount of equipment and travel time between sites we continue to strive to ease the cost of well abandonment as well as greatly diminish the carbon footprint to complete the work.”
The vehicles two HydroVac units and a Picker unit valued at over $300,000 will complement our existing Combo Service Rig units. The HydroVac units will be modified with Cycles Energy Technologies wireless flow testing equipment as well as our high-pressure pump for downhole pressure testing and ultra-high press water jet cutting unit for well head removal.
Cycle Energy Industries a Canadian corporation based in the province of Alberta, is a unique energy provider that operates three vertically integrated business units in the WCSB (Western Canadian Sedimentary Basin). We have created a vertically integrated company where each subsidiary creates value and adds support to the other.
Cycle Oil and Gas focuses on acquiring & optimizing underdeveloped oil & gas assets and to employs in-house developed & licensed technologies to increase production, optimize performance & reduce costs. The company currently produces approximately 100 barrels/day of oil as well as several non-operational properties and GORRS (Gross Overriding Royalties).
Cycle Energy Services supports our Exploration and production (E&P) team with well services and end of life reclamation which gives the E&P company an unprecedented advantage over its competitors. This business plan excels by providing services that would otherwise be too costly and not financially viable for specific workovers or turn around projects. Cycle Energy Services owns and operates combo wireline-service rigs and Hydrovac Units. The focus of Cycle Energy Services is primarily end of life abandonment and reclamation of non-producing assets. The company excels by supplying fixed cost services via our custom rigs and equipment that results in reduced time onsite, faster rig in and rig out times as well as reduced number of vehicles onsite. Cycle’s efficiencies reduce the amount of fuel burned to complete the abandonment and reduces the carbon footprint to abandon wells.
Cycle Energy Technologies provides both with R&D capabilities as well as previously developed and licensed technologies that aid in increased production, reduced lifting and operation costs as well as gas and oil field intelligence. Cycle Energy Technologies flag ship technology is our mobile GTL (gas to liquid) system we have been developing and is currently implementing a pilot plant. This technology adds value added to the group by using internal production of gas and adding value by turning it into valuable chemicals and C5+ hydrocarbons as a 3-4x multiple which is industry groundbreaking.
In our view, a bounce is all but guaranteed. Use this to your advantage to make some money back. Right now, all of the fear and negativity is priced in. That means, in the short-term, Cycle energy Industries (OTC: XFLS) have nowhere to go but up.