As the saying goes in the investing world, “it’s only a profit when you take it”. Capital and quite a bit of sweat go into smaller cap companies. It is not until the product is on the shelves and selling that the profit actually begins to flow. From an ideal standpoint, finding a company that is just starting to see its products move is the place to be.
Platina Energy Corp., an oil and gas exploration company, works to acquire and exploit oil and gas properties primarily in Kentucky, Tennessee and Texas. Although the company operates with both gas and oil leases, it is currently finding great success with its gas ventures.
The company’s Kentucky leases are currently the bright spot for the company. It recently brought several gas wells online as pipeline infrastructure was completed. It expects that several more wells will be added to this production in the very near future. Current estimates indicate that 75-1,000 mccf/day are expected, with more to come. Major suppliers have been arranged, making an annualized estimated revenue stream of $4 million possible by the end of June from these wells alone.
Generally, the company has been working in or on the fringes of the Devonshire basin deposit in the Appalachian basin region. This basin is a prime gas-producing region and one that experts expect will be consistently producing for some time to come. To further its efforts in the region (or on the fringes), new leases are expected in Tennessee.
The company, however, has not forsaken oil at the lure of gas. It has been acquiring leases at a fairly brisk pace in several Texas areas. Outside of oil’s current pricing tear, the company is taking advantage of a proprietary German technology that essentially steam cleans old wells of remaining oil. With its new technology in place, the company looks ready to balance out its successes in gas with additional revenues in oil. The profit is ready to flow for Platina Energy, with management not about to let up in its quest for more.
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