With Germany out yesterday professing its support for a gradual EU ban on Russian oil, the stage is set for another supply-driven rally in the price of oil and gas around the world.
Over the longer-term, the backdrop for the oil market continues to be defined by the prospect of shortages even without the war in Ukraine as we reap the consequences of chronic underinvestment in new fossil-fuel-based energy production capacity. As ESG policies and environmental concerns mount, this problem is only going to worsen in the years ahead.
The upshot could be the steady increase in the value of energy producers despite their bad reputation among green investors. It comes down, as always, to Econ 101: supply and demand set the price.
That shines a spotlight on stocks like EOG Resources Inc. (NYSE:EOG), Devon Energy Corp. (NYSE:DVN), PDC Energy Inc. (Nasdaq:PDCE), Exxon Mobil Corp. (NYSE:XOM), Patterson-UTI Energy Inc. (Nasdaq:PTEN), Matador Resources Co. (NYSE:MTDR), and Energy Select Sector SPDR ETF (NYSEArca:XLE).
But there’s one smaller cap name in the space that strikes an interesting balance, offering a vision of oil production through environmentally safe, and sustainable technology for the extraction and reclamation of heavy oil and bitumen from oil sands and mineable oil deposits: Petroteq Energy Inc. (OTC US:PQEFF).
According to its materials, the company is focused on the development, implementation, and licensing of patented, versatile technology that can be applied to both water-wet deposits and oil-wet deposits, outputting high-quality oil and clean sand.
PQEFF is particularly interesting right now because it has become an acquisition candidate through an all-cash takeover-offer from Viston Swiss United AG.
Given the backdrop in the energy market, it shouldn’t be surprising to see institutional deep-pocketed money interested in snapping it up lock, stock, and barrel while it’s still a small-cap.
The company recently put out an update on the takeover process, noting that the PQEFF Board “believes that the immediate cash value offered to Shareholders under the Viston Offer is more favorable to Shareholders than the potential value that might otherwise result from other alternatives reasonably available to Petroteq. The Petroteq Board of Directors unanimously recommended acceptance of Viston Offer on January 04, 2022 and voted unanimously on January 26, 2022 to tender its shares also."
In other words, it’s a viable solid offer. With the stock still flying under the radar, investors have the opportunity to step in front of that acquisition and potentially turn a quick buck in the process. That’s a rare setup.
But even if the bid falls through the cracks, the company is still positioned as potentially one of the most interesting names in the market’s hottest sector. Energy stocks are up over 32% so far in 2022. Utilities and Consumer Staples are each up just less than 2%. And all other sectors are down for the year.
So, it isn’t even close.
But there should be a premium for those companies able to unlock the extra value of environmentally safe energy production.
As noted in the company’s most recent release, “Petroteq has developed a proprietary technology to extract oil from its reserves in Utah, and has demonstrated in pilot projects the viability of its patented process to produce at an attractive economic level, comparable to conventional oil reservoir production, and to deliver a high quality product. The Company's facility has been designed to operate at 500 barrels per day and the Company has designed the next generation oil sands plant with 5,000 barrels capacity. All engineering aspects of the proposed 5,000 barrels plant have been confirmed by an independent third party as commercially viable and technically sufficient to achieve the desired plant performance within a budget. Petroteq management believes this design is solely unique to the patented Petroteq process, to achieve oil extraction from sands in an eco-friendly method, and can be seen as a true green energy technology.
Petroteq Energy Inc. (OTC US:PQEFF) CEO and CTO, Vladimir Podlipsky, PhD, commented, "Our management team is pleased that Petroteq has unlocked an economically feasible process that is eco-friendly, which I believe positions our company to contribute to solving the global energy crisis. Our intentions are to continue evolving toward future expansion and revenue growth, regardless of the on-going takeover-bid from Viston United Swiss AG. Management of Petroteq continues to manage the business of Petroteq, while making utmost effort to maximize shareholder value."
Disclaimer: Disclaimer: This is a paid advertisement. WallStreetPR is simply distributing content provided to us by EDM Media LLC and is not responsible for the production of this content. WallStreetPR is not operated by a licensed broker, a dealer, or a registered investment adviser. It should be expressly understood that under no circumstances does any information published herein represent a recommendation to buy or sell a security. Our reports/releases are commercial advertisements and are for general information purposes ONLY. We are engaged in the business of marketing and advertising companies for monetary compensation. Never invest in any stock featured on our site or emails unless you can afford to lose your entire investment. The information made available to us by EDM Media LLC is not intended to be, nor does it constitute investment advice or recommendations. The contributors may buy and sell securities before and after any particular article, report, and publication. In no event shall WALLSTREETPR be liable to any member, guest, or third party for any damages of any kind arising out of the use of any content or other material published or made available by WALLSTREETPR ., including, without limitation, any investment losses, lost profits, lost opportunity, special, incidental, indirect, consequential or punitive damages. Past performance is a poor indicator of future performance. The information in this video, article, and in its related newsletters, is not intended to be, nor does it constitute investment advice or recommendations. WallStreetPR.com strongly urges you to conduct a complete and independent investigation of the respective companies and consideration of all pertinent risks. Readers are advised to review SEC periodic reports: Forms 10-Q, 10K, Form 8-K, insider reports, Forms 3, 4, 5 Schedule 13D. For some content, Wallstreetpr.com, its authors, contributors, or its agents, may be compensated for preparing research, video graphics, and editorial content. As part of that content, readers, subscribers, and website viewers are expected to read the full disclaimers and financial disclosures statement that can be found on our website by visiting WallStreetPR.com/Disclaimer. WallStreetPR.com has been compensated $500 for advertisement services on PQEFF by a 3rd party EDM Media LLC. The Private Securities Litigation Reform Act of 1995 provides investors a safe harbor in regard to forward-looking statements. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, goals, assumptions, or future events or performance are not statements of historical fact may be forward-looking statements. Forward-looking statements are based on expectations, estimates, and projections at the time the statements are made that involve a number of risks and uncertainties which could cause actual results or events to differ materially from those presently anticipated. Forward-looking statements in this action may be identified through the use of words such as projects, foresee, expects, will, anticipates, estimates, believes, understands, or that by statements indicating certain actions & quotes; may, could, or might occur. Understand there is no guarantee past performance will be indicative of future results. Investing in micro-cap and growth securities is highly speculative and carries an extremely high degree of risk. It is possible that an investor’s investment may be lost or impaired due to the speculative nature of the companies profiled.
Media Contact
Company Name:WallStreetPR
Contact Person: Ash K
Email:journaltranscriptstocks@gmail.com
Phone: 2019725655
Country: United States
Website: https://www.wallstreetpr.com/
