Indago Energy to Acquire Proven New Oil Technology
[Click image to enlarge]
Indago Energy Ltd has entered into an agreement to acquire an oil technology company owning an innovative, proven technology to increase oil production and recovery rates.
Hong Kong based HCD Holdings Ltd and related companies own this technology that allows for the swift, clean and cost effective treatment of heavy asphaltenic and paraffinic oils.
The technology, HCD Multiflow, can be applied to improve oil flow rates by the re‐liquification of oil deposition from oil wells and pipelines and can also be used to recover oil from storage facilities.
The technology is at an early stage of application in the industry with current revenues of around $1.2 million.
HCD Multiflow is being used by Malaysia’s national oil company, Petronas, on a major offshore platform and pipeline system as well as in India with positive reproducible results.
Indago will use its technical, financial and commercial resources to expand the technology rapidly.
The company will also look to acquire existing oil accumulations where the technology can be used to increase or commence oil production.
Many of the world’s oil provinces produce waxy or heavy crudes and experience associated production and transport problems and will represent early targets for sales growth.
In a staged transaction and subject to the various conditions, Indago will initially pay circa $1 million in cash or assumed liabilities plus 50 million fully paid shares and 33.2 million options.
Three representatives from HCD will, subject to shareholder approval, join the Indago board and will include the founder and inventor of the technology, Nick Castellano.
Source: (October 28, 2016) Proactive Investors
About Indago Energy
Indago Energy Ltd is an Australia-based company that is engaged in acquiring, exploring and developing oil and gas prospects in the United States. Its projects include LaSalle Parish Project, Turner Bayou Project, Raven Project, Kestrel Project, Saline Point Project, Atocha Project and Checkmate Project. Its subsidiaries include Pryme Energy LLC, Trident Minerals LLC, Pryme Royalty Holdings LLC and Pryme Mineral Holdings LLC.
To stop by Indago Energy’s website, CLICK HERE
Be in-the-know when you’re on-the-go!
FREE eNews delivery service to your email twice-weekly. With a focus on lead-driven news, our news service will help you develop new business contacts on an on-going basis.
CLICK HERE to register your email address.
