With Natural gas becoming a serious player for the future and the possibility for fueling vehicles, this company may have significant growth. Potential is almost endless. It's been slow in volume for a long time but it's one of the only ways to get drilling permits quickly or at all and it appears to have solved some concern about fracking. My question is, does anyone here have any more insight on this company? Any Geologists out there? Any info would be appreciated. THX
Im in the business, but not up there where the reservoirs and zones are much different then where I am.
Here is a little I can tell you.
The company you are talking about is NOT an oil and gas company.
They are a service company that assist the oil companies on location.
Thats a pretty big difference.
What they do is take the produced water from the coal bet methane wells and discharge it in a safe way thats supposedly good for the enviroment.
This is a very rare thing thats not wide spread. I would guess less then 1 out of 500 wells in the United States needs this.
As far as getting permits, thats not a big issue on land, oil companies are having problems getting leases offshore in the Gulf of Mexico due to DWH.
The only areas companies are having a real tough time getting drilling done on land is an a few areas in Alaska and certain areas that are protected due to certain rare wildlife. For the most part land work is booming right now.
So my conclusion is the potential market for what they do is VERY small. So unless they have absolutely no competition and get all the work to themselves(which is probably not the case) I dont think its as profitable as you think.
If it ever does take off, you can expect Haliburton or another big company to buy them out.
Mom and pop service companies dont stay around very long in the oil business these days. Its a very consolidated industry these days dominated by the big boys.
Here is a little I can tell you.
The company you are talking about is NOT an oil and gas company.
They are a service company that assist the oil companies on location.
Thats a pretty big difference.
What they do is take the produced water from the coal bet methane wells and discharge it in a safe way thats supposedly good for the enviroment.
This is a very rare thing thats not wide spread. I would guess less then 1 out of 500 wells in the United States needs this.
As far as getting permits, thats not a big issue on land, oil companies are having problems getting leases offshore in the Gulf of Mexico due to DWH.
The only areas companies are having a real tough time getting drilling done on land is an a few areas in Alaska and certain areas that are protected due to certain rare wildlife. For the most part land work is booming right now.
So my conclusion is the potential market for what they do is VERY small. So unless they have absolutely no competition and get all the work to themselves(which is probably not the case) I dont think its as profitable as you think.
If it ever does take off, you can expect Haliburton or another big company to buy them out.
Mom and pop service companies dont stay around very long in the oil business these days. Its a very consolidated industry these days dominated by the big boys.
Thx chop
The drilling permits, I thought were a problem due to the concern in Wyoming about poisoning the drinking water. The laws in that area are very stringent on drilling due to water rights. I'm not to concerned with the rest of the country as wyoming supposedly has enormous amounts of untouched wells because of limited permits issued. With nat gas becoming a front runner or at least hopefully going in that direction, I would think this tool may become a necessity for extracting nat gas without having the problems due to water rights. The N.West would profit from big revenues if drilling is allowed. And I would have to agree, that if anything, it would be bought out. I believe the cost for the Arid is approx $150,000 a pop X's thousands of wells....This is purely a spec stock for me as I am not familiar with this industry. If you have any more info please let me know! Thx
The drilling permits, I thought were a problem due to the concern in Wyoming about poisoning the drinking water. The laws in that area are very stringent on drilling due to water rights. I'm not to concerned with the rest of the country as wyoming supposedly has enormous amounts of untouched wells because of limited permits issued. With nat gas becoming a front runner or at least hopefully going in that direction, I would think this tool may become a necessity for extracting nat gas without having the problems due to water rights. The N.West would profit from big revenues if drilling is allowed. And I would have to agree, that if anything, it would be bought out. I believe the cost for the Arid is approx $150,000 a pop X's thousands of wells....This is purely a spec stock for me as I am not familiar with this industry. If you have any more info please let me know! Thx
