NEW YORK, Jan. 5, 2022
FN Media Group Presents Microsmallcap.com Market Commentary
NEW YORK, Jan. 5, 2022 /PRNewswire/ -- After experiencing the worst drop since the Great Depression, demand for fossil fuels like coal, natural gas, and oil are roaring back to pre-pandemic levels. Despite hopes that the COVID-19 crisis would lead to a faster transition to clean energy, the fact remains that over three-quarters of global energy needs are still being met by fossil fuels. Until the world makes a full transition to clean energy, fossil fuel demand will likely remain high. Meanwhile, several factors such as global shortages, the offline Russian Nord Stream 2 pipeline, cold weather, and a power crunch in China are expected to keep prices elevated in Europe and the US, creating a perfect storm for oil and gas companies like NG Energy International Corp. (TSXV:GASX) (OTCQX:GASXF), Cardinal Energy Ltd. (TSX:CJ) (OTCPK:CRLFF), Crescent Point Energy Corp. (NYSE:CPG) (TSX:CPG), Contango Oil & Gas Co. (NYSE:MCF) and Cheniere Energy Inc. (NYSE:LNG).
On December 21, 2021, European gas prices soared 16% to $193.46 per megawatt hour, the highest since hitting a record in early October due to rising demand expectations and renewed concerns over Russia's inactive Nord Stream 2 pipeline.
NG Energy International Corp. (TSXV:GASX) (OTCQX:GASXF) has been working diligently to advance exploration programs to help curb supply deficit of natural gas in Colombia while advancing the construction of production facilities at Maria Conchita.
On January 4, NG Energy International Corp. announced it is nearing completion of the pipeline and production facilities that will connect its most advanced block Maria Conchita to the national pipeline system. The completion of this infrastructure, along with receival of an amended environmental permit expected in January, will mark a significant milestone for the young company as it transitions from an explorer to a producer.
Simultaneously, NG Energy is getting ready to mobilize the drill rig for its fully funded, phase 1 four well drilling campaign at its flagship SINU-9. SINU-9 is a 311,353-hectare block adjacent to Canacol, Colombia's largest independent gas producer, with 1.5 TCF in prospective resources that NG will endeavor to unlock. In September 2021, the company received approval from the National Authority of Environmental Licences ("ANLA) for the drilling of 22 wells and related work programs on the property. Phase I will be focused in the northern area of the block which is the most prospective area of the property from a resource's standpoint.
In early October 2021, NG Energy closed a C$7,000,000 financing which will be used to fast track the company's exploration timeline at SINU-9 by funding upfront infrastructure buildout of roads and pads, in addition to US$27.7 million in financing already committed by CPVEN for the drilling and completion of the first four wells.
CEO Serafino Iacono has been adding to his shareholdings with open market purchase over the past several months; on November 10, 2021 he purchased 100,000 shares at $1.56 and an additional 26,000 shares at $1.89 on November 17, 2021.
For more information on NG Energy International Corp. (TSXV:GASX) (OTCQX:GASXF), click here.
Gas and Energy Companies Gear Up For Industry Changes Ahead
Cardinal Energy Ltd. (TSX:CJ) (OTC:CRLFF) recently acquired Venturion Oil Limited in an arrangement agreement, in hopes of developing low decline oil production. This strategic move by Cardinal Energy will lead to operations in the Wainwright area, and the company will be able to achieve economies of scale while utilizing pre-existing infrastructure to reduce operating costs per boe. Cardinal will also be operating Venturion's asset in central Alberta, which consists of an estimated 2,500 boe/d of production (~83% oil).
For Contango Oil & Gas Co. (NYSEAMERICAN:MCF), a new adventure lies ahead as the company announced it has entered into a definitive agreement to combine with Independence Energy in an all-stock merger and bring a premier U.S. independent oil and gas company. The objective is to bring a combined company that will be KKR's leading platform for pursuing upstream oil and natural gas opportunities.
While other gas companies are moving ahead with their new arrangements, Crescent Point Energy Corp. (NYSE:CPG) (TSX:CPG) is looking ahead to 2022 and what is in store for the company. Crescent Point shared its preliminary 2022 budget and is expected to generate further shareholder value. Additionally, the outlook for production is between 131,000-135,000 boe/d with development capital expenditures of $825-$900 million.
Cheniere Energy Inc. (NYSEAMERICAN:LNG) is heading in a different direction and announced in the late summer of 2021 that it will be publishing the life cycle of greenhouse gas after a thorough assessment. This peer-reviewed study has been an ongoing journey since 2018 in order to understand and demonstrate future efforts to improve the environmental performance of gas emissions.
NG Energy International Corp. (TSXV:GASX) (OTCQX:GASXF) is gearing up for a busy start to the year as the company looks to reach production from Maria Conchita and commerce drilling at its flagship SINU-9.
DISCLAIMER: Microsmallcap.com (MSC) is the source of the Article and content set forth above. References to any issuer other than the profiled issuer are intended solely to identify industry participants and do not constitute an endorsement of any issuer and do not constitute a comparison to the profiled issuer. FN Media Group (FNM) is a third-party publisher and news dissemination service provider, which disseminates electronic information through multiple online media channels. FNM is NOT affiliated with MSC or any company mentioned herein. The commentary, views and opinions expressed in this release by MSC are solely those of MSC and are not shared by and do not reflect in any manner the views or opinions of FNM. Readers of this Article and content agree that they cannot and will not seek to hold liable MSC and FNM for any investment decisions by their readers or subscribers. MSC and FNM and their respective affiliated companies are a news dissemination and financial marketing solutions provider and are NOT registered broker-dealers/analysts/investment advisers, hold no investment licenses and may NOT sell, offer to sell or offer to buy any security.
The Article and content related to the profiled company represent the personal and subjective views of the Author (MSC), and are subject to change at any time without notice. The information provided in the Article and the content has been obtained from sources which the Author believes to be reliable. However, the Author (MSC) has not independently verified or otherwise investigated all such information. None of the Author, MSC, FNM, or any of their respective affiliates, guarantee the accuracy or completeness of any such information. This Article and content are not, and should not be regarded as investment advice or as a recommendation regarding any particular security or course of action; readers are strongly urged to speak with their own investment advisor and review all of the profiled issuer's filings made with the Securities and Exchange Commission before making any investment decisions and should understand the risks associated with an investment in the profiled issuer's securities, including, but not limited to, the complete loss of your investment. FNM was not compensated by any public company mentioned herein to disseminate this press release but was compensated twenty five hundred dollars by MSC, a non-affiliated third party to distribute this release on behalf of NG Energy International Corp.
FNM HOLDS NO SHARES OF ANY COMPANY NAMED IN THIS RELEASE.
This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "may", "future", "plan" or "planned", "will" or "should", "expected," "anticipates", "draft", "eventually" or "projected". You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a company's annual report on Form 10-K or 10-KSB and other filings made by such company with the Securities and Exchange Commission. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements. The forward-looking statements in this release are made as of the date hereof and MSC and FNM undertake no obligation to update such statements.
FN Media Group, LLC