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Wescorp Energy
Inc.: Environmental Solutions For the Oil & Gas Sector
AllPennyStocks.com News
July 30, 2008 (AllPennyStocks.com Media, Inc.) – Wescorp
Energy Inc.
(OTCBB:WSCE) is a Calgary-based energy services and
engineering company. The company engages in acquiring,
developing, and commercializing technologies that overcome the
tough operational challenges facing oil and gas companies in
today‘s energy environment.
Wescorp pioneers solutions and technologies designed to help
oil and gas companies streamline their operations and
maintenance by doing more for a lower cost. The company offers
products designed to reduce cycle times and slash costs in
four critical areas. These areas are: environmental
remediation, unconventional oil & gas, field intelligence, and
metering & measurement.
However, Wescorp’s main focus is on its water remediation and
purification technology which is wholly-owned through a
subsidiary, Total Fluids Solution, Inc. The water remediation
and purification technology provided by Wescorp can remove
hydrocarbon contamination content from both water and soil.
Getting oil from the oil sands in Western Canada and normal enhanced recovery
methods for oil require the use of massive amounts of fresh water. The result is
that the injected water produced with the oil is contaminated and must undergo
remediation. That is where Wescorp’s technology comes into play.
Wescorp Energy’s Total Fluids Solution is a practical, safe, and effective
process for remediating oil and gas field contaminants right at the well site.
In order to separate oil from water, Total Fluids uses aeration technology that
uses microscopic bubbles several orders of magnitude smaller than conventional
technology to remove hydrocarbons from water. Conventional methods leave from
5,000 to 30,000 parts per million of hydrocarbons as compared to less than 5
parts per million for the Total Fluids solution. This technology has been found
to be extremely useful in the oil sand extraction.
The company’s newly constructed Total Fluids Solution water remediation unit is
capable of remediating 2,000 barrels per day of contaminated water and has been
in full field operations in Alberta, Canada since February 2008. Currently,
there are over 17,000 storage facilities in Alberta alone that contain
contaminated water which requires remediation prior to re-injection into the oil
reservoir.
Wescorp’s Total Fluids Solution technology is also applicable for solids
remediation. Bio-degradable chemicals clean and separate drilling cuttings,
transforming them from solids that would be waste products into solids that are
approved by environmental agencies for commercial use as gravel or fill.
Aeration technologies eliminate fine solids that can damage both wells and
drilling & production equipment. The market for cleaning and disposal of solid
wastes from oil production is estimated to be in excess of $100 billion in North
America alone.
Globally, the oil and gas business is booming. This boom is being driven by the
increased energy demands from the emerging market economies. What is happening
in these countries is occurring on an unprecedented scale - literally billions
of people are moving out of poverty, toward a higher standard of living. Despite
the hot air coming from Washington and Wall Street, it is this demand that has
helped drive up the price of oil to nearly $150 a barrel before a recent
decline.
The supply/demand balance for oil is teetering in a delicate balance currently
between 85 to 87 million barrels a day. The expected growing demand from the
emerging markets for energy has sent energy companies scrambling to find more
sources of oil and gas, including in unconventional areas such as the oil sands
of Alberta. Energy companies are attempting to do this after years of
under-investment. This under-investment has led to the current situations that
energy companies face, which include severe shortages of qualified, experienced
personnel and sharply escalating costs.
The situation in the energy markets should be good news for Wescorp Energy. The
company is sitting in the enviable position of offering to the oil and gas
industry just what is needed - solutions that will meet environmental
regulations as well as lower costs. The demand is definitely there for Wescorp’s
technology. For instance, in 2006 alone, over 540 million barrels of water were
contaminated by oil sands production in Alberta. It is estimated that the global
market for the cleaning, reuse, or disposal of contaminated water is at least
several hundred billion dollars.
The company is being led by a strong and experienced management team and board
of directors. The management team is led by CEO Doug Biles, who has more than 35
years experience in the industry, and newly appointed Chairman Mark Norris, who
is the former Minister of Economic Development for the province of Alberta.
The company’s latest financials reveal that the company is still showing a loss,
but the major macro-economic trends are in Wescorp’s favor to turn the company
profitable. With the announcement on July 29th of a significant announcement
that Total Fluid Solutions Inc. (TFS), the Company’s wholly-owned subsidiary,
has signed a master lease agreement with an oil and gas company with operations
in Texas, Kansas and Wyoming, to use TFS's safe, effective and economical
process for cleaning and separating oil from produced water, significant
revenues should start pushing into the financial coffers at Wescorp.
Under the terms of the contract, Wescorp Energy will construct, deploy and
operate up to 256 water remediation units and provide trained technicians
qualified to operate and service the equipment. Based on the figures given in
the press release, the revenues from this agreement should be in the tens of
millions of dollars over the next 60 months. The company’s stock price has
ranged between $0.32 and $0.51 over the past 52 weeks and is currently in the
middle of that range at $0.40. Investors are encouraged to due their due
diligence during these significant times for the Company and at a time when
revenues start rolling in.
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Although the majority of
AllPennyStocks.com reports are independent, it has received
compensation for carrying the report on Wescorp Energy Inc.,
the compensation is fifty nine thousand two hundred dollars by
a third-party, FBC Capital Ltd. for its efforts in presenting
the WSCE profile on its web site and distributing it to its
database of subscribers as well as other services. This creates an inherent
conflict of interest and readers are encouraged to view the
main disclaimer at
http://www.allpennystocks.com/aps_us/company_spotlights/archives/wsce.asp
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