According to a report by Fox Business, natural gas flaring in one the country’s most active drilling regions – the Eagle Ford Shale in South Texas – continued to increase in 2014. The Railroad Commission of Texas reported that more than 20 billion cubic feet of natural gas were burned in the first seven months of the year, and experts suggest that the industry has shown little capability of slowing down. Instead, oil and gas production companies have insisted that there is no feasible alternative to flaring, but Well Power, Inc. (OTCQB: WPWR) is closing in on an economically viable solution.
“Gas flaring is a wasteful industry practice that deserves more attention,” stated Zubin Bamji, an energy and extractives industry spokesman for the World Bank. “Governments and oil companies need to work together to identify solutions, whether technical, regulatory, financial, or a combination of all.”
Through an exclusive licensing agreement with ME Resource Corp., Well Power gained distribution rights for the development and commercialization of Micro-Refinery Units (MRUs) throughout the Lone Star State. The technology behind the MRU could provide drilling companies with a financially sound alternative to the wasteful practice of flaring. The scalable unit converts undervalued gas, including flared gas, into more valuable end products on-site, without the need for time-intensive infrastructure installation.
As of Well Power’s latest quarterly report, development is underway, with the first MRU expected to be completed within a year. The company expects to obtain financing, select an applicable site and begin construction of the unit by the end of the calendar year. The prototype MRU is expected to be fully transportable, providing the company with the opportunity to work with oil and gas landowners and operators to showcase the prototype and promote future sales.
“[The] Well Power management and consulting team are diligently working towards getting units tested and built for the field,” stated Cristian Neagoe, Chief Executive Officer of Well Power.
Well Power’s MRU design is flexible, scalable, modular, mobile, cost effective, energy efficient, high yield, single vessel, skid mounted and custom configured. With increasing regulatory attention on gas flaring, the company is in a strong strategic position to capitalize on the industry’s evolving landscape. As Well Power continues to navigate the hurdles involved with the construction and commercialization of its technology, it is an exciting time for investors of this growing company.
For more information, visit www.wellpowerinc.com
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