Nexera Gains $775,000 of Oilfield Services Equipment in Non-Dilutive Acquisition

Rhea-AI Summary

Nexera Energy Inc. (OTC PINK: EMBYF) has acquired 100% of Cotulla Vacuum Services for CAD $775,000 (USD $615,000) to bolster its oilfield services and new well plugging business. This acquisition includes a profit-sharing agreement, allowing Nexera to retain 50% of profits above operational costs. The newly acquired equipment is already in use on two properties, enhancing efficiency by reducing reliance on outside contractors. The move is aimed at expanding Nexera's capabilities in providing services for inactive oil and gas wells in South Texas.

Positive

• Acquisition of CAD $775,000 worth of oilfield service equipment expected to enhance operational efficiency.
• Profit-sharing agreement allows retention of 50% of profits, improving potential revenue.
• Immediate use of acquired equipment on two properties demonstrates swift integration.
• Expansion into well plugging business may attract new clients and increase service offerings.

Negative

• None.

SAN ANTONIO, TX and CALGARY, AB / ACCESSWIRE / February 25, 2021 / (TSXV:NGY)(OTC PINK:EMBYF) (the "Company" or "Nexera") an existing producer of oil and gas in South Texas is pleased to announce that it has purchased 100% of Cotulla Vacuum Services, Ltd. ("Cotulla") a San Antonio, Texas based company with CAD $775,000 (USD $615,000) in oilfield service and environmental equipment to support its existing operations and new well plugging business, Nexera Energy Services Inc.

Nexera acquired 100% of the shares and assets of Cotulla for future consideration in a profit sharing agreement, where the company will receive 50% of profits, in excess of operational costs and maintenance which will be retained. The company has already begun using the equipment for its operations on two of its properties, including the Stockdale Horizon Property, where the company is diligently working to confirm results of the Stockdale Horizon H1 well. Nexera Energy Services will provide services to contiguous land owners and companies operating in South Texas in its expanding Energy Services business, focused on plugging inactive and orphaned oil and gas wells.

The acquisition gives the company expanded capability to transport its own equipment, at any time needed. Prior to the acquisition, the company relied on outside contractors for these services and their availability. It is expected this acquisition will make the company more efficient.

About Nexera Energy Inc.

Nexera Energy Inc. (TSX Venture: NGY) is an energy company with oil producing properties in Southwest Texas. Nexera is the owner and operator of the Lavernia, Wooden Horse, and Stockdale Horizon Projects. Additionally, the Company owns and operates various working interests in the HugoCellR, Hagco, Alliance, and MarPat partnerships. The Company also owns 75% of Production Resources Inc., a South Texas oil company.

For further information, please contact:

Nexera Energy Inc. President, Shelby D. Beattie
Telephone at (403) 262-6000
Email: info@ebyinc.com
www.nexeraenergy.com.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

SOURCE: Nexera Energy Inc.

View source version on accesswire.com:
https://www.accesswire.com/631858/Nexera-Gains-775000-of-Oilfield-Services-Equipment-in-Non-Dilutive-Acquisition

FAQ

What acquisition did Nexera Energy make involving Cotulla Vacuum Services?

Nexera Energy acquired 100% of Cotulla Vacuum Services for CAD $775,000 (USD $615,000), focusing on oilfield services and well plugging.

How does the acquisition of Cotulla Vacuum Services benefit Nexera Energy?

It enhances operational efficiency by providing in-house equipment transport and allows Nexera to retain 50% of profits from its new well plugging services.

What is the expected impact of the acquisition on Nexera's operations?

The acquisition is anticipated to streamline operations, reduce reliance on external contractors, and potentially increase revenue through expanded service offerings.

When was the acquisition of Cotulla Vacuum Services announced?

The acquisition was announced on February 25, 2021.