Nexera to Launch New Subsidiary to Plug Inactive Wells in Texas

Rhea-AI Summary

Nexera Energy Inc. (OTC PINK:EMBYF) announced plans to create a wholly owned subsidiary, Nexera Energy Services, Inc., to plug inactive oil wells in Texas. The company has the necessary equipment and expertise to address orphaned wells and aims to start by plugging three inactive wells on its leases. Plugging costs range from $8,000 to $140,000 per well, and Nexera expects to generate significant profit margins. CEO Shelby Beattie emphasized the company's commitment to land reclamation, which will create new revenue streams while supporting local communities.

Positive

• Formation of Nexera Energy Services to plug inactive oil wells, expanding business operations.
• Ownership of all necessary equipment and expertise in well plugging, ensuring operational efficiency.
• Potential for significant profit margins from well plugging services.

Negative

• None.

SAN ANTONIO, TX and CALGARY, AB / ACCESSWIRE / February 18, 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 plans to form a new wholly owned subsidiary, Nexera Energy Services, Inc., to engage in plugging inactive oil wells. The Company has secured and owns all the required equipment, and has the expertise, including qualified employees, to engage in the plugging of inactive and orphaned wells throughout the State of Texas.

Nexera Energy Services will work with local landowners, government and regulatory agencies, and academic institutions and experts, to remediate the abandoned and orphaned well issue, one well at a time, starting with plugging three inactive wells on its own leases.

Oil well plugging throughout Texas costs between $8,000 - $140,000 per well, and Nexera believes there is significant margin to cover costs and profit from this new business unit. Nexera operates with a deep understanding of the geology of South Texas, and has existing employees and subcontractors active in the area, making this new business a natural fit.

"Using our existing talent and expertise, we are able to effectively support a new business using the equipment we own to provide plugging services, not only for our own operations but also to those we work with in Texas. Nexera Energy Services creates a new line of revenue for the Company" stated Shelby Beattie, CEO of Nexera, who continued, "We feel a deep sense of responsibility for the land on which we work as it supports our families and the community. This much needed service will work toward improving and reclaiming lands and leases throughout the State of Texas where we live."

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/630438/Nexera-to-Launch-New-Subsidiary-to-Plug-Inactive-Wells-in-Texas

FAQ

What is Nexera Energy's new subsidiary about?

Nexera Energy is launching Nexera Energy Services, Inc. to plug inactive oil wells in Texas.

How much does it cost to plug an oil well in Texas?

Plugging inactive oil wells in Texas can cost between $8,000 and $140,000 per well.

What is the stock symbol for Nexera Energy?

The stock symbol for Nexera Energy is EMBYF.

What is the expected impact of the new subsidiary on Nexera's revenue?

The new subsidiary is expected to create a new line of revenue for Nexera Energy.

Who is the CEO of Nexera Energy?

Shelby Beattie is the CEO of Nexera Energy.