Xfuels Announces Cycle Oil & Gas Purchase of Property & Oil Leases in Electra, Texas
Xfuels Inc. (OTC Pink: XFLS) recently announced that Cycle Oil & Gas has acquired Ray Loveless Enterprises LLC and R.L. Gathering LLC for a total of $575,000. This all-cash deal includes 10 leases, 106 wells, and related equipment in Texas. Cycle plans to develop a workover program to bring nearly 80 shut-in wells back online, aiming to cut fuel costs and operational expenses. The acquired properties have previously produced approximately 25,000 barrels of oil, and the company believes significantly more recoverable oil is available.
- Acquisition of 10 leases and 106 wells for $575,000.
- Potential to bring nearly 80 shut-in wells back online, increasing production.
- Planned reduction in fuel costs and operational expenses.
- None.
Electra, Texas, Oct. 06, 2022 (GLOBE NEWSWIRE) -- Today, Xfuels Inc. (OTC Pink: XFLS) announces Cycle Oil & Gas has closed its purchase of Ray Loveless Enterprises LLC & R.L. Gathering LLC (RL), of Allen, Texas in an all-cash deal consisting of 10 leases, 106 wells, 10 oil batteries, 3 Acre industrial yard & Shop, & Equipment in Wichita County, TX. Cycle paid
Adjacent to the "Ray Loveless" leases are 3 of the "Triple S Gas" leases that Cycle purchased and disclosed on September 29, 2022. The 13 combined leases "RLE & Triple S" fall within a 6 square mile radius that Cycle Oil & Gas will work to develop a workover program to bring nearly 80 shut-in wells back online through the use of their own rigs & licensed technologies. Cycle sees this as a prime opportunity to cut fuel costs & mob times on their service rigs from well to well, while increasing production and lowering lease operating expenses bottom line.
Mr. Michael McLaren, CEO states: “This acquisition makes the most economical sense for the company & its shareholders as commodity & fuel prices continue to increase. We will be able to keep our rig movements to a minimum and cut diesel usage. Our team in Texas is already working to evaluate these properties and eager to get focused on the project and push these leases to their maximum potential.” Mr. McLaren further states, “As stated before our business strategy of "Acquire, Restore, Produce and Consolidate" fits perfectly with these leases & existing contracts where we can apply our world-class know how and stimulation technologies to maximize the potential of the production.”
To date Ray Loveless Enterprises has produced approximately 25,000 barrels from the properties during their ownership and given the locations and well control in the area, Cycle believes that this is only a fraction of the recoverable oil available. Cycle Oil & Gas and Cycle Energy Services are licensed oil and gas producers in the state of Texas.
ABOUT XFUELS
XFuels Inc. (OTC Pink: XFLS) is a diversified & licensed energy company based in the state of Texas. It operates three vertically integrated businesses.
The keystone of the Xfuels enterprise is Cycle Oil and Gas. This wholly owned subsidiary focuses on acquiring and optimizing underdeveloped oil and gas assets. It employs both internally developed and third party-licensed technologies to increase production, optimize performance and reduce cost. Cycle Oil and Gas currently produces approximately 110 barrels of oil per day from Canadian properties. It also holds various oil and gas royalty positions and controls several non-operating oil and gas properties.
The second business unit under Xfuels is Cycle Energy Services. This wholly owned subsidiary supports Xfuels’ overall exploration and production efforts with "well services" and "end of life reclamation." Cycle Energy Services owns and operates a combination of customized wireline-service rigs and HydroVac units. This equipment allows for faster "rig in" and "rig out" times. Overall, Cycle Energy Services equipment and experience combination reduces the amount of time and fuel burned to complete an abandonment.
The third and final business unit under Xfuels is Cycle Energy Technologies. This wholly owned subsidiary provides both R&D and existing technology to enable increased production in the field. Xfuels flagship intellectual property is its mobile Gas To Liquid system. This is used to convert natural gas and other gaseous hydrocarbons into longer-chain hydrocarbons, such as gasoline or diesel fuel. Each of Xfuels three vertically integrated businesses just mentioned -Cycle Oil and Gas, Cycle Energy Services, and Cycle Energy Technologies- all operate in tandem to help Xfuels capture unique opportunities that often go untapped by the company's competitors.
To learn more about Xfuels, please visit http://cyclenrgy.com/
This news release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, that are intended to be covered by the "safe harbor" created by those sections. Forward-looking statements, which are based on certain assumptions and describe our future plans, strategies and expectations, can generally be identified by the use of forward-looking terms such as "believe," "expect," "may," "will," "should," "could," "seek," "intend," "plan," "goal," "estimate," "anticipate" or other comparable terms. All statements other than statements of historical facts included in this news release regarding our strategies, prospects, financial condition, operations, costs, plans and objectives are forward-looking statements. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following: our ability to successfully market our products and services; the acceptance of our products and services by customers; our continued ability to pay operating costs and ability to meet demand for our products and services; the amount and nature of competition from other oil and gas companies; the effects of changes in the energy and financial markets; our ability to successfully develop new products and services; our success establishing and maintaining collaborative, strategic alliance agreements, licensing and supplier arrangements; our ability to comply with applicable regulations; and the other risks and uncertainties described in our prior filings with the Securities and Exchange Commission. We undertake no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
Media contact:
Michael McLaren
mikem@xxfuels.com
Attachments
- $XFLS - Xfuels Announces Cycle Oil & Gas Purchase of Property & Oil Leases in Electra, Texas
- $XFLS - Xfuels Announces Cycle Oil & Gas Purchase of Property & Oil Leases in Electra, Texas
- $XFLS - Xfuels Announces Cycle Oil & Gas Purchase of Property & Oil Leases in Electra, Texas
FAQ
What is the recent acquisition announced by Xfuels Inc. (XFLS)?
How much oil have the acquired properties produced to date?
What is Cycle Oil & Gas planning to do with the acquired leases?
What is the goal of the acquisition for Xfuels Inc. (XFLS)?
