Xfuels Announces Strategic Move to Capitalize on $1 Trillion Infrastructure Bill Currently Being Negotiated by Congress

Rhea-AI Summary

Xfuels, Inc. (OTC Pink: XFLS) has initiated efforts in Texas to address the issue of abandoned oil wells, leveraging opportunities presented by new environmental regulations and government subsidies. CEO Mike McLaren highlighted a potential $15 billion funding from President Biden’s infrastructure bill for cleaning up these hazardous sites, with a significant percentage of affected wells located in Texas. The company aims to diversify its revenue streams while tackling the environmental impact of unplugged wells, which contribute to greenhouse gas emissions.

Positive

• Potential $15 billion in government subsidies for cleaning abandoned oil wells.
• Expansion into Texas aligns with changing environmental regulations offering growth opportunities.
• Expected diversification of revenue streams from oil well reclamation efforts.

Negative

• None.

Calgary, Alberta, Oct. 18, 2021 (GLOBE NEWSWIRE) -- Xfuels, Inc. (OTC Pink: XFLS) has begun to deploy its talent and resources in the state of Texas to assist in plugging and reclaiming hundreds of thousands of abandoned, environmentally hazardous oil wells.

Through its recently-formed U.S. subsidiary, Cycle Energy Services, Inc., the company has chosen to bring its expertise in oil well reclamation to the United States at a strategically calculated moment in time, when changing environmental regulations and pending government subsidy programs have the potential to springboard its growth.

Xfuels CEO Mike McLaren stated, “President Joe Biden’s new infrastructure bill, if enacted, will represent an extraordinary opportunity for companies such as ours, which have the unique combination of knowledge and skills to properly service abandon wells.”

McLaren continued, “We believe that Biden’s [infrastructure] bill may make as much as $15 billion available to subsidize the clean-up of abandoned oil wells and mines in the United States. And, by our calculations, nearly 20% of those mines targeted in Biden’s bill are within the state of Texas.”

Per a recent report by Carbon Tracker, a nonprofit think tank that researches climate change, there are approximately 783,000 unplugged oil wells in Texas.  And each one of these wells could cost tens of thousands of dollars to properly retire – making the total market opportunity to service abandon wells in Texas worth more than $15 billion.

“By aggressively pursuing oil well reclamation opportunities in Texas, as we continue to follow through on our other acquisition plans, we expect to build a diverse source of revenue streams that will enable us to grow steadily in the years ahead, regardless of fluctuations in the market price of oil and gas,” McLaren stated.

Xfuels believes that state-level stimulus programs and changing environmental regulations will only further expand its opportunities in the area of oil well reclamation in the United States.  Abandoned wells have been found to be major contributors of greenhouse gases, and deadly emitters of a multitude of other toxins. 

The Environmental Protection Agency estimates that unplugged oil wells in the U.S. release 280,000 metric tons of methane a year, causing relatively the same level of harm to the climate as 2.1 million cars over the same period of time.

PR Video: https://youtu.be/eftvdZPqmaw

ABOUT XFUELS 

XFuels Inc. (OTC Pink: XFLS) is a diversified energy company based in the province of Alberta, Canada. 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. 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 cyclenrgy.com or on Twitter at  twitter.com/XfuelsI

Xfuels trades in the United States Over the Counter Market under the symbol XFLS. 

Safe Harbor Statement
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:
Glass Box Agency
https://glassboxagency.com
info@glassboxagency.com 
(844) 292-2722

FAQ

What is Xfuels' plan for abandoned oil wells in Texas?

Xfuels is deploying resources to plug and reclaim abandoned oil wells in Texas, with a focus on opportunities arising from environmental regulations and government funding.

How much funding could Xfuels access from the Biden infrastructure bill?

Xfuels anticipates potentially accessing up to $15 billion for the clean-up of abandoned oil wells as part of the Biden infrastructure bill.

What is the market opportunity for oil well reclamation in Texas?

The total market opportunity for servicing abandoned oil wells in Texas is estimated to exceed $15 billion.

How many unplugged oil wells are reported in Texas?

There are approximately 783,000 unplugged oil wells in Texas, according to Carbon Tracker.

How does Xfuels plan to diversify its revenue streams?

By aggressively pursuing oil well reclamation opportunities in Texas, Xfuels aims to build diverse sources of revenue that are not dependent on oil price fluctuations.