SANTA CLARITA, CALIFORNIA December 8, 2014 (PRNewswire) - US ENERGY INITIATIVES CORPORATION, INC. (OTC Pink: USEI) is pleased to announce today that the Directors...
Licensed to a Public Company (History)
The Company’s technologies were licensed to a publicly traded company for over 10 years (United States Crude International). However, the technology development was conducted during a period of time when oil prices were at historical lows (often less than $20.00 barrel) and raising money and developing expensive technology was a challenge. The target market for the venture was the stripper well industry (by definition are wells that produce less than 10 barrels per day) with many of those wells located across America and around the world that average about 2 barrels per day. The technologies were designed to stimulate those wells to profitable levels.
In the 10 years of that license the company raised $9.5 million dollars, built and tested and developed this technology and Mr Miller and the Company’s geologist wrote an industry paper on the results of testing and demonstration that was presented at a oil recovery conference held in Beijing China.
The portable steam generators were used to inject steam into over 25 wells for over 2 years. This process included wellbore cleanup, including flow lines which caused immediate improvements in the production of oil. Production improved from ½ barrel per day to 10 barrels per day, for days and even weeks, after stimulation. This is a mobile device designed to be moved from well to well around numerous oil properties to enhance recovery. We had 21 employees over time and we had revenues of $20-50K per month when oil was less than $20.00 per barrel; which represents $100 -$250k at current oil values.
The Company leased over 9 square miles of oil producing properties that included over 260 producing and non producing stripper wells. The portable steam generation technology was used on a number of those properties to stimulate production. One device was sold to a Bakersfield operator who was using it on his property in 2004 who saw improvement from 1/2 to 14 barrels per day on over 20 well.
In 1999, this technology was awarded two (2) 20 year U.S. patents on the technology (5,979,549 and 6,129,149). Dr. Meeks, the inventor, is now deceased (2005). The company (United States Crude International) was dissolved after he died and the technology is now controlled by Anthony K. Miller the past president of the public company and current CEO of AM Oil Resources & Technology which has the license to the technologies.
AM Oil Resources & Technology was formed for the express purpose of bringing forth a proven business opportunity that is more relevant now, based upon historical high crude oil prices, than when it was introduced into the market in 1996 when prices were at historical lows.
AM Oil Resources & Technology Inc. previously traded on the OTC: BB under the symbol (AMOR.OB) until 10-1-09, when a Material Definitive Agreement with Aventerra Exploration a shell company was mutually terminated. At the moment of the legal termination, approved by FINRA, AM Oil Resources & Technology Inc. became a private company again.
The new public company will seek to acquire new oil properties for enhanced oil production (with heavy or light gravity oil) create partnerships with operators, create strategic alliances for primary and secondary recovery, and partner with farm-ins on properties where technology may be utilized to improve recovery efforts.