3 Good Reasons why Petroteq could become a Superstock
Written By: Marc Challande
Published June, 10th 2021
If you had bought Petroteq a month ago ( or when we highlighted PQE in our top stocks of the week), you would have already enjoyed a 350% return on investment. After a lot of fear of missing out, the stock is consolidating around $0.17 CAD. A lot of investors do believe it is just the beginning of the rally and we can see 3 reasons why.
One word : CORT
CORT or from its full name Clean Oil Recovery Technology is a unique and eco-friendly way to extract resources. It enables production from oil sands without using water during the extraction process. As a result, neither wastewater nor tailings ponds are created. It’s a closed-loop system, which means that over 95% of the solvents used in the extraction process are recovered, recycled, and reused while roughly 5% remain within the oil that is extracted. The technology is versatile enough to extract other natural resources. This technology is currently Patented in Canada, the USA and Russia.
The technology enables to save about 75 KG of Crude oil washing per barrel of oil compared to conventional oil sands in the extraction and processing of oil, this means about 60-75% reduction. PQE’s technology also saves energy, 100-250 kW per barrel of oil produced as compared to conventional oil sands, which represents about a $5/bbl reduction in energy consumption versus the Clarke Hot Water Process.
The Technology CORT leverages many opportunities. Indeed, Valkor and Petroteq have entered into a technology license agreement, which provides for Valkor to pay Petroteq a license fee of US$2,000,000 per oil sands plant. Valkor shall also pay Petroteq an amount equal to five percent (5%) of net sales from production at a plant.
Petroteq is also digging more oppportunities to improve pricing in production. During summer months, when occurs the production of asphalt, a plan output can be directed when the prices reach a premium for road construction. To put numbers on it, Utah asphalt pricing ranged between $76-$82/barrel of oil in 202