Energtek Inc., a world leader in the development of Adsorbed Natural Gas (ANG) technology, announced this morning that rebounding oil prices and additional Natural Gas (NG) production capacity will increase the potential of its Indian subsidiary to generate significant revenues. Earlier this month, the company stated it expects the subsidiary to report initial revenues during the final quarter of this year.
The Center for Monitoring Indian Economy (CMIE) anticipates NG production in India will increase by more than 60 percent in the coming year. “In 2009-10, we expect domestic natural gas output to grow by a robust 60.5 per cent to 52,239 million cubic metres (mcm),” stated CMIE in its April review.
Incorporated in 2006, Energtek began concentrating into natural gas activities by the beginning of 2007. The revenue projections calculated at that time assumed a $37 per barrel price of crude oil, 25% below the current market price. The price of oil increased rapidly during 2007 and 2008, reaching record highs of over $140 per barrel in mid-2008. The price then plummeted to as low as $35 per barrel by the end of the year. Current expectations are for prices to continue to increase towards $70 per barrel.
“As the price of crude oil rises, the profitability of alternative energy solutions becomes even greater,” stated Energtek CEO Lev Zaidenberg. “Natural Gas is a very competitive energy source with today’s oil prices topping $50 per barrel. This is especially true in India, a country with rapidly expanding NG capabilities.”
“We fully expect our proprietary bulk transportation solutions to provide significant cost reductions to industrial and commercial energy consumers in India, starting this year,” Zaidenberg added. “Producing additional quantities of Natural Gas will expand the number of customers that can benefit from clean and affordable alternative energy. Natural Gas is much cleaner than crude oil, and can be offered at a price significantly cheaper than gasoline, diesel or LPG.”
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