After a review of industry conditions, Insight Management Corporation announced that increased oil and gas leasing and drilling activity has been creating new opportunities to add new business and increase sales to existing customers. Wholly owned Insight Management subsidiary Rebel Testing, Inc. is taking advantage of the exploration and production upswing to generate additional revenue and increase market share for its natural gas well servicing business.
Oil prices have more than doubled in the last year, and gas futures have risen approximately 93% from lows reached in September 2009. Oil and gas rig counts decreased over the past year, but have started to recover as energy prices bounce back amid signs of economic recovery in the U.S. (Dow Jones, December 4, 2009). The number of drilling rigs actively exploring or developing oil and natural gas in the United States rose to 1,107 in November.
Rebel Testing, Inc. is an oil and gas services company providing services for companies in Colorado, Wyoming and Utah. The company prides itself on its 18-year history of profitable operations and longstanding relationships with valued customers. Rebel Testing’s Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) more than doubled during the third quarter to $214,505, an increase of 131% over the second quarter of 2009.
President and CEO Jennifer Rapacki stated, “Insight Management subsidiary Rebel Testing maintained profitability and increased sales during the economic downturn and more than doubled net profit last quarter. Now that drilling is rebounding and gas prices have reversed their decline, new sales opportunities are arising that we believe could significantly increase our revenue and market penetration.”