Energtek Anticipates Increase of NatGas Activities in India
Energtek Inc., a world leader in the development of Adsorbed Natural Gas (ANG) technology, announced that additional Natural Gas (NG) production capacity, plus rebounding oil prices will increase the likelihood of significant revenues for the company’s subsidiary in India.
Energtek announced earlier this month, that the company’s subsidiary Moregastech India Private Limited expects to report its first revenues during the final quarter of 2009.
A report recently published by the Center for Monitoring Indian Economy (CMIE) predicts that NG production in India will increase by over 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),” said the economic think-tank in its April review.
In addition, the price of oil has been rebounding steadily over the last several months, with crude oil now costing around $60 per barrel.
Energtek was incorporated in 2006, and the company’s activities concentrated into natural gas activities by the beginning of 2007. At that time the revenue projections were calculated assuming a $37 per barrel price of crude oil, 25% below the current market price at such time. The price of oil rapidly increased during 2007 and 2008, and reached record highs of over $140 per barrel in mid-2008, before plummeting to as low as $35 per barrel by the end of the same year. The present 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,” said 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.”
