Dallas, Texas (July 6 , 2011) – StockGuru shines its Spotlight on ESP Resources, Inc. (OTCBB:ESPI) (the “Company” or “ESP Resources”), an oil and gas services company, announced that two chemical delivery units used in the pumping of chemicals in the hydraulic fracturing (fracking) business are being deployed to natural gas wells from its Guy, Arkansas district office. The units pump chemicals to treat the fluids used in the completion of oil and gas wells from “shale” formations. ESP Resources, Inc. closed on July 5, 2011, at $0.125 trading on volume of roughly 22,000 shares.
Each unit consists of a trailer mounted pumping system with associated power generation components, a chemical supply trailer, safety and spill prevention equipment, communication devices, and computerized reporting equipment. The Company commenced the use of one the units during the month of June to assist in the completion and fracturing of 10 wells and anticipates that both units will be working on a full time basis starting this month. Currently, ESP Resources is supplying specialty chemicals and services to two of the largest oil and gas operators in the state of Arkansas and is also negotiating contracts for the use of these units on a continuous basis. It is expected that the units will be used in the completion of wells in the Fayetteville Shale in Northern Arkansas. The Company’s Guy, Arkansas office is located in the middle of the shale formation trend and can economically supply the chemical units to any of the 21 counties where drilling activity is currently ongoing.
The units pump treatment chemicals to eliminate the bacteria contamination present in the fluids used in the fracking process. The Company has developed a specialized chemical formulation that provides for a longer term bacteria-contamination elimination time frame than what is currently supplied by its competitors. The longer term time frame provides the Company’s customers significant cost savings in the removal treatment of contaminants from the oil and gas well-stream once the well has been placed into production. Potential savings via increased productivity can be substantial for the Company’s customers.
Revenue generated by the Company from one of these units is projected to average $150,000 per month and the Company expects that revenues from the two units will increase total company revenue by 30%.
“The deployment of these units is an exciting and integral part of our plans for expansion,” stated David Dugas, Chief Executive Officer of ESP Resources. “We are currently constructing six additional units and anticipate delivery of each new unit between now and the end of September. We have identified a current market utilization of more units in Arkansas and plan to aggressively pursue that growth in the coming months,” said Dugas.
About ESP Resources, Inc.:
ESP Resources, Inc. is a publicly-traded (OTCBB:ESPI) (the “Company” or “ESP Resources”) oil and gas services company headquartered in Scott, LA. Through its wholly owned subsidiary, ESP Petrochemicals, Inc., the Company manufactures, blends, distributes and markets specialty chemicals and analytical services to the oil and gas industry. The Company provides its specialty products and services for a variety of oil and gas field applications including production, drilling, waste remediation, cleaning, and waste water treatment. From its blending and distribution facilities, the Company distributes its product line throughout the oil and gas producing regions of Louisiana, Texas, Mississippi, Alabama, Arkansas and Oklahoma, both onshore and offshore. The Company also distributes its specialty petrochemicals to oil and gas operators internationally. The Company’s senior management has over 100 years of combined operating experience in the petrochemical industry. More information is available on the Company’s Website at www.espchem.com.
Legal Notice Regarding Forward-Looking Statements:
This press release contains “forward looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Statements in this news release that are not historical facts are forward-looking statements that are subject to risks and uncertainties. Forward-looking statements are based on current facts and analyses and other information that are based on forecasts of future results, estimates of amounts not yet determined and assumptions of management. Forward looking statements are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “aims”, “potential”, “goal”, “objective”, “prospective”, and similar expressions or that events or conditions “will”, “would”, “may”, “can”, “could” or “should” occur. Information concerning oil or natural gas reserve estimates may also be deemed to be forward looking statements, as it constitutes a prediction of what might be found to be present when and if a project is actually developed. Actual results may differ materially from those currently anticipated due to a number of factors beyond the reasonable control of the Company. It is important to note that actual outcomes and actual results could differ materially from those in such forward-looking statements.
Readers are cautioned not to place undue reliance on the forward-looking statements made in this press release. In evaluating these statements, you should consider the risks discussed, from time to time, in the reports we file with the U.S. Securities & Exchange Commission. For a discussion of some of the risks and important factors that could affect the Company’s future results and financial condition, see the Company’s Form 10-Ks and 10-Qs on file with the U.S. Securities & Exchange Commission.
To view the StockGuru Spotlight on OTCBB: ESPI, please visit: http://www.stockguru.com/category/latest-spotlights/
To get free alerts on this and other similar stocks, please register here:
What is the StockGuru Spotlight?
Many companies covered in The StockGuru Spotlight have positive increases in both volume and share price. While this is not true in all cases, StockGuru strives to cover companies in The StockGuru Spotlight that are worth of our readers’ attention.
StockGuru looks for potential break-out candidates in The StockGuru Spotlight. Many of these companies have had recent news and appear to be getting the attention of investors. StockGuru does not typically feature companies in The StockGuru Spotlight that are compensating StockGuru for this coverage. There are times when StockGuru covers a stock in The StockGuru Spotlight that had previously compensated Stockguru. Where that is the case, a proper disclosure is included below. StockGuru and its partners, employees and writers never hold shares, short positions, warrants or any other current position in a stock featured in The StockGuru Spotlight.
To feature a company in The StockGuru Spotlight please contact the Publisher at email@example.com. If our reader is a key person for a publicly traded company, StockGuru can consider that company for either a StockGuru Spotlight or a StockGuru Profile. Please contact the StockGuru Publisher John Pentony at this email address: firstname.lastname@example.org.
Stockguru.com (“SG”) provides its members with the latest news, press releases, and trade alerts for all the companies highlighted on the site StockGuru.com. SG utilizes information believed to be reliable herein prepared all material. The information contained herein is not guaranteed by SG to be accurate, and should not be considered to be all-inclusive. The owner, publisher, editor and their associates are not responsible for errors and omissions. SG encourages readers and investors to supplement the information in these reports with independent research and other professional advice. All information on featured companies is provided by the companies profiled, or is available from public sources and SG makes no representations, warranties or guarantees as to the accuracy or completeness of the disclosure by the profiled companies or the information contained herein. The companies that are discussed in this opinion have not approved the statements made in this opinion. This opinion contains forward-looking statements that involve risks and uncertainties. This material is for informational purposes only and should not be construed as an offer or solicitation of an offer to buy or sell securities. SG is not a licensed broker, broker dealer, market maker, investment banker, investment advisor, analyst or underwriter. Please consult a broker before purchasing or selling any securities viewed on http://www.Stockguru.com or mentioned herein.
This release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. “Forward-looking statements” describe future expectations, plans, results, or strategies and are generally preceded by words such as “may”, “future”, “plan” or “planned”, “will” or “should”, “expected”, “anticipates”, “draft”, “eventually” or “projected”. You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a company’s annual report on Form 10-K or 10-KSB and other filings made by such company with the Securities and Exchange Commission. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements. The forward-looking statements in this release are made as of the date hereof and SG undertakes no obligation to update such statements. StockGuru is occasionally compensated for coverage. When this is the case, SG clearly indicates this with a disclosure of all compensation received in the past and present. Additionally SG also discloses any anticipated compensation in the future. Compensation is typically in cash. Sometimes a company pays SG in restricted shares. Pentony Enterprise and its associated companies does not take free trading shares for any reason at anytime. StockGuru is not a registered investment adviser or a broker-dealer. StockGuru makes no recommendation that the purchase of securities of companies profiled in this web site is suitable or advisable for any person, or that an investment in such securities will be profitable. In general, given the nature of the companies profiled and the lack of an active trading market for their securities, investing in such securities is highly speculative and carries a high degree of risk.
John Pentony, Publisher, Stockguru.com
Tel: +1 469 252 3031