Allied Energy Corp. (OTCMKTS:AGYP) is exploring for oil and gas from triple locations in Texas. They are the Green Lease, Annie Gilmer and Prometheus sites. AGYP has already hit oil at five wells at the first two locations. Is there more ahead on the third?
AGYP is positioned well as crude oil remains expensive and in disarray globally. In the Green Lease and Annie Gilmer leased sites, it is pumping oil and gas from five wells. The Prometheus site, particularly the 28 Unit Well 1-H, AGYP is promising.
Last evening, AGYP’s stock closed at $0.3205, off 8.35%. Volume was 283,629, lower than average.
Experienced management and field dill teams have struck oil in five different wells. The Company tweets its shareholders and the financial community at large with its progress. That instills confidence as it documents its growth.
AGYP is well positioned as an independent driller that uses new technology to make older and abandoned wells newly commercial again. It is a Green company able to pump new energy from older sites.
As global oil remains high, AGYP is in the enviable position of finding oil and gas on American soil. Both major indices closed green again last evening and remained high. WTI Crude last night settled green at $81.98 and Brent Crude rose to $83.50, according to oil.com. Bank of America sees oil skyrocketing by 43% to $220 per barrel by next summer.
Winter demand looms for oil. Global oil is high and is predicted to remain high into 2022. That makes AGYP’s assets under management (AUM) even more valuable. That is the catalyst for AGYP.
Democrats are pressing President Biden to tap the nation’s Strategic Reserve of oil, to reduce gas prices at the pump. So far, he hasn’t. They presented him with a letter with signatures from multiple officials to no avail.
In fact, he is doubling down on the short energy strategy. Newest in play: a Michigan energy pipeline is the newest to be forecast for a shut down. Meanwhile, OPEC+ refuses Biden’s demands to produce more oil for an energy-short U.S.
All of this bodes well for future oil and overall energy production. Especially important is that AGYP is applying new techniques such as fracking, down hole drilling and horizontal ‘legs’ to older wells.
Reuters reports a large number of oil and gas independents and even majors are cranking up the wells again. The reason: sharply higher oil prices that remain high.
Reuters reports that U.S. energy independent oil drillers are bringing out the rigs again. Six more were added last week to raise the new total number to 550. That’s the highest number since April 2020.
Total rig count was up 250 rigs — or 83% more than this time last year. Baker Hughes Co. says in its report that that U.S. oil rigs rose to 450 last week, while gas rigs remained unchanged at 100.
Firms such as BP, Chevron, Exxon Mobil Corp. and Occidental Petroleum are planning to increase spending and planning to pump additional fossil fuels.
An oil and gas engineer early last summer determined that AGYP had some $32 million in oil and gas reserves at current prices. He used now out-dated $46 per barrel market pricing in effect at the time. He also has not analyzed potential oil and gas reserves at Prometheus.
Keep AGYP on your Watch List as oil and gas stocks are increasing in value as winter demand is coming.
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