Propell Technologies Group Inc (OTCBB:PROP), the U.S. provider firm of a plasma pulse dependent advanced oil recovery technology, reported that it secured an additional strategic equity investment of $9.75 million from entity ‘Ervington Investments Limited.’ Back in February, the company obtained $5 million from the sale of more than 1.52 million shares of “Series C Preferred” at a buy price of $3.28 a share.
The details
Ervington also obtained an option to put in an additional $9.75 million for issuance of nearly 2.97 million shares of Propell “Series C Preferred” stock. On July 6, 2015, the entity exercised its option and ended the final tranche of financing. The funds from the deal will be used by the company to complete its growth and value creation plan of acquiring domestic productive oil-producing assets.
These properties are well positioned to gain from Propell’s plasma pulse supported oil recovery technology. The company plans to aggressively pursue its acquisition strategy of oil properties. It will apply for environmental friendly technology as the company buys and redevelops onshore in the United States, and also offer its Plasma Pulse technology services to third party E&P firms.
The expert speaks
Mr. John Huemoeller, the CEO and President of Propell Technologies Group Inc (OTCBB:PROP), stated that this investment offers company with instant access to the resources essential to continue to follow the planned growth strategy. These resources cover the capital required to buy oil-producing assets that company expect will gain from the application of proprietary plasma pulse technology. The objective is to enhance the oil recovery that has already been identified in a typical reservoir utilizing conventional technology.
In last trading session, the stock price of Propell Technologies jumped more than 33% to close the trading session at $0.210. The gains came at a massive share volume of 2.44 million compared to average share volume of 42,424.
