Supernova Energy Inc (OTCMKTS:SPRN)
Supernova Energy Inc (OTCMKTS:SPRN) specializes in well bore completion and re-completion services for small, independent operators with existing oil and gas production. Their consulting services include: completion, recompletion, workover, and turnkey solutions. Supernova’s approach is to upgrade the well, using state of the art re-completion methods; bringing new life to old wells. The company believes that many once profitable oil wells are being plugged and abandoned. Supernova evaluates abandoned and ‘stripper status’ wells to determine whether a turnkey or paid-for partnership option is suitable.
Supernova Energy Inc (OTCMKTS:SPRN) offers project management services through an affiliated company, Western Resource Development LLC. Together they provide total project coordination, engineering, and supervision for smaller companies with limited staff or capital.
Supernova provides project management services not only for core completion, recompletion and workover projects, but also for select new drilling ventures. Supernova is actively seeking out opportunities in oil and gas projects that meet the Company’s criteria for investment, risk and payback for completion, recompletion, and new drill ready prospects.
Supernova Energy Inc (OTCMKTS:SPRN) has an operating license in the state of Kansas where it concentrates on completions, recompletions and workovers, through working-interest partnerships. Supernova is operator and 100% working Interest owner of its Pratt County leases (5 leases totaling 780 acres) located within the established Sawyer Field and is currently producing both oil and gas. The Sawyer field has produced an accumulative 3,383,397 MCF and 2,137,418 barrels of oil from four pay zones, (Lansing-Kansas city, Viola, Simpson and Arbuckle); the first well was drilled in 1957. Since taking control as operator of the Pratt County leases in late 2015, Supernova has reworked and restarted production in two temporarily abandoned (TA’D) wells (Keyes A #1 and Keyes B). An existing salt water disposal well (Harrell D) on the leases was also refitted and ungraded in August 2016 to support increased production levels in the field. The company expects to further upgrade equipment on producing wells to increase flow rate and decrease water cut.
Total revenue for Supernova Energy Inc (OTCMKTS:SPRN) in FY2016 was $104,000 which was a significant increase over the FY2015 figure of $9,000. Net income was a loss of (-$7,000) which was also better than FY2015 loss of (-$787,000). FY2016 Total Assets are listed at $610,000 while total liabilities are $1,218,000 which translates into a negative shareholder equity value of (-$765,000).
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About the author: James Marion is a University of Houston student studying Business with a concentration in Finance