Enteq Upstream PLC trading in line and receiving repeat orders as oil price

() said results for the fiscal year just ended are expected to be in line with expectations.

The energy technology group expects revenues in the region of US$5.00mln for the year to the end of March and to break even at the EBITDA (underlying earnings) level.

Revenue related to a shipment made to Enteq’s new strategic partner in the Kingdom of Saudi Arabia has not been recognised during the accounting period to March 2021, as the registration/accreditation process remains in progress.

Cash at the end of the reporting period stood at US$8.1mln, compared to US$10.2mln a year earlier and US$8.8mln at the end of September 2020.

Following the recent oil price recovery and the subsequent upturn in activity in North America, Enteq has received repeat orders from well-established operators in North America, in addition to further Eastern Hemisphere progression in China, the Middle East and Asia.

Further sales have also been made for the supply of equipment into the geothermal energy sector, which is a key market for Enteq.

The recent product launch of Enteq’s SABER tool, which will enable Enteq enter the rotary steerable drilling service market, resulted in a significant level of enquiries for further technical information, Enteq revealed.

Neil Bird, Enteq’s Rotary Steerable System Product Director, gave a presentation on the SABER Tool at the recent Gibson Reports’ Virtual Rotary Steerable Event. See https://t.co/OPJoVEzg7T

— Enteq Upstream (@EnteqUpstream) March 16, 2021

Field trials for this technology, which incorporates the patents licensed exclusively from Shell and the licensed know-how, are expected to be completed by December 2021.

Enteq intends to continue investing in engineering, testing, building prototypes and setting up a rental fleet for the SABER tool, while also pursuing other selected engineering projects. Strong strategic technical partnerships continue to be maintained and developed with third parties with the intention of producing further commercial products in the medium term, the company added.