This morning, most investors are going to be tracking the stocks of those companies that may have been in the news cycle on Monday. Hence, one of the companies that could be tracked today is Metawells Oil & Gas Inc. (OTC:KOSK), considering the fact that it announced that it had inked a letter of intent pertaining to the beginning of the merger procedures with Global Oil & Gas Recovery Corp. It was also noted that the principals of the two companies were excited at the prospect of implementing the business plan and unlocking long-term value for the shareholders. It was revealed yesterday that further information pertaining to the merger would be released as and when the developments occur.
However, in this situation, it could be a good idea for investors to get a better idea about the two companies. Global Oil & Gas is primarily involved in the implementation of EOR (enhanced oil recovery) techniques on abandoned wells, previously tapped reserves, and maturing oil fields in the United States and Canada. Through the restoration of the existing oil and gas wells, the company generates revenues through the production of oil and gas to create value for its shareholders.
The merger with Global Oil & Gas is, therefore, an interesting one. It should also be noted that Global Oil & Gas is currently involved in financing the further development of the Mobile MRU (Methane Refining Unit) that has been patented and developed by PEnG. It should also be noted that oil and gas companies are known for flaring in excess of $10.6 billion in the form of natural resources every year. The MRU technology developed by the company would address the issue of flaring at abandoned wells through the capture of wasted methane and then the conversion of the same to functional fuel.
