David LaVance, Chairman, President and CEO of Integrated Environmental Technologies (IET; ticker: IEVM), presented today at EnerCom’s The Oil & Gas Conference 20®.
IET produces a biocide that targets hydrogen sulfide (H2S) down-well, reducing the level of the harmful chemical to nearly zero. By reducing H2S levels, IET is able to reduce the maintenance costs associated with corrosive damage by $3,000-$7,000 per month, per well, and improve safety for those working at the well-site.
The company is now being used in 179 wells throughout the U.S. and is reporting a 100% success rate with its treatments. On Wednesday, IET announced that it entered into a master service agreement with EP Energy for the use of its biocide, which IET estimates could be used in approximately 1,100 of EP’s wells.
“We continue to work on the expansion of our production footprint in both South and West Texas,” said LaVance. “We believe that oil maintenance treatments in the Uinta, Permian and Western Gulf Basins represent an annual market opportunity in excess of $350 million.”
During the company’s breakout session, management was asked the following questions:
- How quickly do you think you could scale up operations with EP?
- How does your product compare to others that reduce H2S from a price standpoint?
- What is the active ingredient in your product?
- What are the byproducts created when your product mixes with H2S?
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