Allied Energy Corp. (OTCMKTS:AGYP) has filed its Q2 quarterly report for the three months ended June 30, 2021 and there’s a lot of good news. First, it cut its operational and net losses for the quarter — principally by reducing expenses and reinvesting all money from saved expenses back into its well development program.
Operating losses off the three months ended June 30, 2021 dropped to $85,913 from $113,368 the comparable period the prior year — a 24.2% decline. For the six months ended June 30, 2021. It cut operating expenses in Q2 2021 to $175,461 from $231,286 — again, by 24.1%. All triggered similar drops in net loss for both periods.
This was principally achieved by cutting salaries/wages. In the 2Q period in 2021 it was $45,000 vs. $81,000 vs. the same period the prior year. In the six months period in 2021, the salaries/wages number dropped to $90,000 from $162,000 the year prior.
In intraday trading AGYP is at $0.450 in light volume of 130,227.
George Monteith, CEO, and Gordon Johnson, COO, now routinely convert their accrued salaries into AGYP notes. The notes are unsecured, bear no interest and are convertible into common or preferred shares at market rates. This reflects management’s commitment to the the company’s business model of using new technologies to make old or abandoned wells in Texas new again — producing American oil from U.S. soil.
Also important is that AGYP management used all of its cash flow for investing activities — or $224,563 — back into re-investment into its oil and gas properties. In other words, management has converted its own salaries/wages into AGYP notes and even invested any free cash flow it generated back into the well themselves. This is a management team that believes in its future performance.
Engineering reports on the company’s leased wells on the Annie Gilmer Site and Green Lease Sites, filed with the SEC as Executive Summaries by a petroleum engineer document the reserves and their value in these OTC-filed supplemental filings.
At Green Lease, Mark McBryde, Petroleum Engineer found $2,944,900 of proved oil and $18,536,600 worth of probable and possible oil. At the Annie Gilmer site, he found proved oil and gas reserves of $6,704,900 and probable and possible reserves of $5,489,900, all computed at a market price of $46.26. This is far below today’s market prices. The report findings were complete as of July 1, 2021.
AGYP’s online site describes in detail that this is an oil and gas company managed by energy seasoned veterans drilling leased old well sites with new technologies — making older commercial wells new again — with proven, probable and possible energy reserves. Another reason why this is valuable U.S. energy from American soil is that oil tankers in the Middle East face a precarious journey in hostile waters before making the trip to the U.S. AGYP’s American-sourced oil and gas is valuable and local. In terms of promising wells, the Green Lease and Annie Gilmer sites have now received petroleum engineering reports on their oil
The impact of these two supplemental filings with the OTC is making itself felt in steadily rising prices for the stock, even in larger mixed markets. Long investors may have been right all along.
Links to more news are at https://alliedengycorp.com/ and https://twitter.com/AlliedEnergyCo1