Travis Johnson, Stock Gumshoe says:

P.S. I mentioned their actual financial results but forgot to include a link to the filing — remember to always look at the SEC fillings themselves, not just the press releases, something that is doubly important for little tiny self-promotional companies that never mention their costs or liabilities in press releases. Their latest 10-Q, the quarterly filing, is here: http://www.sec.gov/Archives/edgar/data/1084031/000121390013004272/f10q0613_integrated.htm

mooseguy says:

October 8, 2013 at 8:48 pm

Love your analysis of this and other situations that you have covered as they make sense
as based on the facts that you have found and not those as presented or omitted in the tease presentations. Keep up the good work
Regards,

WCK

micky123 says:

October 8, 2013 at 9:28 pm

Gents, I’ve been an Irregular for a week or so and this is my first post. I’m based in the UK. I’m also a Petroleum Engineer.

For the more technically minded I would definitely recommend reading Travis’ last link:
http://finance.yahoo.com/news/integrated-environmental-technologies-ltd-announces-151500738.html which cleared things up a bit, for me at least.

It’s late here and the email arrived just as I was on my way to bed, so I won’t go into detail, but the idea of this biocide is to eliminate sulphate reducing bacteria which produce hydrogen sulphide, a poisonous gas. This is really bad stuff – oilfield workers still die every year from H2S exposure. The problem is that it starts to kill the sense of smell at about 50 ppm. Another major problem is that when accompanied by water it is highly corrosive. This means using very expensive stainless steel tubulars and other equipment.

The point is that it is not a new problem and, as mentioned, there are almost as many companies as there are chemicals on the market. This is (one of) Halliburton’s. http://www.halliburton.com/public/pe/contents/Data_Sheets/web/H/H06536.pdf

I couldn’t find the price per gallon but the key is the level of concentration, which they recommend at a minimum of 30ppm in water. Assuming 50 ppm I did a rough calculation and it seems like these wells would have to be producing around 27,000 barrels of water a day (according to the figures presented in the teaser) – if the IEVM biocide is used at the same concentration. I don’t know what these wells produce but if I had to guess I’d reckon about a tenth of that number. Whatever it is, it would seem that although the price per gallon may be much less, you probably have to use more gallons of IEVM stuff to get the same result. So the cost per gallon is not a useful number unless you can compare the necessary concentration with other products.

This is of course all pure guesswork on my part, but it’s just the way my suspicious mind works. Who knows, the newsletter readers may all tell their friends and pile in sending the stock sky high.

Oh, and it won’t miraculously turn fracking fluid green or into wine.

Great site by the way….

Travis Johnson, Stock Gumshoe says:
October 8, 2013 at 9:34 pm
Thanks, and welcome aboard! Always great to hear from folks with a technical understanding of what these companies actually do.
Reply

bosley says:

October 8, 2013 at 10:25 pm

Wow. Super analysis! IEVM will probably go through the roof, because I wouldn’t touch it with a ten foot pole

taylor5 says:

October 8, 2013 at 11:32 pm

Thanks Travis.

Question: are you “locked out” of Byron’s tease on his cyber security plays? He is really having fun with these things.

Ken

Travis Johnson, Stock Gumshoe says:
October 9, 2013 at 8:03 am
No, just hasn’t hit the top of my list.
Reply

shrini43 says:

October 11, 2013 at 6:17 pm

I loved your analysis. I picked an article from the past which says this miracle water from IEVM has been used in Marcellus shale a couple of years ago. Infact, they go on to say that 175,000 gallons of Excelyte was used during fracking. Assuming, so many gallons of Excelyte was already produced, how did the sales of miracle water not take off in the earlier years is something to think about.

Here’s the link to the article:
http://www.rigzone.com/news/article.asp?a_id=89765
-Shrini

contina says:

October 22, 2013 at 4:41 pm

Travis,
Going way back in my memory banks, such water is probably produced by inducing an electrical charge over and through the water making it an acid. Like Sulphuric acid.

That in turn would make the water clear of bacteria and to whatever it reaches. A simple method fast & inexpensive. It wpoud nt be a proprietary system and the drill equipment companies could certainly make & apply these.