CALGARY, Alberta, Might 15, 2019 (GLOBE NEWSWIRE) – NXT Energy Solutions Inc. (“NXT” or “Company”) (TSX: SFD; OTC QB: NSFDF) at the moment introduced the company's financial and operational results for the quarter ended 31 March 2019 All greenback amounts are in Canadian dollars.
Q1 Financial and Operational Highlights
The key economic and operational highlights of the first quarter are:
- The corporate started a mobilization part of the Nigerian SFD® research, which amounted to approximately $ 8.9 million and PE Energy Limited, a Nigerian oil and fuel firm. fuel service company. PE Energy Restricted has an settlement with the Nigerian National Petroleum Company (“NNPC”), which gives 5000 rpm kilometers of SFD® analysis in Nigeria. The info processing actions of this settlement have been accomplished firstly of Might 2019. NXT's suggestions are expected to work in the third quarter of 2019. The agreements have led to more than six (6) months of negotiations and the change of serious technical info. SFD® Efficiency
- Up to now, the corporate has acquired US $ 1.three million in funds from PE Energy Restricted for SFD® surveys in Nigeria. The US $ 8.9 million surcharge can be paid after the completion of three (3) milestones for the venture and the terms of cost of the contract: acquisition of knowledge (in all probability already in June 2019), ultimate interpretation and delivery.
- In February 2019, NXT signed a co-operation agreement with Alberta Inexperienced Ventures (“AGV”) to propose as much as three SFD® research inside two years. The Collaboration Settlement is predicated on value plus method and gross pressured royalties for oil and fuel production from the nations underneath investigation. NXT and AGV are presently evaluating potential SFD® surveys, offered that NXT plane scheduling takes place. The corporate has acquired a US $ 100,000 unpaid deposit beneath this cooperation settlement
- Because of the AGV-NXT co-operation settlement, the company has acquired conditional approval from the Toronto Stock Change (“TSX”) to increase the validity of the joint inventory options held by AGV for an extra 12 for a month till February 16, 2016, offered that shareholders' approval just isn’t interested in the Common Meeting on June 25, 2019.
- Efficient February 26, 2019 NXT has entered right into a three-year exclusive sales agreement with AGV in nine Center East and Latin America areas. This agreement features a subscription right that permits NXT treasury shares to be purchased in the type of a greenback, which is 25% of AGV's NXT contracts made within the first yr of the contract, based mostly on TSX approval.
- Era Useful resource Discoveries ("GRD"), NXT Regional Representative and Aceh Government, Indonesia, expired on 22 February 2018.
- Analysis income was not acknowledged within the first quarter of 2019 on March 31, 2019.
- Through the first quarter, a internet loss of $ 1.76 million was recorded, together with a depreciation of $ 0.44 million.
- The enterprise spent $ zero.88 million in money in 2011 and internet money move of $ zero.01 million
- Losses per share have been $ 0.03 in the first quarter of 201 (primary and diluted)
- Basic and Administrative Q1 2019 In comparison with Q1 2018, it has fallen by $ 0.06 million or 6 % mainly because of Q1 2011. o Partial discount of Nigerian contract negotiations and litigation costs
- Money and short-term investments on the end of 2011 have been $ 3.35 million.
Message to Shareholders
George Liszicasz, President, and CEO of NXT commented: “NXT had a really busy first quarter planning and ending operation for the Nigerian SFD® Survey. Since this venture was the first in Africa, many logistical issues had to be overcome. The corporate has delivered over 10,000 pages of paperwork to the NNPC and to the Petroleum Assets Unit (DPR) as part of the qualification course of. I want to thank our associate PE Energy Limited in Nigeria for their tireless efforts to make this venture potential inside seven months from the start of discussions. Earlier than accepting the research, NXT had to perform a check flight on land. Through the days, we introduced preliminary results to the NNPC and acquired approval for the undertaking. From 17th of April to early Might, NXT completed 5000 rpm knowledge assortment and is at present working on deciphering info. Extra importantly, now that the first part has been completed and authorised by the NNPC, the first milestone cost is due in June underneath the terms of the agreement.
An offshore check by DPR and the Nigerian Petroleum Improvement Company was carried out on 28 April 2019. The results will probably be introduced in Nigeria in the near future. Our plane have returned to Calgary and are performing scheduled upkeep to organize for SFD®. We’ll proceed our opportunities in Nigeria and develop the pace of Africa and the Middle East. I want to thank all our staff and repair providers on behalf of our government and the CEO, who supported the acquisition part of Nigeria's SFD® survey. We look ahead to the top of 2019. ”
Summary of NXT's First Quarter 2019 Monetary Statements (Comparative Figures 2018) is introduced under. All the under and referenced financial info have to be read at the side of the company's unaudited consolidated monetary statements for the first quarter of 2019 and associated administration dialogue and analysis (“MD&A”).