APG Secure $3.25 Million in Financing for Flare Capture Recovery Systems
American Power Group announced that it has secured $3.25 million of term loan financing from an accredited institutional investor. The proceeds will be used to purchase two additional Flare Capture and Recovery Systems that can monetize captured flared gas converted into natural gas liquids (NGL). In addition, one of the two units will be able to produce CNG for APG’s Turbocharged Natural Gas Dual Fuel conversion technology.
APG recently announced signing a license agreement with Trident Resources (Trident) for the exclusive worldwide right to commercialize Trident’s proprietary NGL processing technology. APG purchased certain of Trident’s operating assets including two existing mobile NGL processing systems currently servicing remote or stranded well sites for one of the top five oil and gas exploration and production companies in the Bakken region of North Dakota. The purchase of the two new additional systems is in response to demand from operators of existing remote/stranded well sites and allows APG to increase processing capability in the Bakken to meet the more stringent flare capture regulations coming due in 2016 and 2020. An average remote or stranded well site producing one to two million cubic feet of flared gas per day has the capacity to produce several million gallons of NGL on an annual basis.