Profire makes acquisition

Profire has acquired a company called VIM Injection Management, Inc. that builds automated wellhead chemical-injection management systems.

http://globenewswire.com/news-release/2014/11/18/684199/1010…

Here’s a snippet providing a brief explanation of the technology:

VIM management systems monitor and manage chemical-injection during these processes. The patent-pending technology is designed to allow producers to retrofit any existing pump with an advanced management system, providing pump monitoring and management to help ensure efficient chemical injection at each well.

“Inaccurate injection levels are problematic due to the cost of chemicals which, when over-injected, result in a decline in profit margin for producers,” said Shawn French, VIM president. “However, under-injection can be an even larger issue. Under injection can cause problems in the well bore and pipeline impeding the ability to get the product to market. Due to specific pipeline regulations, oil and natural gas require chemical treatment to ensure pipeline integrity and product quality. If oil is determined to be of low quality, additional costly and time-consuming methods are required to improve the product and meet industry standards. The chemical injection management system is designed to accurately determine how much chemical is needed not only to reach optimal production levels, but help create a greener working environment in the oilfields.”

In addition to improving efficiency of the pump, production of the well and helping the oil and gas industry become more environmentally friendly, these systems are designed to improve safety for workers that would otherwise be exposed to these chemicals and increase compliance with the requirements of pipeline operators.

So it sounds like a complementary acquisition consistent with PFIE’s business of selling automation technology to the gas & oil industry that improves efficiency, safety, and environmental impact with a quick return on investment.

Neil
Long PFIE

6 Likes

It’s a tiny acquisition for PFIE. $1M in shares and $750 in cash. The dilution to PFIE’s shares will be a little more than 2%.

Chris

2 Likes

It’s a tiny acquisition for PFIE. $1M in shares and $750 in cash. The dilution to PFIE’s shares will be a little more than 2%.

Hi GauchoChris,

Can you tell me what % in your portfolio you have in this terrific little company? It looks like such a small diamond that I don’t want to oversize it yet, the present price looks good as does it’s future.
Thanks,
Mykie

Can you tell me what % in your portfolio you have in this terrific little company? It looks like such a small diamond that I don’t want to oversize it yet, the present price looks good as does it’s future.
4.8%