USA Superior to Expand Field Production with Financing Arrangement
USA Superior Energy Holdings, Inc., a company that develops and utilizes advanced technologies to increase oil production from underperforming oil wells, announced a financing arrangement with its oil purchasing customer, Durado Oil Company, which will allow for immediate payment on barrels delivered. By receiving cash upon the delivery of our barrels, we are able to increase cash flow and thus are able to accelerate our expansion efforts in the Bateman field.
Increasing cash flow gives us a much more attractive balance sheet and as a result we are more appealing to outside financing from banks and institutions. At the present time, the Bateman project has put 44 of the 88 wells into production since the projects inception in January 2008.
Randy Holifield, Field Operations Manager, states, "This immediate access to the cash generated by barrels produced and shipped will allow for us to be significantly more aggressive in opening up the remaining 44 wells in the field, as well as continue to revisit the existing re-opened 44 wells to maintain or expand current production flows."
"This customer-driven financing," according to Rowland Carey, CEO of USA Superior, "will significantly reduce our need for external financing to meet our overall production goals for 2008."