Tuesday, 30 June 2009

NXT Talks About Progress In Colombia with Shareholders

NXT Energy Solutions Inc.
TSX-V : SFD / OTCBB : NSFDF / Frankfurt : EFW
Basic Shares - 30.6 Million
Fully Diluted - 42.7 Million
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Last Thursday, NXT Energy Solutions had its quarterly conference call and updated investors on its operations in Colombia. Ken Rogers, CFO and Andy Steedman, VP Operations gave a quick overview on the company and the SFD technology, before providing details on the company’s progress on the $2.3 million (USD) survey currently underway in Colombia.

Colombian highlights discussed on the call:

- The $2.3 million (USD) SFD contract with Colombian subsidiary of Canadian based oil and gas company to survey approximately 10,000 km2 is nearly complete.
- The Colombia survey contract was executed on April 13th, flights have been completed, and the final reports are expected to be delivered by tomorrow, July 1st. Full payment to be received in early July.
- NXT’s client is the largest independent oil and gas company in Colombia.
- Revenue to be recognized in Q2
- Technology being well received by client, the Colombian government, and other exploration companies
- Colombia has the potential to become a significant source of revenue with several active companies and 700,000 km2 of survey potential, of which over 400,000 km2 will be up for bid in early 2010.
- Further Colombian contracts of a similar size could be completed in 6 weeks instead of the 2.5 months. A comparable seismic program would take 1.5 to 2 years and cost ten times as much.
- The ANH (Government body that oversees oil and gas exploration in Colombia) has approved SFD flights for companies to use toward their work commitments.
- NXT is now working on getting SFD approval for “bid packages” from the ANH meaning that companies bidding on unexplored blocks could commit in advance to SFD flights.

The impressive ability of NXT Energy Solutions to execute this survey in Colombia in a short period of time and well within budget, demonstrates the company now has the technology and the team to be a legitimate player in frontier exploration around the world.

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