HOUSTON, Aug. 18, 2022 /PRNewswire/ -- Houston Natural Resources Corp (OTC: HNRC) ("HNRC or the Company") updated shareholders with a summary of its recent business developments, significant year-to-date achievements, as well as provide some insight into the strategic direction for 2022 and beyond.
Our company is dedicated to increasing stockholder value through the development and expansion of its two majority owned subsidiaries.
Houston Natural Resources, Inc ("HNRI"). HNRI is a 100% owned subsidiary of HNRC and will be expanding the energy interests of the company. The company has begun the process of reworking its existing 83 oil wells discussed herein and acquiring additional producing oil wells. The company will also continue to seek new oil and gas and wastewater treatment acquisitions. Continue expansion of its oil & gas remediation wastewater treatment facility. The opening of additional facilities. Also continuing to focus on its strategy to invest and sponsor Special Purpose Acquisition Corporations ("SPACs") in the energy sector.
Worldwide Diversified Holdings, Inc. ("WDHI") is a majority owned subsidiary of HNRC and will be expanding the technology interest as a diversified holding company. The portfolio holds over $53 million in non-energy assets which it will spin off in 2022 as a publicly traded company. Recently the company has had an increase in revenues from advisory services that it provides to its portfolio companies. HNRC Shareholders of record prior to the end of 2022 will receive an equity dividend in WDHI based on shares owned in HNRC. WDHI expects to acquire and develop additional revenue streams in the technology sector by targeting acquisitions in the $10m to $50m range to increase its portfolio value.
The spin-off changes the focus of HNRC towards its energy reserves. HNRI has acquired 2,800 acres located in the Halff Oil Field in Crockett County, Texas. This oil field is noteworthy for several reasons:
1. Located in the most prolific oil area in the USA.
2. An existing oil field with proved reserves and 83 oil wells to be reworked.
3. Has a prolific oil zone called the San Andres formation that has not been exploited yet.
4. The primary producing reservoir is the Grayburg Sand of Permian age. The Halff Oil Field has produced about 3,900,000 barrels of oil to date from the Grayburg Sand. The original oil in place in the Grayburg Sand is calculated to be 36,900,000 barrels of oil. This Zone has been producing oil for over 50 years, expected to produce for an additional 20+ years and become a major revenue stream in the company's future.
The company intends to continue sponsoring additional SPAC investments. The company sponsored a successful $86 million NYSE listing of an energy focused SPAC during the first quarter of 2022. The company is currently focused on a second energy focused SPAC to be listed in 2022, and currently evaluating six other SPAC opportunities for listing onto major exchanges. This strategy will result in a dividend to its shareholders, after the lock up period has expired, on each of the SPAC investments. This would provide quarterly dividends through 2023 – 2024. The company expects to realize at least $3m on each of its SPAC investments to be added to its existing earnings in 2022 and 2023. This could provide shareholders with more than $0.30c per share in annual dividends.
Furthermore, the company's net earnings Q2 Revenue $5.13M +41% Y/Y, increased 38%, $0.18 earnings per share (EPS), $74M Assets, NAV $2.43/share for the first six months of 2022. The company intends to focus on realizing the value on the total of $9.67 per share in assets held by its subsidiaries for the benefit of the shareholders.
I am very excited about the tremendous opportunity we have in front of us and am confident we have the team in place to capitalize on it. We thank you for your continued support, and we wish you a prosperous balance of 2022.
About Houston Natural Resources Corp
Houston Natural Resources Corp (www.hnrcholdings.com) (OTC: HNRC). The Company is dedicated to increasing shareholder value through developing natural resources with state-of-the-art innovative technologies in tandem with sustainable environmental services of toxic oil field waste disposal and recycling that are environmentally safe and socially responsible. The Company, through its subsidiary Houston Natural Resources, Inc sponsored HNR Acquisition Corp, a Special Purpose Acquisition Corp (NYSE:HNRA).
This press release may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included in this press release may constitute forward-looking statements and are not guarantees of future performance or results and involve a number of risks and uncertainties.
SOURCE Houston Natural Resources Corp