Acceleware Ltd - CEO, Geoff Clark
CEO, Geoff Clark
Source: Acceleware
  • Shares in Acceleware (TSXV:AXE) have jumped 112.5 per cent following a partnership deal with Broadview Energy
  • The deal relates to a commercial-scale pilot program of Acceleware’s RF XL technology
  • RF XL, a Radio Frequency Heating technology, is designed to improve the extraction of heavy oil and bitumen and reduce production costs
  • Under the agreement, Acceleware will farm-in to Broadview’s Marwayne asset and add Broadview as a consortium partner
  • The agreement also contemplates future purchases of the RF XL technology by Broadview
  • Acceleware (AXE) is up 112.5 per cent and is trading at C$0.17 per share, with a market cap of $17.94 million

Shares in Acceleware (TSXV:AXE) have jumped 112.5 per cent following a partnership deal with Broadview Energy.

The agreement relates to a commercial-scale pilot program of Acceleware’s RF XL clean technology.

RF XL, a Radio Frequency Heating technology, is designed to improve the extraction of heavy oil and bitumen.

 Once implemented, RF XL has the potential to reduce both capital and operating costs, while providing significant environmental benefits.

These environmental benefits include immediate GHG emission reductions, a profound decrease in land use, the elimination of solvents and external water use, and no need for water treatment facilities or tailings ponds.

Under the terms of the agreement, Acceleware will farm-in to Broadview’s Marwayne, located near Lloydminster in the Cold Lake Oil Sands region. The deal also contemplates the terms for future purchases of the RF XL technology by Broadview.

In addition, Acceleware will receive ownership and economic benefits of all petroleum products produced in both the first and second test phases. However, this is subject to a gross overriding royalty of up to 7.5 per cent, payable to Broadview.

Geoff Clark, CEO of Acceleware, said that the pilot program will benefit from Broadview’s experience and agility.

“The extensive engineering and de-risking work that we have completed over the past two years will be instrumental in validating the performance and potential of our RF XL clean technology.

“We greatly appreciate the continued support of our funding partners, SDTC and ERA, as we continue to advance commercialization of this clean-tech innovation,” he said.

Acceleware had previously entered into a similar agreement with Prosper Petroleum, but delays in securing regulatory approval for the project resulted in the termination of the deal earlier this week. 

While approval is still required for the partnership with Broadview, Acceleware is currently working with its supply partners to update the budget and schedule for the project.

According to current estimates, the budget is expected to be between C$16 and $20 million, of which roughly $16 million has already been raised.

Acceleware (AXE) is up 112.5 per cent and is trading at $0.17 per share at 2:50pm EDT.

More From The Market Online

Three micro-cap stocks flirting with transformational returns

Before allocating into a micro-cap stock, an investor must first build conviction in its potential for outsized returns.
Docebo Inc. - CEO, Claudio Erba

Docebo stock rallies on 2023 financial report

Software firm Docebo (TSX:DCBO) reported its Q4 and fiscal year 2023 financial results above analysts’ estimates.

iMining subsidiary secures spot in NVIDIA development program

AiMining, a subsidiary of iMining Technologies (TSXV:IMIN), has been accepted into NVIDIA's (NASDAQ:NVDA) Inception program.
WELL Health - Hamed Shahbazi, Founder and CEO (third from right).

WELL Health streamlining business towards profitable growth

WELL Health (TSX:WELL) has made an integration update to streamline its business operations and position itself for profitable growth.