Small cap energy stocks Sunvault Energy Inc (OTCBB: SVLT), Vista International Technologies, Inc (OTCMKTS: VVIT) and 1st NRG Corp (OTCMKTS: FNRC) have been producing some energy lately with mentions in various investment newsletters or investor alerts. All three small cap energy stocks have also been the subject of paid promotions in one form or another. With that in mind, will these three energy small cap stocks energize your portfolio? Here is a closer look and a reality check:
Sunvault Energy Inc (OTCBB: SVLT) Plans to Build a Solar Electric Generation Unit
Small cap Sunvault Energy aims to bring cost effective generation and energy storage to the solar industry through a seamless, novel and simultaneous integration of energy generation and storage at the molecular level. On Friday, Sunvault Energy fell 7.35% to $0.630 for a market cap of $40.79 million plus SVLT is up 530% over the past year according to Google Finance.
What’s the Catch With Sunvault Energy Inc? According to various disclosures, a transaction or transactions of $5k has or will occur to mention Sunvault Energy in various investment newsletters. Last Friday, Sunvault Energy announced it has applied to ATCO Electric to interconnect its proposed generation unit to ATCO Electric's distribution systems. Sunvault Energy expects to construct a 500 kW (kilowatt) solar electric generation unit with possible expansion to 1 MW (megawatt) within one year. Once its operational, the company expects revenues of $115.00 per hour (based on average current market prices) or approximately $167,000 per year; but if the unit is expanded to 1 MW, its expected to generate approximately $230 per hour during the hours of electrical energy supply to the power distribution grid. A quick look at Sunvault Energy’s financials reveals revenues of zero (most recent quarter), zero, $13k and $123k for the past four quarters along with net losses of $149k (most recent reported quarter), $16k, $10k and $31k. At the end of last June, Sunvault Energy had no cash to cover $146k in current liabilities. So maybe investors should wait for Sunvault Energy to get its solar electric generation unit up and running before getting overly excited.
Vista International Technologies, Inc (OTCMKTS: VVIT)Is Building Up Expectations for Its Next Earnings Report
Small cap Vista International Technologies has been producing Waste-to-Energy gasification systems for over twenty years, with installations across three continents. On Friday, Vista International Technologies rose 0.33% to $0.0301 for a market cap of $683,598 plus VVIT is up 234.4% over the past year and down 49.85 over the past five years according to Google Finance.
What’s the Catch With Vista International Technologies? According to various disclosures, one promoter expects to be compensated $25k by a third party for mentioning Vista International Technologies. Last Wednesday, Vista International Technologies updated investors on the features of its newest Thermal Gasifier system. In addition and earlier in the month, Vista International Technologies issued a press release to give an update on its profit expectations for the fourth quarter of 2013 plus another press release saying the company expects revenue from its gasification operations will exceed $300,000 in the second half of 2013 and yet another press release to saying it expects additional revenue from a tire facility. With those promises in mind, it should be noted that Vista International Technologies has reported revenues of $235k (most recent reported quarter), $191k, $178k and $185k for the past four quarters along with net losses of $242k (most recent reported quarter), $226k, $71k and $44k. At the end of June, Vista International Technologies had $154k in cash to cover $4,596k in current liabilities. So given the buildup to the next earnings report, investors might want to wait for it to see if what the company has said in recent press releases holds true.
1st NRG Corp (OTCMKTS: FNRC) Raised Restricted Cash Earlier This Year
Small cap 1st NRG Corp is an exploration and production company whose activity to date has been centered on development of the Clabaugh Ranch Field, a project developing and producing coal bed methane reserves (CBM) located in the Powder River Basin of Wyoming. On Friday, 1st NRG Corp rose 13.33% to $0.0017 for a market cap of $28.42 million plus FNRC is down 99.5% over the past year and down 99.15% since July 2010 according to Google Finance.
What’s the Catch With 1st NRG Corp? According to various disclosures,transactions of $1k, $2k, $2.5k, $3k, $10k and $15k have or will occur to mention 1st NRG Corp in various investment newsletters. Last Monday, 1st NRG Corp announced it had initiated a plan of development encompassing the drilling and completion of eight Federally permitted locations in Wyoming's Powder River Basin where the company holds 100% of the working interest in these locations before payout and 66% after payout. Otherwise, 1st NRG Corp has largely been quiet since an April update when the company reported closed a transaction with nine qualified investors who purchased a private placement of Units consisting of Preferred Shares and Warrants to purchase Common Shares. The total Unit purchase was $14,452,014.45 (or $16,057.79 per Unit) with $14,445,264 being reflected on the Company's Balance Sheet as restricted cash. A quick look at 1st NRG Corp’s financials on Google Finance reveal revenues of $0.01M (most recent reported quarter) and $0.01M so far this year along with net losses of $0.27M (most recent reported quarter) and $0.31M. At the end of last June, 1st NRG Corp had $0.03M in cash to cover $6.74M in current liabilities and $6.98M in total liabilities. So perhaps investors will want to wait until something is drilled and completed.