Third Quarter 2016 Update
October 7, 2016
Enclosed please find the following: Third Quarter 2016 dividend check, Third Quarter Investor Statement, and three Compressed Natural Gas (CNG) industry articles.
Fort Pierce Construction
Our Construction & Operating Partner, Jeff Greene of Wise Gas, is nearing the final stages for completing the station. The local utility company has completed the installation of the 4” gas pipe to bring natural gas to our curb. A last minute permit was needed as we requested a minor adjustment to our site plan. The permit is at its final review, and is anticipated to be signed off after the October 13 meeting with St. Lucie County Building Department. This permit and new addition has pushed the station’s opening back, but we expect it to be open the middle of fourth quarter. We are already working to sign on new clients and currently are in talks with a large prospective CNG fleet that would be coming on to both the Fort Pierce and Pompano stations.
Pompano Beach Update
The Pompano Beach station signed on a new client that has already been pumping this past quarter, the city of Hallandale’s waste truck fleet. The station has been slowly ramping up. We have a dedicated a new Accounts Representative assisting our Operating Partner to bring on new clients to both stations.
The low prices at the diesel pumps over the past year have had an impact on the CNG industry. Sales for CNG stations staggered a bit, however, oil prices are on the rise again thanks to a new OPEC deal. Natural Gas has remained stable and savvy truck fleets owners, such as Frito-Lay (article enclosed) foresee the volatility in oil as well as, the long-term benefits of compressed natural gas.
I hope this brings you up-to-date, should you have any questions please call me directly at 949-878-8045.
Julio G. Macedo