Being able to invest in companies in your own backyard holds a lot of appeal for many investors.  It is one thing to read about a company online, or see interviews on BNN, and a whole other thing to see a company carrying out their day to day operations.  If you see the multitude of GasFrac trucks out and about you know it’s a real company with real guys working.  One of the old investing mantras is to invest in things you understand.  If you live in and around these businesses, that is a lot easier to do.

Fracturing

Lo and behold, the main business of GasFrac is fracturing Oil & Gas reservoirs to improve the production and recovery rate of that well.  The Western Canadian Sedimentary Basin (WCSB for short) remains a hot spot for this activity as well as a good central location for dispatch.

Compared to it’s competitors, GasFrac’s techniques are less energy intensive, requires less inputs, and fewer pieces of equipment.  As well GasFrac claims the technique requires a far shorter clean up time, that allows for a faster turnover to the next job.

For Oil exploration companies in Alberta, BC, and Saskatchewan, Fracturing as been absolutely crucial in the development of the most recent set of wells.  Fracturing is changing wells thought to be totally dry back into producers in the 100s of barrels.  For those who like to invest and support their local companies in Red Deer and/or central Alberta, GasFrac seems like an interesting story to look into.  It is currently in the process of going public and should be trading in the next few weeks.

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