ADM Energy PLC has provided an update on the operations of OFX Technologies LLC (OFXT), a company in which ADM holds a 46.8% economic interest. Since ADM's investment in OFXT, the company has achieved significant milestones, including the completion of E-Ticketing functionality for transportation companies and integration of system functionality required by the State of Texas for water disposal operators. OFXT is also nearing completion of the transition of the basic core application from Elixir Code to Angular Code, which will allow for better scalability and integration with other third-party SaaS offerings.
The release of the E-Ticketing solution in March 2024 marks an important milestone for OFXT, positioning the company to target large commercial users of the platform. Additionally, OFXT has initiated expansion into the Texas market, the largest producer of crude oil in the United States, with an estimated 5.6 million barrels of oil production per day. The company reported unaudited revenue for the year-ending 2023 of US$118,000, ending the year at an annualized revenue run rate of US$190,000. With the momentum from the release of its E-Ticketing solution and expansion into the Texas market, OFXT aims to achieve operating cash flow break-even by the end of 2024.
Furthermore, ADM Energy PLC announced the appointment of Cairn Financial Advisers LLP as broker to the company with immediate effect. Stefan Olivier, CEO of ADM Energy plc, expressed satisfaction with OFXT's progress, particularly in achieving key software development milestones and positioning the business to enter the Texas market, which is seen as crucial for achieving revenue milestones in 2024.
ADM Energy PLC (AIM: ADME; BER and FSE: P4JC) is a natural resources investing company with an existing investment representing approximately 46.8% economic interest in OFX Technologies, LLC and a 9.2% profit interest in Aje Field, part of OML 113, which covers an area of 835km offshore Nigeria. OFXT, a revenue-generating company, offers a free-to-download mobile phone app used to track and manage produced water resulting from oil and gas operations and to fulfill regulatory requirements associated with the disposal of oilfield waste-water in the State of Louisiana. OFXT's business model is to provide Software-as-a-Service (SaaS) with a near-term focus on expanding its service offering to other U.S. states and adding additional functionality to increase average revenue per user.