2020 Shareholder Update
To the Shareholders of American Energy Partners Inc.:
It is apparent to us, as Management, that we have had a steady increase in both long and short-term Shareholders. First and foremost, we appreciate the interest in our Company and the confidence you, our Shareholders have shown. It has been exciting for us to see the reaction to our continued growth and success.
Our Chairman & CEO, Brad Domitrovitsch founded Hydration Company of PA, LLC (“Hydration”). in January of 2011 and ran it as a private company. In January of 2017, Management saw Hydration through the reverse merger, and thereby created American Energy Partners, Inc.(“American Energy”), a diversified energy company housing not only Hydration Company, but also multiple subsidiaries with complimentary revenue streams.
Our business plan has always consisted of concentrating on growth and expansion through accretive, cash flow positive acquisitions and raising the new capital necessary to implement that business plan. American Energy has experienced tremendous growth despite the challenges 2020 has brought everyone. Through strategic corporate actions, a rich deal pipeline, and launches of new business, we have been able to deliver value to our Shareholders.
American Energy’s recent corporate actions have driven us closer to executing the strategic initiatives management has set forth to building a profitable, diversified, sustainable energy company with substantial revenues. We continue to utilize and capitalize on our highly capable and deeply experienced executive management team that has set its sights on a focused acquisition strategy supplemented with strong organic growth. Shareholder value has been fueled by distinct actions:
U.S. Patent #10,730,760 Value of Approximately $5,000,000 - Completed
PCAOB Audited 2018 & 2019 Annual Financial Statements – Completed
Collapsing of Preferred Stock and Common B’s into Commons – Completed
Retention of Investment Bank Pritchard Griffin Advisors, LLC. – Completed
PCAOB Audit of 2020 Annual Financial Statements – Anticipated in March
Up-listing to OTCQB – Anticipated in 2021
Sourcing of and Closing of Acquisition Targets – Various Degrees of Progress
In Q1 of 2020 we acquired Oilfield Basics, LLC, an online platform for learning about the Oil & Gas Industry from some of its most seasoned professionals. American Energy’s “intelligent integration” approach, has served to maximize value, mitigate attrition, and increase support of sales and management teams. We integrate where it makes sense inside our organization. This includes the integration of back office functions to gain efficiencies with the retention of existing management, incentivizing their performance during transition. Oilfield Basics is now contributing to the topline growth seen in 2020 with both ad revenue and new subscription sales. Notably though, geotechnical and engineering based services have continued to drive sales growth and margin expansion through lowered overhead and a healthy bottom line.
American Energy demonstrated continued financial success with our unaudited 2020 profit and loss statement indicating a 200% topline growth of revenue year over year. We have followed a disciplined approach in our “pathway to profitability” defined by four elements:
deleveraging and releveraging of the balance sheet,
streamlining corporate overhead,
enacting operational efficiencies and controls,
and up-listing to OTCQB.
Brad Domitrovitsch had this to say regarding the year in review, “This year has been difficult for more than just businesses. We have had to band together, yet separate. Each day I am grateful for American Energy’s employees, shareholders, and customers. Thankfully, we as a company were able to transition cleanly and effectively to adapt to the changing business environment.”
American Energy Partners, Inc. (AEPT)
AEPT and its group of companies focus on providing solutions in markets where energy production and water meet technology. Collectively, the subsidiaries are engaged in the energy sector as well as the design, construction and operation of regional water treatment facilities that serve the industrial, energy and government sectors.
For additional information, visit: American Energy Partners, Inc.
Safe Harbor
This press release contains forward-looking statements, particularly as related to, among other things, the business plans of AEPT, statements relating to goals, plans and projections regarding AEPT’s financial position and business strategy. The words or phrases “would be,” “will allow,” “intends to,” “may result,” “are expected to,” “will continue,” “anticipates,” “expects,” “estimate,” “project,” “indicate,” “could,” “potentially,” “should,” “believe,” “think”, “considers” or similar expressions are intended to identify “forward-looking statements.” These forward-looking statements fall within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934 and are subject to the safe harbor created by these sections. Actual results could differ materially from those projected in the forward-looking statements as a result of a number of risks and uncertainties. Such forward-looking statements are based on current expectations, involve known and unknown risks, a reliance on third parties for information, transactions or orders that may be cancelled, and other factors that may cause our actual results, performance or achievements, or developments in our industry, to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from anticipated results include risks and uncertainties related to the fluctuation of global economic conditions, the performance of management and our employees, our ability to obtain financing, competition, general economic conditions and other factors that are detailed in our periodic reports and on documents we file from time to time with the Securities and Exchange Commission. Statements made herein are as of the date of this press release and should not be relied upon as of any subsequent date. AEPT cautions readers not to place undue reliance on such statements. AEPT does not undertake, and AEPT specifically disclaims any obligation, to update any forward-looking statements to reflect occurrences, developments, unanticipated events or circumstances after the date of such statement. Actual results may differ materially from AEPT’s expectations and estimates.
Company Contact:
Contact@americanenergy-inc.com