Business
American Power Group Corporation Reports Second Quarter Fiscal 2017 Results
American Power Group Corporation Reports Second Quarter Fiscal 2017 Results.
About this update from American Power Group Corp.
[{"type":"text","content":"\n\n LYNNFIELD, Mass., May 15, 2017 (GLOBE NEWSWIRE) -- American Power Group Corporation (OTCQB:APGI), today announced results for the three months ended March 31, 2017.\n Lyle Jensen, American Power Group Corporation’s Chief Executive Officer stated, “We are pleased to report our fiscal second quarter revenue was 83% higher than the prior year at $1.1 million.  A major contributor to the second quarter has been the positive industry reception of APG’s S4000 Stationary Turbocharged® Natural Gas system with its new Variable Fuel Management (“VFM”) upgrade which was selected by an existing prominent and innovative contract drilling customer to become a standard option on their next generation of drill rigs.  The VFM software upgrade allows oil and gas drillers to adjust their specific site’s dual fuel mapping calibrations to optimize performance for four different natural gas compositions including CNG, LNG, and two BTU levels of field gas.  S4000 customers are experiencing up to a 10% improved diesel displacement rate which substantially improves their payback period even with today’s continued volatile oil prices.” Mr. Jensen added, “Our next wave of revenue growth is expected to come from our international marketing investments in Mexico and Latin America.   In January 2017, the Mexican government eliminated certain fuel subsidies for diesel and gasoline resulting in a 15% - 20% increase in diesel fuel prices generating a favorable price spread. In addition, the Mexican Environmental Authority began announcing mandated cutbacks in daily fleet deliveries to smog-laden cities for fleets that have not met the new regulations to reduce diesel-related emissions.  If a fleet does not comply, their daily deliveries within certain populous areas could be cut back by up to 20% due to reduced operating hours for noncompliant engines. Mexican officials report a multi-billion dollar investment is being made in expanding the natural gas pipeline infrastructure and adding hundreds of natural gas fueling stations in the next few years.   These factors are generating multiple opportunities for APG’s EPA approved and CARB Certified dual fuel engines which have been accepted by Mexican authorities as a compliant emission reduction soluti...