Enteq technologies (LON:NTQ) is the topic pf conversation when we caught up with David Buxton, Director of Research at Fincap. We asked David:
Enteq technologies has announced that it has completed downhole drilling tests on its SABER rotary steerable tool. What does this mean for the company?
This is a significant outcome and draws SABER closer to commercialisation, with the potential to be a market-disruptive solution in the large scale >$2bn pa RSS drilling market.
What are the next steps?
It is anticipated the next step will be to continue to work with regional industry partners to operate the system next on a potential customer trial basis, in a commercial environment, while continuing to engineer further performance enhancements, if needed. Enteq is expected to select its first regional industry partner shortly to start commercial trials.
How do you view the company in terms of fair value?
Our forecasts and target price remain under review, but we see good upside scope as SABER approaches initial revenue generation and market acceptance. This is clearly a positive step forward.
Enteq Technologies plc (LON:NTQ) is an energy services technology and equipment supplier.
