UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16
under the Securities Exchange Act of 1934
For the month of August 2011
Commission File Number: 000-24027
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NXT Energy Solutions Inc. (Translation of registrant's name into English) |
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1400, 505-3rd Street S.W. Calgary, Alberta T2P 3E6 Canada |
Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.
Form 20-F X Form 40-F _____
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
Yes _____ No X
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):
Yes _____ No X
Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes _____ No X
If Yes is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b):
The Issuer is filing material documents not previously filed.
Exhibit List:
99.1 News Release dated August 10, 2011
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Date: August 10, 2011
NXT Energy Solutions Inc.
By: /s/ Greg Leavens
Name: Greg Leavens
Title: Vice-President Finance and Chief Financial Officer
NXT Announces Royalty Agreement
CALGARY, ALBERTA, August 10, 2011- NXT Energy Solutions Inc. (NXT or the Company) (TSX-V:SFD; NASDAQ-OTCBB:NSFDF), today announced the execution of a gross overriding royalty agreement ("GORR") as part of the consideration earned by NXT on a 10,000 km2 aerial based survey that was conducted in 2008 using NXTs proprietary SFD® survey system. NXTs GORR averages 1.5% on future production that may be developed on a sizeable prospect in the Horn River Basin of north-east British Columbia, an area which has become one of North Americas largest new shale gas resource plays.
This agreement demonstrates growing industry acceptance of our technology, which helps our clients focus their land acquisition strategies and exploration budgets, and make oil and gas discoveries, said George Liszicasz, NXTs President and CEO. The ability to include success-based royalties in our traditional fee-for-service model gives NXT the flexibility to diversify and expand our revenue stream, and as our technology gains wider industry acceptance, we plan to further leverage the use of such royalties, which can be significant.
The SFD® survey enabled NXTs client, a mid-sized Canadian exploration and production company, to high-grade its participation in the Horn River Basin, by acquiring lands that displayed SFD® anomalies. Such SFD® anomalies have a high level of correlation with seismic based anomalies, and enable NXT clients to acquire competitive information rapidly at a relatively low cost.
The client has disclosed in various public forums (investor presentations, and on its website) a preliminary internal estimate of up to 9.5 tcf (trillion cubic feet of natural gas) of Discovered petroleum initially-in-place on its 110 section Horn River play (of which 21.75 net sections, or approximately 20% of the lands, are subject to NXTs GORR). NXT was not involved in the preparation of the presentations or the resource estimates contained therein.
The value of the GORR will ultimately be dependent upon various factors (including future natural gas prices, and access to drilling and completion services, and pipeline infrastructure) that will affect the timing and extent of development of the Horn River Basin.
NXT is a Calgary based company providing a unique airborne detection technology that enables our clients to focus their hydrocarbon exploration decisions concerning land commitments, seismic data acquisition expenditures and prospect prioritization onto the areas with the greatest potential. NXTs proprietary airborne Stress Field Detection ("SFD®") survey system provides a unique method that remotely identifies potential traps and reservoirs. SFD® is environmentally friendly and unaffected by ground security issues or difficult terrain and is effective both onshore and offshore. NXT provides its clients an efficient and reliable method to reduce time, costs, and risks in conducting frontier exploration surveys. SFD® is the registered trademark of NXT Energy Solutions Inc.
Forward-Looking Statements
This news release includes forward-looking statements. When used in this document, words such as may, anticipate, development, could and potential are forward-looking statements. Forward-looking statements are subject to a wide range of risks and uncertainties, and although the Company believes that the expectations represented by such forward-looking statements are reasonable; there can be no assurance that such expectations will be realized. Any number of factors can cause actual results to differ materially from those in the forward-looking statements. There is a specific risk that the GORR could produce no revenue for NXT if the lands which are subject to the GORR are never explored or developed or if hydrocarbons are not found or produced in economic quantities. NXT is not in the oil and gas exploration and development business and as such has not reviewed or engaged an independent professional to review the clients resource estimate, which may prove to be inaccurate.
For further information contact:
George Liszicasz CEO and President | Jeremy Dietz |
NXT Energy Solutions Inc. | The Equicom Group |
505 3rd Street, S.W., Suite 1400 | 300 - 5th Avenue SW, 10th Floor |
Calgary, Alberta, Canada T2P 3E6 | Calgary, AB, Canada T2P 3C4 |
Tel: (403) 264-7020 | Tel: (403)218-2833 |
Fax: (403) 264-6442 | jdietz@equicomgroup.com |
nxt_info@nxtenergy.com |
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www.nxtenergy.com |
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Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) nor NASDAQ OTCBB Exchanges accept responsibility for the adequacy or accuracy of this release.