Yesterday’s session could easily be regarded the most successful one for Ecolocap Solutions, Inc. (OTC:ECOS), at least percentagewise. The reason: an explosive press release, of course.
In brief, ECOS gained a staggering 540% closing trade at $0.016, its highest close since early-December. Moreover, ECOS was so heavily traded that more than 22.5 million shares of common stock changed hands by the end of the session, setting a 36-month record. Today, ECOS shows no signs of slowing down. Thirty minutes into the session, ECOS has already shot up 112% and shifted a volume of almost 7 million. If ECOS continues surging at this pace, it will outperform its yesterday run by a landslide.
As it seems, all the hype about ECOS is based on a bombastic press release which popped up yesterday. According to the update, ECOS has now entered into a standstill agreement with the Miami-based Fuel Emulsions International, Inc. As stipulated in the agreement, which is valid until the end of the month, the Florida corporation is expected to utilize ECOS’s manufactured processing equipment and additive required for the production of M-Fuel. The latter is described by the company as ‘the breakthrough technology can reduce diesel fuel consumption by up to 30% and particulate emissions up to 98%.’
Financialwise, ECOS does not appear to have the funds necessary to begin mass production. Its current assets present only a fraction of its current liabilities – $212K vs. $2.6 million. The company has also incurred a net loss of $890 thousand for the quarter ended Sept. 30, 2011. Nevertheless, if managers somehow succeed in getting the ball rolling, the company’s novel technology could turn it profitable sooner rather than later.
