Camber Energy CEI Stock News

Camber Energy Inc (NYSEAMERICAN: CEI) is making a run for the top in the market today. However, if you’re digging for press releases or SEC filings, you’ll be hard pressed to find anything.

The more than 16% gains seem to be related to a move made by the Trump Administration in the wake of the Lineal Star Holdings acquisition. Here’s what’s going on:

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CEI Stock Is Propped Up By The Trump Administration

As mentioned above, Camber Energy is making a strong run for the top in the pre-market hours this morning. However, the news leading to the run isn’t exclusive to the company.

The gains in CEI stock have to do with a new rule that was proposed by the Environmental Protection Agency on Friday. If the regulators get what they want, the move would keep state regulators from indefinitely stalling their approval or disapproval of oil and gas pipeline projects.

While the rule does not require states to approval all pipeline projects, it would require state agencies to render an approval, or denial, within a year. The idea here is to keep pipeline projects from entering into a state of regulatory purgatory.

President Trump also signed an executive order to curb the use of Section 401 of the Clean Water Act, an act that allows states to deny pipeline permits if there is any potential damage to nearby lakes or streams. While states may still use this Act to deny applications, they must do so within a year and potential damage is now limited to water quality.

In a statement, Anthony Wheeler, had the following to offer:

When implemented, this proposal will streamline process for constructing new energy infrastructure projects that are good for American families, American workers, and the American economy.

This Is Big News After The Recent Lineal Star Acquisition

This is huge news for CEI. First and foremost, we know that the company’s operations fall within the oil and gas sector, a sector that Trump has been clear about reviving. However, the benefit to Camber Energy goes far beyond this.

Recently, the company announced the acquisition of Lineal Star Holdings, a pipeline player that has been in the business for decades! While the acquisition in and of itself was great news, the news that hit the tape today only serves to expand the value of the Lineal Star deal.

At the end of the day, Lineal Star provides pipeline construction and maintenance services. Should a slew of pipeline projects that have been in purgatory for some time suddenly start to see approvals, CEI has a lot to gain.

So, not only does the news have a profound effect on the industry as a whole, pipeline companies are likely to see strong growth as pipeine projects start to come back to life, making the Lineal Star acquisition a huge win for CEI.

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