Petrotech Oil & Gas Inc (OTCMKTS:PTOG) has long been known to do business in the enhanced oil recovery sector. Yet the company has left no doubt that it is also interested in tapping emerging opportunities in medical and recreational marijuana.
The legalization of medical marijuana in some jurisdictions has opened up a floodgate of hype as company’s struggling in their primary business look to try their luck in pot business. And it seems that Petrotech Oil & Gas Inc (OTCMKTS:PTOG) has not just put its best foot forward to grab the opportunities in this market, but it is also getting many investors to believe in its new business plan.
There is craze building around the business of creational and legalized medical marijuana. And many companies are in to play in this sector. For Petrotech Oil & Gas Inc (OTCMKTS:PTOG), the company has already set up a management subsidiary to operate its marijuana business. The subsidiary is known as LP.US Management Group Inc (Legalizedpot.us).
The management company – LP.US Management Group Inc – will focus on managing growers of marijuana and hemp in states where it is deemed legal to grow the herb. The company already has its focus in Colorado and Washington. According to the latest announcement, Petrotech Oil & Gas Inc (OTCMKTS:PTOG) stated that it currently has three pot growers in Washington and six in Colorado.
With focus set on expanding to capture more growers to ensure that this legalized marijuana business get off the ground as soon as possible, the company is in the process of acquiring warehouse facilities in Colorado and dispensaries in other target states where the business can flourish.
Petrotech Oil & Gas Inc (OTCMKTS:PTOG) is indeed trying to get its business going by approaching growth and value for shareholders through diversification. And analysts are not sparing efforts to initiate coverage of Petrotech on the basis of its new business plan.
Yet, the hype around legalized marijuana is not enough to support investment decision in Petrotech Oil & Gas Inc (OTCMKTS:PTOG) or other stock drifting towards the same. What has been established is that enthusiasm around marijuana business keeps on dissipating. Thus investors are wise to keep close a eye here to see what comes of the new strength seen in the stock today.