IPO

US $ 200,000,000 Common Stock Offering.

The Company is positioning itself to move ahead in support of an Initial Public Offering (IPO). This will enable AA Energy Group, Inc. to obtain long-term funding to purchase its own fleet of bulk fuel carriers.  This strategic move will further enhance its position as an up and coming shipping power with global reach along with long-term refinery relationships.

The planned capital raise of US $ 200,000,000 will enable the Company to generate substantial Net Revenue which is projected to arise from Ship Chartering, Brokering Oil Transactions, buying and selling the oil by taking title, and purchasing a bulk transfer ship. The Price of oil has no bearing on our business, as we always work on the margins between wholesale and retail price. i.e. discount from the Platts price. Our business is the downstream business, and we buy oil which is already in the pipeline or tank farm.

  • The Offering: US $ 200,000,000 in Common Stock.
  • Minimum Purchase Amount: US $ 25,000 (25,000 Common Shares at US $ 1.00 Per Share)
  • Estimated Brokerage Fees and Other Fees: 4.00% (2.00% brokerage and 2.00% to the house)
  • Estimated Proceeds if Offering is Fully Subscribed: US $ 192,000,000 Nature of the Business: Oil Trading Desk for Buy/Sell Crude Oil & Refined Products / Purchase First Oceangoing Oil Tanker Ship to Transport Bulk Fuels from Refineries to Buyers Worldwide
  • Target Markets: Worldwide Oil Refineries, Crude and Fuel Oil Buying Groups for Title and/or Resale, Airlines, Air Shipping Companies, Transportation/Logistics Companies, U.S. Military Department of Defense, and Other Major Users of Fuel Oils
  • Use of Proceeds: Start-up Working Capital and Purchase of First Oil Tanker Ship
  • Management: Mr. Kapil Sud, CEO, and Captain Rogelio J. Diaz (Please see Management Section) Together, Mr. Sud and Captain Diaz Have Over 60 Years of Experience in the Energy and Shipping Sectors

Forward Looking Financial Summary

The AA ENERGY GROUP, INC., which is an existing Oil Trading and Shipping company, is committed to purchasing an ocean-going oil tanker, to ship aviation fuels, diesel fuels, and crude oil and to transport such fuels to buyers located worldwide, and to sell such fuels at significant profit margins. The Company will be establishing an Oil Trading Platform and Owning and Operating Ocean-going Ships. By owning its own tanker ship and additional ships later on, the Company will directly contract with refineries worldwide for substantial shipping commitments which have a typical, minimum term of 1year.

Purchasing fuel at wholesale prices, shipping, and selling at retail prices bears profits. We always work on margins, and the price of oil has no bearing on our business. For example, the current WTI. Platts is approximately US $ 71.00 per barrel. We buy at about US $ 8.00 discount. We pay freight and insurance of US $ 2.50, and commissions to brokers is US $ 2.00. We profit US $ 5.50 per barrel. A 12-month contract for 1,000,000 barrels per month yields US $ 55,000,000.00 in Gross Profit.