Vivakor (NASDAQ: VIVK) secured a term sheet for up to $23 million in capital through new convertible preferred stock. This could boost growth in crude oil marketing and remediation, enhancing integration in Permian and Eagle Ford Basins. The company would issue $25 million in Series B Convertible Preferred Stock.

The convertible securities can be exchanged for common stock after one year, capped at $0.75 per share. An exclusivity period with the investor is in place until December 31, 2025, aiming for a year-end closing. CEO James Ballengee highlighted benefits for oil marketing, remediation, and trucking operations.

Vivakor’s marketing segment would gain immediate access to $15 million in liquidity and $3 million in working capital. The remediation segment would receive $5 million in assets and facilities. The counterparty would exclusively use Vivakor’s trucking fleet for three years, boosting utilization in the Permian and Eagle Ford Basins.

The transaction is expected to increase trucking volumes and marketing activities, driving demand for Vivakor’s crude oil facilities. This supports integration across all operating segments. VIVK stock closed at $0.3490 on Friday, down 5.42%.

Read more at Yahoo Finance: Vivakor Secures $23 Million Funding To Expand Energy Business Across Permian And Eagle Ford