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DALLAS - Vivakor, Inc. (NASDAQ:VIVK), a small-cap energy services company with a market capitalization of $35.56 million, announced Thursday it has entered into a collaboration agreement with Houston-based Neuralix, Inc. to deploy artificial intelligence technology across its midstream energy operations.
The companies plan to establish a joint venture to market Neuralix’s AI platform to third-party operators in the midstream energy sector, with the joint venture agreement expected to be finalized by year-end 2025. According to InvestingPro data, Vivakor has shown impressive revenue growth of 98.83% over the last twelve months, though financial health indicators suggest challenges ahead.
The initial implementation will focus on optimizing Vivakor’s transportation routes to reduce fuel costs and emissions, implementing predictive maintenance for assets, and enhancing resource allocation for storage and remediation projects.
"This collaboration will allow Vivakor to optimize transportation while reducing carbon emissions," said James Ballengee, Chief Executive Officer of Vivakor, in a press release statement.
Vivakor operates one of the largest fleets of oilfield trucking services in the continental United States, providing crude oil and produced water gathering, storage, transportation, reuse, and remediation services under long-term contracts. While the company generated revenue of $124.05 million in the last twelve months, InvestingPro analysis reveals concerning metrics about its operational efficiency and financial stability. InvestingPro subscribers have access to 11 additional key insights about Vivakor’s financial health and market position.
Neuralix specializes in AI-driven digital transformation across energy, oil and gas, and manufacturing sectors, using advanced analytics and machine learning to deliver predictive insights into energy flows, asset performance, and operational risk.
The collaboration represents part of Vivakor’s strategy to embrace digital transformation to enhance profitability and reduce environmental impact while delivering reliable services to customers. With current gross profit margins at 14.01% and significant debt obligations, this digital transformation initiative could be crucial for the company’s future performance.
In other recent news, Vivakor, Inc. has announced several significant developments impacting its financial and operational landscape. The company has scheduled a special dividend payment for September 26, 2025, distributing shares of Adapti, Inc. to its shareholders. This dividend is valued at approximately $515,000 based on Adapti’s current share price. Additionally, Vivakor sold two non-core business units, Meridian Equipment Leasing, LLC and Equipment Transport, LLC, which will eliminate around $59 million in debt and provide net consideration of about $11 million. This strategic move allows the company to focus on higher-margin business segments by exiting the produced water transportation sector.
In leadership changes, Vivakor has appointed Kimberly Hawley as Executive Vice President and Chief Financial Officer, and Les Patterson as Executive Vice President and Chief Operating Officer. Hawley brings extensive financial experience, enhancing the company’s leadership team. Furthermore, Vivakor disclosed the issuance of convertible promissory notes and shares to non-affiliated accredited investors, totaling approximately $5.1 million in principal amount. These notes come with a 15% original issuance discount and a one-time 10% interest charge at issuance. These developments reflect Vivakor’s ongoing efforts to streamline operations and strengthen its financial position.
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