Safe & Green Holdings Subsidiary Secures DOT Approval to Restart Oilfield Services Operations

Safe & Green Holdings Corp. announced that its energy subsidiary, Olenox Corp., has secured its U.S. Department of Transportation number, a critical regulatory step allowing the company to mobilize its service division assets and restart its oilfield services operations. The approval enables Olenox to begin transporting rigs, downhole tools, and other heavy equipment essential for field work across its portfolio of wells, as detailed in the company's recent update (https://ibn.fm/Ncnk5). With the DOT number in place, Safe & Green plans to resume servicing its own oil and gas wells while simultaneously marketing its rigs and service equipment to third-party operators.

CEO Michael McLaren stated that the operational restart of the Oil and Gas service division is expected to significantly reduce the company's maintenance and workover costs. This strategic move represents a shift toward greater operational control and cost efficiency within the company's energy segment. Central to Olenox's expanded service offering are its proprietary downhole technologies, including plasma pulse and ultrasonic cleaning tools. These specialized technologies will play a key role in the company's service capabilities as it seeks to establish itself as a provider to external operators in the energy sector.

The company's broader energy strategy aligns with ongoing U.S. policy objectives focused on strengthening domestic energy production and achieving greater operational independence in the energy sector. Safe & Green expects the expansion of its service division to contribute to its financial goals, with the company projecting it will reach cash-flow positivity by 2026. This projection is supported in part by anticipated recurring revenue streams from third-party well services.

The company's approach involves building a dedicated sales team to market its services to external operators while continuing to service its own assets, creating a dual revenue model that leverages both internal needs and external market opportunities. The mobilization of Olenox's service division represents a significant step in Safe & Green's broader corporate strategy, which focuses on creating diversified revenue streams across its holding company structure. By bringing its service operations in-house and offering them to third parties, the company aims to create operational efficiencies while tapping into the broader oilfield services market. This development comes as the energy industry continues to focus on technological innovation and cost optimization in well maintenance and operations.