Safe & Green Holdings Corp. (NASDAQ: SGBX) announced that its wholly‑owned subsidiary Olenox Corp. has been granted a Department of Transportation (DOT) number, a prerequisite for operating oil‑and‑gas service rigs in interstate commerce. The DOT approval enables Olenox to mobilize its proprietary ultrasonic cleaning and plasma pulse tools and to begin marketing rigs and other equipment to third‑party operators.
The DOT number is a critical operational milestone that allows Olenox to perform its own maintenance and workover services. By internalizing these services, the company expects to reduce costs and accelerate the return of wells to production, a key driver behind its forecast of cash‑flow positivity in 2026. CEO Michael McLaren emphasized that the approval “will allow us to do our own work, greatly reducing maintenance and workover costs, and enabling us to get wells back online faster.”
Safe & Green’s broader “buy‑and‑build” strategy has focused on acquiring and optimizing under‑developed oil‑and‑gas assets, and Olenox’s new operational capability strengthens that approach. The company’s recent financial results show a net loss of $5.32 million on revenue of $1.05 million for Q3 2025, compared with a $3.72 million loss on $1.75 million revenue in Q3 2024. While revenue has declined, the company is investing in technology and service capabilities that are expected to generate recurring third‑party revenue and improve margins over the next few years.
The DOT approval also positions Olenox to capture value from the growing demand for efficient, technology‑enabled service solutions in the oil‑and‑gas sector. By leveraging its containerized construction expertise, Olenox can deploy rigs more quickly and cost‑effectively, giving it a competitive edge in a market where operators seek to reduce downtime and capital expenditures.
Overall, the DOT number represents a tangible step toward Safe & Green’s goal of transforming its energy portfolio, improving operational efficiency, and moving toward positive cash flow in 2026. The approval underscores the company’s commitment to building a vertically integrated service model that can generate sustainable revenue streams in a challenging market environment.
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