BDGR news >>> Black Dragon Resources Acquires First Major Drilling Rig. Significant Production Increase and Cost Savings Expected Immediately.
AUSTIN, Texas, Sep 26, 2006 (BUSINESS WIRE) -- Black Dragon Resource Companies, Inc. (OTCPK: BDGR)- announced today that it has significantly increased its production capacity through the acquisition of a drilling rig for a purchase price of approximately $400,000 to be used at its Hosston Field and Pine Island properties. This drilling rig is being readied for service, and the necessary Salt Water Disposal wells and new infill production wells are expected by the company to be drilled during the fourth quarter of 2006.
According to Richard Michael President, "The addition of this drilling rig which had an original cost of over $2 million, will provide significant cost savings over the next several months. We anticipate that the savings will exceed the rig purchase price in less than six months. There should be a significant increase in production both at Pine Island and the Hosston field resulting from this new drilling and utilization of the rig," added Mr. Michael."
Mr. Michael added that "the Company anticipates bringing additional rigs of this type into our production process in the coming months. We continue to make significant enhancements to our operation and will to ensure the lowest production costs and highest production levels possible."
About Black Dragon:
Black Dragon Resource Companies, Inc. is oil and gas production company focused on the acquisition of mature, producing and existing U.S. oil and gas fields. The Company's focus on mature, domestic oil fields eliminates exploration risk, reducing costs, and provides immediate generation of income in a niche market where larger independent and major oil companies are not positioned to compete.
Forward-Looking Statements:
Certain information discussed in this press release may constitute forward-looking statements within the Private Securities Litigation Reform Act of 1995 and the federal securities laws. Although the Company believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions at the time made, it can give no assurance that its expectations will be achieved. Readers are cautioned not to place undue reliance on these forward-looking statements. Forward-looking statements are inherently subject to unpredictable and unanticipated risks, trends and uncertainties such as the Company's inability to accurately forecast its operating results; the Company's potential inability to achieve profitability or generate positive cash flow; the availability of financing; and other risks associated with the Company's business. The Company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.
SOURCE: Black Dragon Resource Companies, Inc.
Black Dragon Resource Companies, Inc. Rick Michael, 512-442-4151 rick.michael@sbcglobal.net or Strategic Growth International, Inc. Stan Altschuler / Richard E. Cooper 212-838-1444 SAltschuler@sgi-ir.com RCooper@sgi-ir.com Copyright Business Wire 2006
