OOAG A/S Reductions news out, .0016/.003.. ** on watch **
OMDA Oil and Gas, Inc. to Reduce the Authorized Shares by 97.5%
HOUSTON, TX, May 17, 2010 (MARKETWIRE via COMTEX) -- OMDA Oil and Gas, Inc. (PINKSHEETS: OOAG) is pleased to announce that it is in the process of reducing its authorized shares by 97.5%, from the current total of 10 billion down to 250 million total authorized shares.
OMDA Oil and Gas, Inc's. chairman, Adam Barnett, and its board of directors have agreed to complete this very large and significant reduction in order to eliminate the possibility of any share dilution to the company. This authorized shares total reduction is expected to be completed shortly and will be announced when complete.
OMDA's current total outstanding share count is 242,631,100. The company has not issued any new shares in over 16 months, nor has there been any issuance of stock of any kind during that time frame. There is also current board of director discussion pertaining to the possibility of retiring current outstanding shares back into treasury in the very near future. Updates on this stock value improvement goal and other very important legal updates are imminent.
"The reason we have decided to take this action at this time was to solidify shareholder confidence," stated OMDA Oil and Gas chairman, Adam Barnett. "With such a small difference between the current 242 million outstanding shares and the soon to be new total authorized of 250 million shares, any possibility of future dilution is eliminated. Obviously OMDA has incurred operating expenses over the last 16 months, including very costly litigation expenditures. We successfully got through this period without issuing any stock whatsoever, and I feel we can continue on this same course going forward as we are finally in a position to grow from within. As we reduce OMDA's outstanding shares over time we will also continue to reduce the authorized shares accordingly. Our shareholders have stuck by us for many years and we hope that by initiating this significant modification to the share structure of the stock we will give them confidence that their investment will not be adversely affected by dilution. Shareholder value must be realized and this step is a necessary one." Mr. Barnett concluded, "We will continue to release news and updates to keep our shareholders informed as to the completion of this share structure change, as well as other key pending developments mentioned above. There are also imminent key updates coming that have not yet been mentioned."
About OMDA Oil and Gas, Inc.
OMDA Oil and Gas, Inc. and its wholly owned subsidiaries, OMDA Oil & Gas Management, Inc. and Texas OMDA Drilling & Operating, Inc. and OMDA Oil & Gas, Inc. (Texas), are in the business of oil and gas production and lease acquisition.
This release includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties including, but not limited to, statements relating to the future anticipated direction of the Oil and Gas Industry, plans for expansion, various business development activities, planned capital expenditures, future funding resources, anticipated sales growth and potential contracts. The Company is not obligated to revise or update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release.
Contact:
OMDA Oil and Gas, Inc.
Investor Relations
877-441 OMDA (6632)
IR@omogoil.com
www.omogoil.com
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