Black Dragon Resource Companies Inc (BDGR)

[LGL8054]

I THOUGH YOU GUY's WOULD LIKE TO SEE THIS.


Press Release Source: Black Dragon Resource Companies, Inc.

Black Dragon Regretfully Announces the Resignation of Joseph Lanza as Chairman of the Board, and Announces that It Has Declined Several Offers from Different Parties for a Number of its Oil and Gas Leases
Monday August 27, 2:10 pm ET


OIL CITY, La.--(BUSINESS WIRE)--Black Dragon Resource Companies Inc. (Other OTC:BDGR.PK - News) announces the resignation of Joseph Lanza as a Director. Mr. Lanza was previously Chairman of the Board of Directors. In addition, it has, for the time being, declined a number of offers from non-related third parties for several of its oil and gas leases in Caddo and Bossier Parishes, Louisiana.
Mr. Lanza stated: "I can no longer help Black Dragon as a director because of the need for and the addition of technically trained personnel such as Mike Ellis and other board members Black Dragon is considering. Counsel has advised me that there is a conflict of interest between my continuing as a director and maintaining a defense to what I construe as a frivolous lawsuit against me, my family and Black Dragon by OMDA. I intend to release a personal statement relating to this unfortunate litigation."

Mr. Ellis stated: "Mr. Lanza has performed a miraculous job in building Black Dragon through the acquisition of strategic oil and gas leases. He not only has acquired over a thousand wells for Black Dragon but has also obtained valuable deep drilling rights - the future focus and growth of our company.

This week, we have received several independent offers from companies wanting to purchase our deep oil drilling rights in some of our leases. In my considered opinion, based on the geophysics, a sale of these rights would not benefit our stockholders, even at the prices we were offered.

A few days ago, Black Dragon was served with a Fifth Amended Petition of a lawsuit brought by OMDA Oil & Gas, Inc., in the District Court in Houston, Texas. Our counsel is evaluating the petition and will respond. Updates in this litigation will be posted on our website: www.black-dragonoil.com.

We have updated our disclosure on Form 15c2-11 which contains unaudited financial statements and have posted this form on our website. We have updated disclosure on the Pink Sheets LLC through our subscription to the OTCQIC service which provides news and current quotations including bid and asked information from each market maker in our stock. Finally, we have submitted financial statement and back-up documentation to our auditors and are responding to their requests for further information."

About Black Dragon:

Black Dragon Resource Companies, Inc. is an oil and gas exploration and production company currently focused on the acquisition of mature, producing and existing domestic oil and gas fields. This focus has eliminated exploration risk, reduced costs of completion, and provided rapid generation of income in a niche market where larger independent and major oil companies are not positioned to compete. Black Dragon intends to recomplete additional shallow producing wells and to expand its focus to include drilling of new wells some to deeper levels and to purchase additional leases.

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 Black Dragon 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. Forward-looking statements are inherently subject to unpredictable and unanticipated risks, trends and uncertainties, including, but not limited to, the continued production of gas at historical rates, costs of operations, delays, oil and gas reserves and revenues to be derived therefrom, plans to drill additional oil and gas wells, acquisition of additional oil or gas leases, maintaining mineral lease rights, continued maintenance of the oil field and properties, price of oil and gas, marketing and sales of oil and gas produced, government regulation, future financial and operational results, competition, general economic conditions, and the ability to manage continued growth. In addition, the Company's ability to produce audited financial statements, its ability to accurately forecast its operating results, and its ability to achieve profitability or generate positive cash flow are uncertain. Black Dragon assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events. Readers are cautioned not to place undue reliance on these forward-looking statements.



Contact:
Black Dragon Resource Companies, Inc.
Michael Ellis, 318-995-0710
President
[e-mail]