OIL CITY, La., Aug. 31, 2009 (GLOBE NEWSWIRE) -- Dr. R G Bailey announced that the management of Black Dragon (PinkSheets:BDGR) is looking at several joint ventures where Dragon might be able to reach agreements in which Dragon would be carried without any dilution to the shareholders. Participation in attractive ventures provides more opportunity to enhance Dragon ownership in more production.
One of the joint ventures involves a 50-acre salt dome play with first rights to develop several other adjacent acreage plots after the first project is underway. This project could result in 12 wells, producing some 200 plus barrels a day using new enhanced oil recovery technology. Dragon will seek to acquire a majority interest in the project, depending on available percentages. Dr. Bailey has discussed this with a group who are willing to put up the funds for a percentage of the prospect and some restricted shares. Further information will follow whenever a firm position is in place.
While the aforementioned negotiation is only in the formative stages as of this date, it is pertinent that shareholders be aware of concerted efforts by Black Dragon to use innovative means, both with internal improvements and with external partners, to achieve increased oil production. EOR technology has the potential to be a major contributor in existing holdings for improving the recovery of thousands of barrels of previously by-passed oil in stripper fields of the type operated by Black Dragon.
About Black Dragon Resource Companies, Inc.
Black Dragon Resource 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 - Safe Harbor:
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.