Cheyenne, WY, Nov. 16, 2021 (GLOBE NEWSWIRE) -- Sino American Oil Company, (OTC PINK: OILY) ($OILY), an emerging Oil and Gas exploration company, is pleased to announce the signing of a Memorandum of Understanding with Estacado Energy, LLC.
The team at Sino American Oil Company has been working diligently to locate and secure a producing Oil asset that has significant potential to create value for the company and its shareholders. In doing so, the Company has located and completed due diligence on the Piave Oil Field in Texas located approximately 3 hours North of Austin, TX.
After spending time evaluating the assets and speaking with its current operating team, Sino American Oil Company has entered an MOU with Estacado Energy, LLC to purchase a majority working interest, minus any Gross Override Interest currently in place, in the Throckmorton County, Texas Oil field along with all ownership ion surface down hole equipment and current inventory of oil in tanks as well as 320-acres if leases.
“We are very pleased to be acquiring this asset in addition to bringing on a valuable operations partner in the Texas Oil Market. This acquisition not only brings on current well production, but the upside of the certified geological reports also establishes notable upside potential", stated Kim Halvorson, CEO of Sino American Oil Company. “We look forward to working closely with Estacado Energy, LLC in realizing the full potential of our investment in Texas" further commented Kim Halvorson, CEO of Sino American Oil Company.”
The proposed transaction is structured as follows; The purchase price is $600,000.00 USD and is payable as follows: $25,000.00 at closing/signing of a definitive agreement, $125,000.00 payable on or before January 6th, 2022, $250,000.00 to be paid on or before March 1, 2021, and $200,000.00 in common SEC 144 stock in shares of Sino American.
The geological reports for this Oil Field show proven barrels of Oil to be 774,498, probable at 623,038 and possible at 456,118 for a potential combined total of 1,853,654. This equates to a valuation of $36,668,812.00 USD.
“Sino American Oil Company was the right management fit and partner for the next phase of our development of in the Throckmorton County, Texas, Piave Oil Field. The Oil field includes the surface down hole equipment and current inventory of oil in tanks as well as 320-acres if leases ready to be explored and drilled.” commented Dennis Eubanks -Founder of Estacado Energy, LLC.”
A further $50,000.00 will be advanced on or before Jan 6th, 2022, as a capital contribution towards operations to recomplete existing wells and to boost the current production of other existing wells.
The Company is actively looking to raise money to build on this asset to expand into more exciting projects as further funding allows.
ABOUT ESTACADO ENERGY, LLC
Estacado Energy, LLC is a Texas-based Oil producer and operator with Dennis Eubanks at the helm for over twenty years. Dennis Eubanks has been in the Texas Oil Business as an Owner Operator since 1977 and works with Estacado Energy to oversee multiple projects in the region.
ABOUT SINO AMERICAN OIL COMPANY:
Sino American Oil Company is a Wyoming incorporated; publicly-traded company listed on otcmarkets.com identified by the ticker symbol OILY. The company is an oil and gas exploration stage company engaged in the assessment, acquisition, exploration, and development of materials and properties in the Southern United States.
FORWARD-LOOKING STATEMENT:
Safe Harbour Statement - In addition to historical information, this press release may contain statements that constitute forward-looking statements within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. Forward-looking statements contained in this press release include the intent, belief, or expectations of the Company and members of its management team with respect to the Company's future business operations and the assumptions upon which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties and that actual results may differ materially from those contemplated by such forward-looking statements. Factors that could cause these differences include, but are not limited to, failure to complete anticipated sales under negotiations, lack of revenue growth, client discontinuances, failure to realize improvements in performance, efficiency and profitability, and adverse developments with respect to litigation or increased litigation costs, the operation or performance of the Company's business units or the market price of its common stock. Additional factors that could cause actual results to differ materially from those contemplated within this press release can also be found on the Company's website. The Company disclaims any responsibility to update any forward-looking statements.
Signed.
/S/ Ms. Kim Halvorson, CEO/Director
FOR MORE INFORMATION, PLEASE CONTACT:
Sino American Oil Company
IR CONTACT: Kim Halvorson
OTC Markets: https://www.otcmarkets.com/stock/OILY/overview
Website: https://sinoamericanoil.com
Email: IR@sinoamericanoil.com
Twitter: https://twitter.com/otc_oily
Attachments
- $OILY - SINO AMERICAN OIL COMPANY SIGNS MOU WITH ESTACADO ENERGY, LLC
- $OILY - SINO AMERICAN OIL COMPANY SIGNS MOU WITH ESTACADO ENERGY, LLC
