TYLER, Texas, May 24, 2006 (PRIMEZONE) -- Due to the positive reception of yesterday's announcement by Biogenerics Ltd. (Pink Sheets:BIGN), James Lancaster, CEO, commented, "It appears the market has recognized the potential this company and its positioning in the oil industry. Other opportunities are being presented to management, which are being evaluated for consideration and management is actively negotiating with possible lender/investor groups to provide Biogenerics with sufficient capital to take advantage of the selected opportunities that may arise."
He further added, "The Company is issuing an LOI for the purchase of an existing oil lease near Quitman, Texas. The field and opportunity was presented to the company by the geophysical engineering firm that is being retained to do the due diligence on the acquisition that was the subject of the company's press release yesterday."
Lancaster further noted, "This opportunity requires an investment by the company of approximately $1.5 million for purchase of the lease, improvements to the lease, reworking existing wells, drilling of injection wells and drilling of new wells to remove the reserves estimated, and is projected by the engineering firm to be an opportunity to return 634,800 recoverable barrels of oil over the life of the lease. Based on engineering projections, the potential internal rate of return to the company's investment discounted to present value at 10% of 47.21% with a payout of 3.04 years. The life of the lease is estimated at 19.25 years."
Lancaster concluded by stating, "These are the kinds of business opportunities that will become available to Biogenerics on conclusion of the purchase of the drilling and operating company announced earlier yesterday. Details will be released as they become available." For further information: http://www.bignltd.com
About Biogenerics Limited
Biogenerics is a diversified investment venture capital firm focused on exploiting and distributing domestic oil and gas reserves. Biogenerics also has joint venture activities with Tyche Energy, Hydroslotter Corporation and WW Energy Inc.
Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Statements in this release that are forward-looking statements are based on current expectations and assumptions that are subject to known and unknown risks, uncertainties, or other factors which may cause actual results, performance, or achievements of the company to be materially different from any future results, performance, or achievements expressed or implied by such forward-looking statements. Actual results could differ materially because of factors such as the effect of general economic and market conditions, entry into markets with vigorous competition, market acceptance of new products and services, continued acceptance of existing products and services, technological shifts, and delays in product development and related product release schedules, any of which may cause revenues and income to fall short of anticipated levels. All information in this release is as of the date of this release. The company undertakes no duty to update any forward-looking statement to conform the statement to actual results or changes in the company's expectations.