OIL CITY, La., Oct. 22, 2010 (GLOBE NEWSWIRE) -- Black Dragon Resource Companies, Inc. ("the Company," "Dragon") (Pink Sheets:BDGR) is pleased to announce today that the company will reduce the Authorized shares from 100 Billion to 25 Billion.
Company management recently increased the authorized shares to 100 Billion to satisfy a debt holder. With the verbal commitment on the selling of the two leases, the note holders have agreed to increase their debt-holding period for an additional year.
With this concession, management feels that they can now reduce the authorized back to 25 Billion once the terms are signed. The mean Company's market value is approximately $2.5 million at $0.0001, while the company's asset value is $14-18 million.
Management recently announced its plans for a Share Buyback. The company is committed to reducing its share structure in an effort to increase shareholder value.
Black Dragon 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.