NEWPORT BEACH, Calif., July 28, 2010 (GLOBE NEWSWIRE) -- Force Fuels, Inc. (OTCBB:FOFU) today announced that the Company has signed a purchase agreement with Plains Marketing L.P. Plains will be the primary purchaser of oil produced in the Kansas fields owned by the Company; and the agreement serves as a building block for Force Fuels' strategy to exploit the Company's recently acquired oil fields in that region. As part of its overall business model, Force Fuels intends to refurbish existing, marginally-producing oil fields by applying modern, proven, technological methods, thereby optimizing yield and generating cash reserves.
Oscar Luppi, CEO of Force Fuels Inc., stated, "This is another critical step in the consolidation of our presence in Kansas, which started with the lease purchase of over 2,600 acres of oil-producing land, and was followed by the implementation of Force Fuel Services, a subsidiary created to support our own leases rather than depend on outside operators. Rounding out our strategy was the creation of the Oil Advisory Council, which will initially help develop the drilling program for our existing lease as well as consult on new purchase prospects. Now, we can start building our cash flow and reserves as we sell the oil produced and stored in our tanks." Currently concluding its development plans, the Company is placing in operation existing wells and defining drilling locations on its Kansas holdings.
Thomas Hemingway, Director and Vice President, noted, "We have worked hard as our stored reserves increased to negotiate the best relationship with purchasers. Plains will provide both premium prices for our oil as well as the kind of flexible service we require to support our expanding operations. We feel that the relationship between 'Purchaser' and 'Producer' is key, especially in the management of cash flow."
About Force Fuels, Inc.
Force Fuels, Inc.'s primary focus is in the field of regulated and standardized energy based products. Regulated energy products include oil, natural gas and electricity produced using solar and wind power. In the oil and gas field, the Company plans to focus on the purchase of marginally producing shallow oil wells which can be optimized with existing technologies; the purchase of leases with potential for additional drilling in proven producing areas; and the acquisition of in-house know-how to further optimize production through stimulation, refurbishing and site optimization.
Forward Looking Statements
This press release includes statements that may constitute "forward-looking" statements, usually containing the words "believe," "estimate," "project," "expect" or similar expressions. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would cause or contribute to such differences include, but are not limited to, adverse economic conditions, intense competition, lack of meaningful research results, inadequate capital, termination of contacts or agreements, adverse publicity and news coverage, inability to carry out research, development and commercialization plans, loss or retirement of key executives, acceptance of the Company's current and future products and services in the marketplace, the ability of the Company to develop effective new products or programs and receive regulatory approvals of such products, competitive factors, dependence upon third-party vendors, and other risks detailed in the Company's periodic report filings with the Securities and Exchange Commission. By making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release.