Tamarac, FL, November 16, 2005 --(PR.com
)-- Black Gold Gas & Oil, Inc. (NASDAQ OTC: BKGD.pk) today announced that they have agreed to enter into an agreement with Foster Oil & Gas to acquire approximately 8,000 acres in the Cherokee basin of southeastern Kansas including all production and all oil and gas properties and related mineral rights.
The oil and gas properties are currently producing approximately $200,000 per month. With the reworking of some of the wells along with the 2 new offset oil wells, Black Gold can expect the monthly income to double within the first 60 days.
Foster Oil and Gas will be the operator for the project and is based in Southeastern Kansas, where it has operated oil wells as well as coal bed methane gas (CBM) wells since 1990. The company has drilled more than 90 wells without encountering an instance in which economically productive CBM gas was not present.
“The acquisition of the wells in the Cherokee basin will create an excellent base for Black Gold’s future. The existing oil wells will continue producing at or near their current production for at least forty years. The 2 new offset wells along with the recompleted oil wells will double production,” reported Mike McGeeney, BKGD’s President.
Foster’s business model also shows that it has plans to open several hundred new wells over the next ten to fifteen years as operating manager for Black Gold.
Black Gold Gas & Oil, Inc. is an independent natural resource company focused on the exploration and development of prolific oil and gas properties and valuable timberlands. The Company is expanding rapidly in these areas in addition to achieving substantial progress in supplying oilfield service, drilling equipment and international oil refining.
For more information:
Mike McGeeney, President
Forward-Looking Statements: This press release may contain forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on the current expectations of the management of Black Gold Gas & Oil, Inc. only, and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Factors which could cause or contribute to such differences include, but are not limited to, factors detailed in the Company's Securities and Exchange Commission filings; economic downturns affecting the operations of the Company, and the need for adequate financing to achieve the new strategic plans and to complete management's overall plans and objectives. Black Gold Gas & Oil, Inc. undertakes no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. For a more detailed description of the risk and uncertainties affecting Black Gold Gas & Oil, Inc., reference is made to Black Gold Gas & Oil, Inc.‘s reports filed from time to time with the Securities and Exchange Commission.