OIL CITY, La., Sept. 3, 2010 (GLOBE NEWSWIRE) -- Black Dragon Resource Companies, Inc. ("the Company," "Dragon") (Pink Sheets:BDGR) is pleased to announce today that Black Dragon oil leases shipped 2621 gross barrels of oil in the month of August, an increase of 221 gross barrels over July. The company was able to increase its production by increasing its total wells online to 23. This number excludes the Humble EOR Project which has now begun the EOR phase which is expected to substantially increase oil flow rates.
Black Dragon expects a dramatic improvement in next month's production numbers as it begins using its new system of putting 21 wells online minimum per month which will be achieved by having 3 rigs working in the field, each turning on at least 7 wells per month. Management estimates the company will do 3,061 gross barrels of production next month excluding the Humble EOR Project. The company is on track to meet its December 31st revenue and production objectives.
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.