IRVINE, Calif., Dec. 29, 2010 (GLOBE NEWSWIRE) -- Texas Oil & Gas Inc., a subsidiary of Universal Bioenergy Inc. (Pink Sheets:UBRG), a publicly traded alternative energy company, announced it is has entered into a joint venture agreement with ProGas Energy Services Inc., of Texas, to produce and supply natural gas and oil to Universal's and NDR Energy Group's customers, and should bring immediate profit to the Company.
The companies will jointly develop an oil and gas field located in the Premont Northwest Field, in Jim Wells County, Texas. The Premont Northwest field is potentially one of the largest oil fields discovered in Jim Wells County, Texas, the most prolific oil and gas producing county in the state of Texas. Three initial wells have been drilled, and are already producing oil and gas, with plans to potentially develop up to 110 wells from this field. ProGas Energy, which has developed over 2000 oil and gas wells, will be the operator of the field. According to ProGas Energy, the estimated reserves of the field, are over 20 million barrels of oil, (estimated value of $1.82 billion at today's NYMEX price of $91.42 per barrel), and 17 billion cubic feet (bcf), of gas, (estimated value of $72.4 million at today's NYMEX price of $4.26 per mcf.).
Universal's Sr. Vice president Solomon Ali states, "Texas Gulf Oil & Gas will obtain the gas and oil from the wells with ProGas Energy, and additional products through ProGas's associated producers. The products will be marketed through our subsidiary NDR Energy Group. NDR Energy's customers include Pacific Gas & Electric, Baltimore Gas & Electric, Memphis Light Gas & Water, CenterPoint Energy Resources, and the National Grid. The major benefits to our Company are higher revenues, profits, and lower product costs."
Gina Roy, CEO of NDR Energy Group, says, "We believe with this joint venture, we'll obtain the quantities of supplies from Texas Gulf Oil & Gas, ProGas Energy, and the other producers to meet our customers demands. As we position the company, we feel that we could potentially sell up to a projected $1 billion a year in gas to our growing customer base as the supplies become available."
About The Company
Universal Bioenergy Inc. is an alternative energy company, and intends to create and market natural and alternative energy sources including natural gas, solar, biofuels, wind, synthetic fuels and related energy technology products. It plans to build the company into a prominent player in alternative energy.
The Universal Bioenergy Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=6784
Safe Harbor Statement - There are matters discussed in this media information that are forward looking statements within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. Such statements are only forecasts and actual events or results may differ materially from those discussed. For a discussion of important factors which could cause actual results to differ from the forward looking statements, refer to Universal Bioenergy Inc.'s most recent annual report and accounts and other SEC filings. The company undertakes no obligation to update publicly, or revise, forward looking statements, whether as a result of new information, future events or otherwise, except to the extent legally required.
CONTACT: Universal Bioenergy Inc. Vince Guest (888) 263-2009 Fax: (951) 281-4653
