Austin Texas, May 18, 2009 1:00 PM - United States Oil and Gas Corp (USOG), a Delaware corporation, today announced that it has finalized and signed the purchase agreement of Turnbull Oil, Inc. (Turnbull), a profitable oil and gas distributer located in Plainville, Kansas.
Turnbull was founded in 1965 and is currently owned and managed by Jeff Turnbull, who purchased the business from his father in 1991. Turnbull is a privately held regional distributor of oil and gas products including propane, diesel, and gasoline. Customers include farmers, businesses and individuals. The company owns a bulk storage plant, a fleet of tankers, as well as office, storage, and maintenance facilities. The acquisition includes Turnbull subsidiary Basinger, Inc that is located in Utica, Kansas.
Turnbull sales were over $16 million for fiscal year 2008 with earnings before taxes, interest, and depreciation of over $500,000. Jeff Turnbull has signed a three-year employment agreement to continue to manage the company. The acquisition was made via a down payment and promissory note that is due in April, 2010.
USOG is excited about working with Turnbull management to continue its long track record of success. Alex Tawse, President and CEO of USOG, commented “The acquisition of Turnbull Oil is a great milestone for USOG and big step towards achieving our strategic goals. We look forward to working with Jeff and his team to grow the business and make additional acquisitions that compliment the solid foundation which has been established.” Mr. Tawse has been appointed to the board of Turnbull.
For more information regarding the Turnbull acquisition and USOG strategic planning, please see our filings or contact Michael Taylor, Director of Business Development at 512-464-1227.
For more information, please contact:
Mr. Alex Tawse
Email: investor.relations@usaoilandgas.com
Website: www.usaoilandgas.com
This Press Release may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The Company has tried, whenever possible, to identify these forward-looking statements using words such as "anticipates", "believes", "estimates", "expects", "plans", "intends", "potential" and similar expressions. These statements reflect the Company's current beliefs and are based upon information currently available to it.
Accordingly, such forward looking statements involve known and unknown risks, uncertainties and other factors which could cause the Company's actual results, performance or achievements to differ materially from those expressed in or implied by such statements. The Company undertakes no obligation to update or advise in the event of any change, addition or alteration to the information catered in this Press Release including such forward-looking statements. |