IRVINE, Calif., Nov. 27, 2012 (GLOBE NEWSWIRE) -- Universal Bioenergy Inc., (OTCMarkets:UBRG.PK), a publicly traded independent diversified energy company, that markets and distributes natural gas, propane and coal, announced that NDR Energy Group, its subsidiary in Charlotte, has signed a Memorandum of Understanding (MOU), with All Nations Bakken Reserve LLC (ANBR), in a joint venture to develop an oil and gas play in the Bakken oil and gas field located in North Dakota and Montana.
The joint venture will pursue the development of four distinct businesses that will include,
a. Land Acquisition – optimizing land identification, structure and pricing
b. Financing – obtaining the required financing and optimizing debt and equity capital structures
c. Drilling and Capture – exploration, extraction and maintenance operations
d. Distribution – marketing, sales and distribution of the oil and gas products for maximum profit
The Bakken oil and gas Shale formation occupies about 200,000 square miles of the subsurface of the Williston Basin, underlying parts of Montana and North Dakota in the U.S., and Saskatchewan and Manitoba in Canada. An April 2008 United States Geological Survey (USGS) report estimated the amount of technically recoverable oil using technology readily available at the end of 2007 within the Bakken Formation at 3.0 to 4.3 billion barrels, with a mean of 3.65 billion. The state of North Dakota also released a report that month which estimated that there are 2.1 billion barrels of technically recoverable oil in the Bakken. Various other estimates place the total reserves, recoverable and non-recoverable with today's technology, at up to 24 billion barrels. The most recent estimate places the figure at 18 billion barrels.
Ken Harris, NDR Energy's President says, "We are very excited about our opportunities in the Bakken shale formation. We could not have anticipated this opportunity just a year ago. However, one of our long-term business partnerships resulted in connections with very powerful players in the Bakkens. We recently completed substantial negotiations and lengthy meetings with them in Las Vegas. I am pleased to announce that we have entered into a MOU with All Nations Bakken Reserve, to initiate our activities in the Bakkens. Our focus will include oil development and production, lease management, physical trading, and natural gas, oil and electric power marketing. We also plan to participate in the production and marketing of refined energy products and the development of solar capabilities at the site. In light of our partnership with one of the largest construction firms in the world, we are also pursuing pipeline construction opportunities as well. We believe this comprehensive development transaction is the culmination of many of our efforts to build a diverse energy company that is active in the many segments of the energy trades. This will, of course, be a long road for us to travel. However, we now have the beginnings of very rewarding and potentially lucrative operations in the Bakkens region."
More specific terms and conditions regarding this transaction will be incorporated in a formal definitive agreement, pursuant to the MOU. No assurances can be provided that a definitive agreement will be reached.
About Universal Bioenergy Inc.
Founded in 2004, Universal Bioenergy Inc., is a publicly traded independent diversified energy company that produces and markets natural gas, petroleum, coal and propane. We market energy resources to the largest public utilities, electric power producers and local gas distribution companies in the U.S., that serve millions of commercial, industrial and residential customers. We are also engaged in the acquisition and development of existing or recently discovered oil and gas fields, leases and surface coal mines. For more information visit www.universalbioenergy.com
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Source:Universal Bioenergy Inc.