LAS VEGAS, September 27, 2016 /PRNewswire/ --
South American Gold Corp (OTCBB: SAGD) signed an agreement, valued at $500,000 of revenue per month, to become the exclusive fuel distributor for several farming operations in both Central and South America with delivery points stretching from Mexico down to Peru. This distribution agreement signed with Global Petro, Ltd., a fuel marketing company based in South America, comes on the back of the company announcing it was also the exclusive distributor of Microbial Mojo GoGo, an agreement that the company estimates could easily lead to over one million dollars in new revenue to the company.
Global Petro, Ltd. is a private company with operations in Mexico, Peru, Colombia, Panama and Costa Rica, and specializes in providing fuel solution services to companies in a variety of consumer sectors including freight companies, mining companies as well as having a large clientele of agricultural clients. Specifically in the agriculture space, Global Petro provides dyed diesel as well as kerosene to farmers, producers and trucking companies that transport produce for export or direct to consumers.
"This newest distribution agreement is the product of the hard work of several key sales personnel that have begun marketing the Mojo GoGo product along with other products, including fuel, into the farming industry in both Central and South American," stated Brian Vasquez a consultant handling outside sales for the company.
"The largest non-labor expense for any agricultural enterprise is energy, and this reality continued to be discussed as our sales force was speaking with the farmers and business owners in the agriculture space. Once we identified this need and demand, securing the product and starting distribution was an easy next step," continued Mr. Vasquez.
The company stated that they will be delivery both dyed diesel and kerosene to several buying groups in the area. The company stated that it intends to deliver approximately one hundred fifty thousand gallons of kerosene per month along with another two hundred thousand gallons of dyed diesel product. This will generate roughly half a million dollars per month of revenues.
The company is also very optimistic on the impact this will have on the sales of other products. "When you solve the most critical needs of a farming operation, the customer will naturally begin looking to you for other products and solutions that can help advance the business. We think that this niche allows us to develop a very loyal customer and use that to earn the business with some of our other products," explained Mr. Vasquez.
About SAGD: South American Gold Corp is focused on becoming the premiere provider of value added products and services for the cultivation and processing of legal cannabis for the South American medical and recreational markets with an initial focus on the Uruguayan market.
This release contains forward-looking statements that are based on beliefs of South American Gold Corp. management and reflect South American Gold Corp.'s current expectations as contemplated under section 27A of the Securities Act of 1933, as amended, and section 21E of the Securities and Exchange Act of 1934, as amended. When we use in this release the words "estimate," "project," "believe," "anticipate," "intend," "expect," "plan," "predict," "may," "should," "will," "can," the negative of these words, or such other variations thereon, or comparable terminology, are all intended to identify forward looking statements. Such statements reflect the current views of South America Gold Corp. with respect to future events based on currently available information and are subject to numerous assumptions, risks and uncertainties, including but not limited to, risks and uncertainties pertaining to development of mining properties, changes in economic conditions and other risks, uncertainties and factors, which may cause the actual results, performance, or achievement expressed or implied by such forward looking statements to differ materially from the forward looking statements. The information contained in this press release is historical in nature, has not been updated, and is current only to the date shown in this press release. This information may no longer be accurate and therefore you should not rely on the information contained in this press release. To the extent permitted by law, South American Gold Corp. and its employees, agents and consultants exclude all liability for any loss or damage arising from the use of, or reliance on, any such information, whether or not caused by any negligent act or omission. This press release incorporates by reference the Company's filings with the SEC including 10K, 10Q, 8K reports and other filings. Investors are encouraged to review all filings. There is no assurance South American Gold Corp. will identify projects of merit or if it will have sufficient financing to implement its business plan. There is no assurance that the Company's due diligence on the potential acquisition of oil and gas assets will be favorable nor that definitive terms can be negotiated. Information in this release includes representations from the private companies referred to which has not been independently verified by the company. A downturn in oil prices would affect the potential profitability of the proposed acquisition negatively.
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SOURCE South American Gold Corp.