RENO, Nev., April 15, 2011 /PRNewswire/ -- Eagle Oil Holding Company, Inc. (Pink Sheets: EGOH) (the "Company") today announced the formal signing of a full Agreement with Nitro Capital Partners Inc., a Canadian Company, (Nitro) to provide funding for operations on the East Texas field with a "FarmOut" agreement (operations agreement).
The Company plans to restart oil pumping operations at its East Texas oil field by partnering with Nitro and an experienced oil field service company on a specific well by well procedure. Nitro is preparing to begin on the first 5 wells. Additional wells can be added as funding is provided by Nitro. Nitro is providing the necessary capital and resources to restore oil pumping operations with no additional capital investment by the Company. The Company would use an independent operator to get the field into production. Nitro would share in the revenue generated by the field production. Nitro is planning on startup in the summer of this year.
Nitro is affiliated with a German consortium that has been desirous of entering the US market in oil and gas production and can provide new sources of developmental capital to Eagle Oil.
About Eagle Oil Holding Company
Eagle Oil (EGOH) (www.eagleoilholdingco.com) is an independent, growth-oriented energy company engaged in the exploration and production of oil through the development of a repeatable, low geological risk, high potential project in the active East Texas oil and gas region. The Company owns a 73% working interest in 173 wells on its 927 acres located in the Historic Woodbine Oil Field.
Statements in this press release that are not statements of historical or current fact constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other unknown factors that could cause the actual results of the Company to be materially different from the historical results or from any future results expressed or implied by such forward-looking statements. In addition to statements which explicitly describe such risks and uncertainties, readers are urged to consider statements labeled with the terms "believes," "should," "intends," "will," or "plans" to be uncertain and forward-looking. The forward-looking statements contained herein are also subject generally to other risks and uncertainties that are described from time to time in the Company's reports and registration statements filed with the Securities and Exchange Commission.
Contact: Eagle Oil Holding Company, Inc. (209) 736-4530
SOURCE Eagle Oil Holding Company, Inc.