Cardinal Energy Group, Inc. Acquires EOI Eagle Operating, Inc Assets
21 April 2017 - 1:39AM
Marketwired
Cardinal Energy Group, Inc. Acquires EOI Eagle Operating, Inc
Assets
ABILENE, TX-(Marketwired - Apr 20, 2017) - Cardinal Energy
Group, Inc ("Cardinal Energy" or "the Company") (OTCQB: CEGX)
announces the acquisition of EOI Eagle Operating, Inc ("Eagle")
assets. The Company and Eagle formally executed the definitive
agreement to acquire the assets of EOI Eagle Operating, Inc located
in Frisco, Texas on April 18, 2017. The Company issued 1,000,000
shares of the Series B Preferred stock and a note for $250,000 to
acquire the assets of EOI Eagle Operating, Inc.
Timothy W. Crawford, CEO of Cardinal Energy stated, "We are
pleased to announce the acquisition of Eagle's assets as these
assets will generate significant revenues to the Company. However,
the jewel of this acquisition is the many years of experience that
Paul Carlisle brings to Cardinal". Paul will be appointed by the
Board of Directors in the next 30 days to the position of President
and Chief Operating Officer of the Company. Paul will oversee all
of the Company's day to day operations in the field and will report
to the Company's CEO and Board of Directors.
Paul Carlisle, President and Owner of EOI Eagle Operating, Inc
commented, "This is a very exciting time for all of us involved
with the Cardinal Energy Group. I am proud to accept my new role as
President and Chief Operating Officer of Cardinal. I feel the
company is strategically positioned as the result of the addition
of Eagle's existing leases and new equipment to fully develop all
of the existing properties held by Cardinal Energy Group and the
additional leases which will be acquired in the near future as the
result of the Company's current capital raise.
Our focus will be to first re-establish production on the wells
with the lowest cost of returning to full operation. The newly
acquired leases from Eagle are located adjacent to proven oil
fields with significant current production and have significant
potential for increased levels of crude oil production.
Historically when crude oil and natural gas prices move lower
the production of oil and natural gas declines due to the deferral
of necessary remedial well work. This simply reflects the fact that
while the resource is not going anywhere the cost to continue to
bring it to the surface has increased in terms of constant dollars
thereby reducing operating margins. Now that commodity prices have
stabilized we expect to bring these leases back on line quickly.
With our low development and lifting costs we plan to capitalize on
this opportunity by bringing additional wells online to increase
production levels and to extend the economic lives of these
properties.
During this time period, we will also be performing infill
development drilling to establish new production and proven
reserves. Cardinal's acquisition of two complete service rigs will
greatly reduce potential delays normally associated with completion
work. These service rigs will also allow us to also begin to work
for third parties as time and development plans permit. Working out
of our centrally located yard in Graham, Texas we can easily
service wells located within a 150-mile radius. With the numerous
trucks, trailers, and heavy equipment being added to Cardinal's
fleet we fully expect to hit the ground running and have the
resources necessary to capitalize on the exciting opportunities at
hand."
About Cardinal Energy Group, Inc. Cardinal Energy Group, Inc. is
an environmentally responsible energy company principally engaged
in the acquisition, development and production of crude oil.
Cardinal's strategy is to increase reserves and production through
the exploitation of oil and natural gas properties with a high
emphasis on known formations with significant proven reserves
remaining that can be produced economically. The company's
properties and development efforts are focused in Central Texas.
More information on Cardinal Energy Group, Inc. is available at
www.cegx.us.
Forward Looking Statements In connection with the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995,
Cardinal Energy Group, Inc., is hereby providing cautionary
statements identifying important factors that could cause our
actual results to differ materially from those projected in
forward-looking statements (as defined in such act). Any statements
that are not historical facts and that express, or involve
discussions as to, expectations, beliefs, plans, objectives,
assumptions or future events or performance (often, but not always,
indicated through the use of words or phrases such as "will likely
result," "are expected to," "will continue," "is anticipated,"
"estimated," "intends," "plans," "believes" and "projects") may be
forward-looking and may involve estimates and uncertainties which
could cause actual results to differ materially from those
expressed in the forward-looking statements. These statements
include, but are not limited to, our beliefs concerning our ability
to increase the rate of oil and gas production, and the expected
demand, pricing and operating results for our oil and gas
operations.
Contact: Timothy W Crawford tcrawford@cegx.us 325-762-2002
office