Tuesday November 2, 2:38 pm Eastern Time
Company Press Release
SOURCE: Black Giant Oil Company
Black Giant Signs Agreement in Principle/Letter of Understanding
CISCO, Texas, Nov. 2 /PRNewswire/ -- Black Giant Oil Company, (OTC Bulletin Board: BGOC - news) Symbol ''BGOC'' is pleased to announce the signing of an Agreement in Principle and Letter of Understanding on November 1, 1999 with BroadCom Wireless Communications
Corporation, an Oklahoma private company. This Agreement represents a shift in the corporate mission of Black Giant from an energy-orientation to a hi-tech Internet and Communications focus.
The Agreement provides for BroadCom to assign, transfer and convey the following projects for common stock of BGOC subject to the Company completing its due diligence and substantiate the working capital or the arrangement of funds:
-- 50% of an Oklahoma based Wireless Internet Company with existing
master agreements and contracts to service up to 50 key cities
throughout the Continental United States providing high speed Wireless
facilities for voice, Internet and data transfer for both business and
residential customers. BroadCom has negotiated funding arrangements
for the initial urban site, to be followed by major equity funding in
order to capitalize the installation in additional cities.
-- 40% of an operating Oklahoma Cellular Telephone and Electronic Pager Company. The company currently operates three retail locations in Oklahoma and has plans to expand into other cities in Kansas, Texas
and New Mexico.
-- A 33.33% participation in a two-year contract with Global Access (BWI) Ltd. to provide debit card based international long distance between the United States and Mexico, in exchange for two Harris Switches to Global Access and its customer, Itell.
-- 50% leasehold interest in approximately 4,300 acres in Kentucky which includes 50% working interest in nine (9) recently drilled gas wells located on this acreage.
-- Black Giant plans to transfer the existing oil and gas assets to be
transferred out to a wholly owned subsidiary to be later distributed
to its shareholders.
Formal agreements are being prepared between Black Giant and BroadCom et al to make effective these conveyances. Black Giant will continue to monitor BroadCom in formalizing the contracts as Black Giant continues its due diligence on these projects.
Initial plans calls for Ivan Webb to remain as President of Black Giant until January 31, 2000, during the transition phase from an energy company to a communication company. Mr. Webb will be active
in the energy subsidiary company created by Black Giant for its oil and gas interests.
Management is pleased with the current plans of moving Black Giant into a new exciting business arena and looks forward to giving more definitive and descriptive updates on each of the above projects as they each come into the Company.
This News Release includes forward-looking statements that involved risks and uncertainties. The forward-looking statements in this release are made pursuant to the safe harbor provisions of the
Private Securities Litigation Reformed Act of 1995. Actual results may differ materially, due to a variety of factors including, without limitation, the Company's ability to produce and market products
and/or services and other risks detailed from to time to time in the Company's reports filed with the Securities Exchange Commission.
For additional information, contact Ivan Webb at 254-442-3968 or fax 254-442-3843.
SOURCE: Black Giant Oil Company |
