ASX news
TGL - ASX Company Announcement$gol5 THIS IS A PRIORITY ITEM21 June 1999Part 1/1
--------TRANS-GLOBAL RESOURCES NL-------------------------HOMEX - Perth
-------------------------
Online Game Show Channel/Internet Gambling/Director Appt.
ONLINE GAME SHOW CHANNEL
The Board of Trans-Global Resources NL (to be renamed Trans-Global
Interactive Ltd) ("TGL") is pleased to announce that an agreement in
principal has been reached between GET Interactive Inc, a company in
which TGL already has a substantial financial interest, and a major
US based Celebrity Game Show Group.
Pursuant to this agreement TGL/GET Interactive Inc will be providing
its already developed interactive technology to the Online Celebrity
Game Show Channel ("OCC") scheduled to launch on 1 January 2000.
The initial target market audience will be US based online
participants but it is anticipated that the Channel will attract a
worldwide audience, especially when the Channel will transmit its
various game shows in different languages.
The OCC will consist of number of Celebrity endorsed Game Shows which
will target market various identified Online OCC participants. The
OCC revenue model includes, celebrity endorsements and merchandising,
sponsorship(s), corporate brands advertising, pay to playtournaments.
The Directors believe that this significant Agreement is a major coup
for the Company as it in part achieves TGL's goals and aspirations to
become a world leader in the Digital Home Entertainment Industry.
Current negotiations remain commercially sensitive and further
details will be made available upon completion of formaldocumentation.
CLARIFICATION ON WORLD REGULATION OF INTERNET CASINO GAMBLING
Since relisting on ASX, VSE and NASDAQ on 15 June 1999 the Company
has received numerous enquiries from shareholders, investors and
brokers concerning the existing regulatory environment with respect
to internet casino gambling and jurisdiction issues governing who
will or not will not be permitted to participate in internet casinogambling.
Trans-Global Interactive, through its investment in the GET Group of
companies, does not intend to become an internet casino operator. The
highly advanced software developed by the GET Group has and will
continue to be utilised by regulated casinos to implement their
interest casino gambling objectives. Trans-Global/GET will derive its
internet casino gambling revenues from:
a) Upfront commitment fees for the utilisation of the already
developed integrity driven proprietory casino gambling software
owned by the group;
b) Additional fees in relation to the development and specific
tailoring of software in response to the individual requirements of
regulated casino clients;
c) Ongoing advice, service and monitoring for the online internet
casino gambling site;
d) A percentage of the net revenues derived from operating internet
casino gambling sites.REGULATORY ENVIRONMENT
The Company has received a substantial number of enquires with
respect to proposed legislation in the United States and the
potential effect of the implementation of what has become known asthe Kyl Bill.
Whilst the Company does not purport to be an authority in regard to
matters of the United States Constitutional Law or pending United
States gambling legislation the amended version of the Kyl Bill, in
the Company's opinion, represents a significantly "watered down"
version of the original terms of reference. It is anticipated that
adoption of the Bill will make it illegal for casino operators and
internet service providers ("IPS's") to permit interact casino
gambling to be transmitted to the United States. It does not make it
illegal for US citizens or residents to gamble on the Internet.
Australian State governments have taken a sensible and progressive
view to permit accredited casinos to operate internet casino gambling
on a regulated basis worldwide. The Directors of Trans-Global believe
that this will create substantial opportunity for validated
accredited technology companies who can provide quality online
solutions to internet casino operators. The current lack of foresight
in the United States provides regulated casino operators in
jurisdictions outside the United States the ability to capture world
market share. This opportunity has been significantly enhanced by
this self imposed prohibition upon US operators and will enable
regulated internet casino operators to penetrate the market more
readily then would have been possible had direct competition emerged
from US operators.Ironically under normal circumstances the US subsidies its own
industries against the threat of overseas competition whilst in the
case of internet casino gambling it has in fact manifested a default
advantage in favour of international competitors such as Australia to
capture a significant proportion of the global internet casinogambling industry.
In view of the above factors, which are supported by the ongoing high
volume of international enquires concerning GET's internet gambling
software, the Company is of the view that there is a real opportunity
to generate substantial revenues from the utilisation of the GET
Group's internet gambling software.APPOINTMENT OF NEW DIRECTOR
As discussed in the recent Notice Of Meeting despatched to TGL
shareholders Mr Tibor Vertes has been appointed to the Board of
Directors of the Company. Mr Vertes is the major shareholder and
chief executive of the GET Group and his appointment to the Board
follows the successful acquisition of interests in Internet Casino
Gambling and the Online Celebrity Gaming Channel from GET.
This announcement negates the Company's request for a trading halt
and normal trading in the Company's securities will resume.R RevelinsDIRECTOR |
