Universal Bioenergy Announces It Is in Advanced Contract Negotiations With Energy Trading Firm to Sell Over $100 Million in E...
March 26 2014 - 1:45PM
Marketwired
Universal Bioenergy Announces It Is in Advanced Contract
Negotiations With Energy Trading Firm to Sell Over $100 Million in
Energy Contracts
IRVINE, CA--(Marketwired - Mar 26, 2014) - Universal Bioenergy
Inc. (OTCQB: UBRG), a publicly traded independent diversified
energy company, announced that it is in advanced contract
negotiations with an energy trading firm for a major joint venture
to generate substantial long-term revenues for the Company through
the sales and financial trading of natural gas, electricity,
petroleum and related energy contracts.
In its plans for growth and expansion, the Company is planning
to form a strategic alliance with the energy trading company, which
has its own energy trading desk, to generate higher revenues,
margins and earnings. The Company is projecting that an estimated
$100 million in revenues could be generated through the joint
venture from the financial trading from the energy contracts, and
the estimated profits could be from 2% to 20%, or an estimated $2
to $20 million.
Due to recent changes in part to the sweeping Dodd-Frank
financial regulatory overhaul, and the Volcker Rule, the Company is
positioning itself to take financial advantage of the new
opportunities in the marketplace for financial trading of energy
contracts. Both parties are in advance contract negotiations
to finalize the terms of the joint venture, its scope of operations
and then proceed with a definitive agreement.
Universal's Senior Vice President Solomon Ali says, "We are very
excited about this strategic alliance in the financial trading of
natural gas, electricity and petroleum. We are in an aggressive
pursuit this year to increase our margins and generate strong
profits for the Company. We believe this should have a very
positive effect on our stock price and the future value of the
Company. We are moving forward very expeditiously with the contract
negotiation process and to complete our due diligence process."
The final terms and conditions of the transaction will be
determined in the definitive agreement, which is subject to, among
other things, final due diligence by Universal Bioenergy, and other
conditions, and approvals by both companies' management and
board of directors. No assurances can be provided that a
definitive agreement will be executed.
About Universal Bioenergy Inc. Founded in 2004, Universal
Bioenergy Inc. is a publicly traded independent diversified energy
company that produces and markets natural gas, petroleum, coal
and propane. We market energy resources to the largest public
utilities, electric power producers and local gas distribution
companies in the U.S., that serve millions of commercial,
industrial and residential customers. We are also engaged in the
acquisition and development of existing or recently discovered oil
and gas fields, leases and surface coal mines. For more information
visit www.universalbioenergy.com
Safe Harbor Statement - There are matters discussed in this
media information that are forward looking statements within the
meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6
under the Securities Exchange Act of 1934, and are subject to the
safe harbor created by those rules. Such statements are only
forecasts and actual events or results may differ materially from
those discussed. For a discussion of important factors which could
cause actual results to differ from the forward looking statements,
refer to Universal Bioenergy Inc.'s most recent annual report and
accounts and other SEC filings. The company undertakes no
obligation to update publicly, or revise, forward
looking statements, whether as a result of new information,
future events or otherwise, except to the extent legally
required.
For inquiries contact: Media Relations Solomon Ali
704-837-5705