RENO, Nev., Nov. 21, 2011 /PRNewswire/ -- Eagle Oil Holding
Company, Inc. (OTC: EGOH) (the "Company") today announced that the
Company has secured a new financing program utilizing Rule 504. In
connection with the financing, the Company has signed an equity
funding agreement with a Cayman Island company with offices in
Delaware. Rule 504 allows
non-reporting to companies to raise up to $1,000,000 annually. The Company has already
received a portion of the financing which will be used for working
capital at a discount to market of approximately 50%. Additional
draws can be taken by the Company as needed, at the Company’s
option.
The Agreement represents the Company's additional strategy to
capitalize on its oil assets through multiple financial sources as
the needs arise. This agreement on funding will not affect the
Farmout Agreements that cover the work-overs on the wells. However,
if the Farmouts should fail to proceed, this allows another format
to proceed with the Company's plan on the field development. There
are still conditions to be met with the Texas Rail Road Commission
to get permission to sell the oil that will be produced on the
field. Production is expected to begin in November with the
completion of the re-working of the wells.
Eagle Oil (EGOH) (www.eagleoilholdingco.com) is an independent
energy company 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.