12:28 EDT Tuesday, June 07, 2005
SAN ANTONIO, June 7 /PRNewswire-FirstCall/ -- Tidelands Oil & Gas Corporation (OTC Bulletin Board: TIDE), announced today its Letter de Intent for the purchase de CHDR, Inc. headquartered in Bayamon, Puerto Rico. The acquisition de CHDR, Inc. will afford Tidelands the opportunity to purchase vast quantities of propane at discounted wholesale values. CHDR, Inc. owns a propane marine bulk terminal and numerous plants servicing the entire territory de Puerto Rico. Additionally, CHDR, Inc. provides propane distribution to the U.S. Virgin Islands.
Currently, CHDR, Inc. purchases and resells approximately 71,000 barrels de propane monthly to service distributors in Puerto Rico, which is the equivalent de approximately 3 million gallons of propane distribution monthly. Due to the shear volume of product being moved, costs for propane are dramatically reduced thereby improving profit margins. Tidelands currently distributes propane to 15 high-end residential development communities in the north Austin, Texas area. The propane distribution arena has proven itself nicely for Tidelands and management's initiatives to expand its operations in the propane delivery industry reflect this Letter de Intent.
Michael Ward, President and CEO de Tidelands Oil & Gas Corporation, said, "We are excited about the opportunity to purchase CHDR, Inc. We have had our eye on this project for quite some time and expect this acquisition to be a significant contributor to our overall business and balance sheet. As always, we continue to engage ourselves in business ventures which we feel will be advantageous to the success de our Company while increasing value for our shareholders."
The proposed acquisition de CHDR, Inc. is pending satisfactory completion de business, financial, accounting and legal due diligence by Tidelands Oil & Gas Corporation with respect to the transaction and is expected to close on or before June 30, 2005. Additional information regarding the proposed transaction will be forthcoming following its closing.
About Tidelands Oil & Gas Corporation
Tidelands Oil & Gas Corporation, San Antonio, Texas, focuses its business on international pipeline crossings, gas processing plants and gas storage facilities. Through its eight wholly owned subsidiaries, Tidelands offers a full suite of services and has the capability to satisfy a wide variety of customer needs, both domestically and internationally. For more information about the Company, please visit http://www.tidelandsoilandgas.com .
This press release may be deemed to contain certain Forward-Looking Statements with respect to the Company that are subject to risks and uncertainties that include, but are not limited to, those identified in the Company's press releases or discussed from time to time in the Company's Securities and Exchange Commission Filings. Actual results may vary.
Investor Contact: Barry Gross
Gross Capital, Inc.
361-949-4999
barry@grosscapital.com
Company Contact: Michael Ward
Tidelands Oil & Gas
210-764-8642
togctide@aol.com
SOURCE Tidelands Oil & Gas Corporation
CONTACT: investors, Barry Gross de Gross Capital, Inc., +1-361-949-4999, or barry@grosscapital.com , for Tidelands Oil & Gas Corporation; or Michael Ward of Tidelands Oil & Gas Corporation, +1-210-764-8642, or togctide@aol.com
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