SOURCE: Adino Energy Corporation

Adino Energy Corporation

April 19, 2011 08:05 ET

Adino Energy Announces Sale of Subsidiary

Transaction Results in Significant Gain

HOUSTON, TX--(Marketwire - Apr 19, 2011) - Adino Energy Corporation (OTCQB: ADNY) (OTCBB: ADNY) today announced it has completed the sale of its oil & gas drilling subsidiary, Adino Drilling, LLC to Adino Drilling Corp of Louisiana, for $600,000. The purchase price includes an amortizing Note with a face value of $500,000 and $100,000 in cancellation of debt.

Timothy G. Byrd, Sr., Adino Energy's Chief Executive Officer commented, "After several months of evaluation, we determined that the drilling rig that came to us in the Petro 2000 acquisition did not fit with our near-term development plan. Our management team is very focused on maximizing shareholder value, so we naturally pursued a sale."

"We are very pleased to be able to monetize a non-core asset on such favorable terms," commented Shannon McAdams, CFA, Adino Energy's Chief Financial Officer. "We expect that this transaction will result in significant improvement to Adino's balance sheet and long term cash flow."

The Note is guaranteed by a party related to Adino Energy Corporation; however, Adino has no liability with respect to the Note and no continuing interest in Adino Drilling, LLC or in the purchaser, Adino Drilling Corp.

About Adino Energy Corporation, Inc.

Adino Energy Corporation (OTCQB: ADNY) (OTCBB: ADNY) is an emerging oil & gas exploration and production company focused on mature oilfield assets with significant redevelopment, workover and enhanced oil recovery (EOR) potential. The Company also owns a fuel terminal operation in the Houston, TX area.

Forward-looking Statements

Statements made in this news release relating to Adino's future production, expenses and future capital projects and expenditures, and all other statements except statements of historical fact, are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements are based on assumptions and estimates that management believes are reasonable based on currently available information; however, management's assumptions and the Company's future performance are both subject to a wide range of business risks and uncertainties and there is no assurance that these goals and projections can or will be met. Any number of factors could cause actual results to differ materially from those in the forward-looking statements. Further information on risks and uncertainties that may affect the Company's operations and financial performance, and the forward-looking statements made herein, is available in the Company's filings with the Securities and Exchange Commission, which are incorporated by reference as though fully set forth herein.

Contact Information

  • Investor Relations:
    Adino Energy Corporation
    Shannon W. McAdams, CFA
    Chief Financial Officer
    Houston, Texas
    (281) 209-9800
    Email Contact