SOURCE: EGPI Firecreek, Inc.

August 30, 2010 10:10 ET

EGPI Firecreek, Inc. Signs Binding Letter of Intent to Acquire Terra Telecom, Inc.

Terra Telecom to Add Significant Depth in Existing Business and Established Relationships for EGPI

SCOTTSDALE, AZ--(Marketwire - August 30, 2010) - EGPI Firecreek, Inc. (OTCBB: EFIR) announced today that it has signed a binding Letter of Intent to acquire Terra Telecom, LLC, (referred as "Terra"). Both companies worked diligently throughout the weekend in order to come up with terms and an acquisition model that can benefit employees, existing clientele, shareholders and investors.

The purchase price of Terra Telecom is set at six million dollars ($6,000,000). Terms call for the issuance of non-voting Series D Preferred Shares convertible at 10 cents or 20 cents. Shares shall be convertible in 2013 or 2014 and conversion prices are set at certain revenue and earnings performance criteria. Terra's ability to meet or exceed these performance criteria will determine their ability to convert at the lower conversion prices. Because this acquisition is not tied to any funding requirements, both parties anticipate completing proper due diligence, financials and Employee Agreements within the next 30 days, allowing the acquisition to move into a Definitive Agreement by September 30th. 

Terra Telecom, a premier Alcatel-Lucent partner, is a leading provider of state-of-the-art communication technologies efficiently serving all sized companies and organizations in the U.S. and 22 countries worldwide. These companies use and deploy communications systems, service, sales, and training while consolidating and optimizing the end user experience while providing customers value and integrity in each of these opportunities. Terra Telecom also works with the United Nations delivering Alcatel voice products to several countries and the Texas Dept. of Transportation.

EGPI Firecreek was quick to identify the potential and value of Terra after their M3 Lighting division secured a 10 million dollar purchase order from the 30-year-old telecommunications company.

Dennis Alexander, EGPI's CEO, stated, "The signing of this binding LOI creates a substantial shift in the paradigm of our company, giving us the ability to expand and work with significant players in the telecommunication industry. By adding Terra's management to our existing team we will increase the depth of expertise and experience within our corporate infrastructure. This will ultimately have an exponential effect in the growth of our ITS/DOT division and will help escalate and enhance our relationship with E-ViEWS Safety System and our distribution rights with them."

Wade Clark, CEO of Terra Telecom, LLC, stated, "We are extremely excited to have the opportunity to become a part of the EGPI Firecreek team. We feel this acquisition will provide us with a greater ability to expand our footprint with our existing customer base while positioning us with new emerging markets to strategically expand into areas such as the ITS and DOT markets. The experienced management team at Firecreek will also help add the financial and managerial discipline needed to launch Terra into the public arena. Overall, we are now better positioned to provide more robust solutions to our existing and new customers."

About Terra Telecom
Terra is an industry leader in value creation for each of their clients and stakeholders. Terra's enterprise business has experienced exponential sales volume and revenue growth since January 2005 with year to year revenue growth averaging 46.6% over 2005, 2006 and 2007. The revenue growth fueled by increases in the volume and scope of jobs created the need for significant infrastructure growth. In 2006 Terra relocated its company headquarters to a modern, 25,000 square foot facility in Tulsa, Oklahoma. This facility provides the Company the space to continue growth and the ability to manage operations throughout the nation.

For more information on Terra Telecom, please go to:
http://www.terratele.com

About EGPI Firecreek, Inc.
EGPI Firecreek, Inc.'s business and acquisition strategy is focused on both the vertical integration of enterprises serving the DOT Construction and Intelligent Traffic System markets through South Atlantic Traffic, Inc. (SATCO) alongside its wholly owned subsidiary M3 Lighting, Inc. (M3), and on oil and gas production with an emphasis on acquiring existing fields with proven reserves, the rehabilitation of potentially high throughput oilfields, resource properties and inventories, through its wholly owned subsidiary Energy Producers, Inc. (Energy Producers) and for oil and gas servicing business through its wholly owned subsidiary Chanwest Resources, LLC (CWR). EGPI Firecreek, Inc. is also looking to expand into alternative energy sources as well as industries in the energy field. Other companies in the oil sector include Exxon Mobil, Pantina Oil and Gas Inc., Frontier Oil Inc. and Cabot Oil & Gas Inc.

Safe Harbor
This release contains statements that constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements appear in a number of places in this release and include all statements that are not statements of historical fact regarding the intent, belief or current expectations of EGPI Firecreek, Inc., its directors or its officers with respect to, among other things: (i) financing plans; (ii) trends affecting its financial condition or results of operations; (iii) growth strategy and operating strategy. The words "may," "would," "will," "expect," "estimate," "can," "believe," "potential" and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond EGPI Firecreek Inc.'s ability to control, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors. More information about the potential factors that could affect the business and financial results is and will be included in EGPI Firecreek, Inc.'s filings with the Securities and Exchange Commission.

Contact Information