ESP Resources, Inc.
OTC Bulletin Board : ESPI

ESP Resources, Inc.

July 07, 2009 08:45 ET

ESP Resources Reaches Material Terms for Acquisition

SCOTT, LOUISIANA--(Marketwire - July 7, 2009) - ESP Resources, Inc. (OTCBB:ESPI) ("ESP") announces that it has reached agreement on a purchase price and material terms to acquire Turf Chemistry, Inc. ("Turf"). Headquartered in Mission, TX, a city in close proximity to McAllen, TX along the Texas/Mexico border, Turf manufactures, distributes, and markets specialty chemicals for the oil and gas industry in the Southwest and Southern regions of Texas.

Unaudited revenues for Turf in FY2008 were in excess of $1 million, and its senior management has in excess of 40 years of experience in the oil and gas industry production petrochemical business. Subject to final due diligence, ESP and Turf intend to move quickly to complete and finalize a definitive acquisition agreement.

Commenting on the agreement, President David Dugas stated, "With Turf, we are acquiring greater distribution in South Texas as well as valued expertise and the opportunity to expand contracts with multinational oil and gas companies in existing fields. After the acquisition, the combined companies' operational footprint for coverage, support and delivery of chemical products finished goods should more than double. We plan an aggressive expansion into areas serviced by Turf currently for the remainder of 2009 and 2010."

Mr. Dugas further stated, "Our focus is our core operating expertise in specialty petrochemicals, which is the key to our expansion plans. As restructuring in the industry occurs on a global scale, we intend to build the ESP petrochemical platform through acquisition to expand market share and product offerings. This will allow us to grow geographically in petrochemicals and expand our footprint into additional oil and gas basins, which should allow us to expand the oil and gas production segment of our business."

About Turf

Founded in 2006 and based in Mission, TX, Turf Chemistry, Inc. supplies production chemicals, drilling chemicals, waste remediation chemicals, cleaners, and waste treatment chemicals for various oil field applications. The Turf product line includes surfactants, well completion and work-over chemicals, bactericides, scale inhibitors, antifoams, paraffin inhibitors, and water clarifiers. Turf has a fully functional blending facility and blends all of the company's finished product chemicals for distribution to their clientele in the Southwest and Southern Texas regions.

About ESP Resources, Inc.

ESP Resources, Inc. is a publicly traded oil and gas company (OTCBB:ESPI) headquartered in Scott, LA. Through its wholly owned subsidiary, ESP Petrochemicals, Inc., ESP is a manufacturer, blender, distributor, and marketer of specialty chemicals and analytical services to the oil and gas industry. ESP supplies retail and wholesale specialty chemicals for a variety of oil field applications including production, drilling, waste remediation, cleaning, and waste water treatment. From its 11,000 square foot blending and distribution facility, ESP distributes its product line throughout the Gulf Coast region of Louisiana, Texas, Mississippi, and Alabama, both onshore and offshore. The wholesale division of the company supplies specialty chemicals to several retailers operating in West Africa. The company's senior management has over 100 years of combined operating experience in the petrochemical industry.

Legal Notice Regarding Forward-Looking Statements

Statements in this news release that are not historical facts are forward-looking statements that are subject to risks and uncertainties. Forward-looking statements are based on current facts and analyses and other information that are based on forecasts of future results, estimates of amounts not yet determined and assumptions of management. Forward looking statements are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "aims", "potential", "goal", "objective", "prospective", and similar expressions or that events or conditions "will", "would", "may", "can", "could" or "should" occur. Information concerning oil or natural gas reserve estimates may also be deemed to be forward looking statements, as it constitutes a prediction of what might be found to be present when and if a project is actually developed. Closing of the transactions described above is subject to a number of terms and conditions, including the satisfactory completion of each party's due diligence investigations. Actual results may differ materially from those currently anticipated due to a number of factors beyond the reasonable control of the Company. It is important to note that actual outcomes and the Company's actual results could differ materially from those in such forward-looking statements.

Readers are cautioned not to place undue reliance on the forward-looking statements made in this Press Release. In evaluating these statements, you should consider the risks discussed, from time to time, in the reports we file with the US Securities and Exchange Commission.

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