Next Millennium Commercial Corp

November 27, 2006 08:30 ET

Next Millennium Commercial Corp. Announces Change of Business, Acquisition of Oil and Gas Interest, Private Placement, Name Change and Appointment of New Director

MONTREAL, QUEBEC--(CCNMatthews - Nov. 27, 2006) - Next Millennium Commercial Corp (NEXBOARD:NM.H)


Next Millennium ("Next") is pleased to announce that it has entered into a letter agreement with Opal Energy, Inc. ("Opal") a Houston, Texas based Oil and Gas Company whereby Opal has granted Next the right to acquire (the "Acquisition") a 25% working interest in the SueAnn Tacquard #1 Well, Galveston County, Texas. The purchase price for the interest is US$215,268.29, payable on receipt of all required regulatory and shareholder approvals for the transaction. Opal has also granted the right to Next to acquire a 25% working interest in a US$16 million natural gas exploration program focused on the Texas Gulf Coast, which is the subject of a prospecting agreement between Opal and Seven L's Management LLC. The exploration program consists of a 10 well drilling package of drilling targets located in various parts of south Texas, and a 3-D seismic shoot in a prospective area in south Texas. Next and Opal will enter into a formal exploration participation agreement governing their rights and responsibilities with respect to the above exploration program and which will include the interest in the SueAnn Tacquard #1 Well.

The SueAnn Tacquard # 1 Well is a Frio sands development well that has been drilled to approximately 9800 feet. The field in which the well is located was discovered in 1984 and was developed with a total of five wells. Production ceased in 1991 for a variety of reasons including low oil and gas prices. Various engineering and geological studies conducted since indicates that substantial proven un-produced reserves likely remain in the well and that the field was prematurely abandoned.

Private Placement

In connection with the Acquisition, Next will complete a non-brokered private placement of up to 14,000,000 units at $0.27 per unit for gross proceeds of $3,780,000 in order to provide funds for the Acquisition and for Next's share of the drilling program. Each unit will consist of one common share and one common share purchase warrant. Each warrant will be exercisable at $0.36 per share for one year. The units will be subject to a 4 month restriction from sale. A finder's fee of 10% in cash is payable on the financing. There are presently 13,674,698 common shares issued and outstanding.

New Director

In conjunction with the Acquisition, Ms. Michelle Gahagan has been appointed as a director of Next.

A graduate of Queen's University Law School, Ms. Gahagan has practiced corporate law since 1986, articled at Boughton and Company and was also associate counsel to the Vancouver firm of Douglas Symes and Brissenden.

In addition to presently sitting as a board member of Chalk Media, Ms. Gahagan has served as a board member of Vancity Capital Corporation, Scotiabank Resource Center for Women Entrepreneurs, Young Entrepreneurs Organization and is a member of the Canadian Bar Association, the Law Society of British Columbia and the Academy of Canadian Cinema and Television.


Next has also granted 400,000 stock options to the directors, officers and consultants of Next at $0.36 per share for a period of five years.

Change of Business

Upon completion of the transaction, the business of Next will be the exploration and development of oil and gas properties and therefore the transaction will constitute a change of business of Next. Prior to the sale of its subsidiary CCI Learning Solutions Inc. in April, 2005 Next's business was the development and supply of computer based training products. The proposed transaction is an arm's length transaction.

Name Change

In connection with the Acquisition, and subject to the approval of the shareholders at the next annual meeting, Next also intends to change its name to Royston Resources Inc., or such other name as may be approved by the board of directors of Next and by regulatory authorities.

Michael Curtis, CEO, commented "We are very pleased to announce the move by Next to enter into the Oil and Gas business. After evaluating many prospects we are very excited with our partnership with Opal Energy and look forward to a successful drilling campaign in the year ahead."


Completion of the transaction is subject to a number of conditions, including Exchange acceptance and disinterested Shareholder approval. The transaction cannot close until the required Shareholder approval is obtained. There can be no assurance that the transaction will be completed as proposed or at all.

Investors are cautioned that, except as disclosed in the Filing Statement to be prepared in connection with the transaction, any information released or received with respect to the Change of Business may not be accurate or complete and should not be relied upon. Trading in the securities of the Company should be considered highly speculative.

The TSX Venture Exchange has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this press release.

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