Paradigm Oil & Gas, Inc.
OTC Bulletin Board : PDGO

Paradigm Oil & Gas, Inc.

March 21, 2011 08:31 ET

Paradigm Oil and Gas, Inc. (PDGO) Enters Into First Commercial Agreement Utilizing Transportable Enhanced Oil Recovery Platform

MABANK, TEXAS--(Marketwire - March 21, 2011) - Paradigm Oil and Gas, Inc. (OTCBB:PDGO) is pleased to announce that the company has entered into their first commercial agreement resulting from the rollout of their Joint Venture Oil Production Program (previously announced on December, 16, 2010).

The agreement covers 56 previously producing wells situated on 3 Oil leases covering 133.4 acres in Navarro County, Texas. The company will utilize their Transportable Enhanced Oil Recovery (T-EOR) Platform to initially recover oil from these idle wells.

"We are very excited to have our first customer and agreement in place. By deploying our T-EOR Platform we can test and produce from these wells very economically" says President and CEO, Ron Polli, "Once we can determine the recovery and flow rate from each well, we can then determine which ones warrant a higher investment and permanent infrastructure." 

Under the terms of the agreement, Paradigm will receive 70% of the net revenue stream and the lease owner will receive 30% on the first 700 barrels of oil sold. After 700 barrels of oil have been sold, Paradigm will then retain 100% of the net revenue stream. Paradigm will be assigned these leases and will operate the properties under their bond.

Paradigm's President Ron Polli added, "We have been demonstrating our T-EOR Platform over the past few months and have additional negotiations underway. This agreement should assist us greatly by providing us with our first reference site.

The Company has launched this program in the state of Texas and will be pursuing relationships in other states and countries to roll out these programs further.

About the Transportable Enhanced Oil Recovery Platform (T-EOR)

The T-EOR Platform, a new and innovative industry oil production system, is a turnkey integrated and portable oil recovery platform that can be deployed quickly and economically to recover oil from previously producing oil wells with known oil reserves that have not been fully developed.

Initially the T-EOR Platform will gather oil production from the non producing existing wells on a rotating daily/weekly basis to determine their natural flow rate. Wells that warrant a permanent infrastructure will then be equipped accordingly. Depending on each situation and level of effort and investment, Paradigm retains anywhere from 50-80% of the net revenue from the resulting production. The company has identified over 6,000 orphaned wells in the State of Texas alone that are potential oil producing candidates for the T-EOR Platform.

About Paradigm Oil & Gas, Inc.

Paradigm Oil & Gas Inc. (OTCBB:PDGO) identifies and acquires energy properties with previously discovered known oil and gas reserves that have not either been fully produced from, or fully developed and defined. Utilizing new technologies like the Transportable Enhanced Oil Recovery Platform, Paradigm expects to generate profit from these previously producing wells. The company has acquired properties covering 1,148 acres all located in the State of Texas, USA. Combined there are a total of 23 existing previously producing wells and available spacing to support the drilling of approximately 30 new wells in the 3,800' to 9,000' range and approximately 100 new wells in the 800' to 1,800' range. For more information about Paradigm Oil & Gas, visit the website at www.ParadigmOilInc.com.

Safe Harbor

This press release contains statements, which may constitute "forward-looking statements" within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. Those statements include statements regarding the intent, belief or current expectations of Paradigm Oil & Gas, Inc. with members of its management team as well as the assumptions on which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements. Important factors currently known to management that could cause actual results to differ materially from those in forward-statements include fluctuation of operating results, the ability to compete successfully and the ability to complete before-mentioned transactions. The Company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results.

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