SOURCE: Terra Energy & Resource Technologies, Inc.

June 11, 2008 06:38 ET

Terra Energy & Resource Technologies, Inc. to Acquire Oil and Gas Service Company

Memo of Understanding Signed With the Institute of New Oil and Gas Technologies LLC

NEW YORK, NY--(Marketwire - June 11, 2008) - Terra Energy & Resource Technologies, Inc. (OTCBB: TEGR), an energy and natural resource exploration technology company, announces that it has signed a Memorandum of Understanding with Intelteck Holding Limited to acquire its wholly owned subsidiary the Institute of New Oil and Gas Technologies, a Russian limited liability technology company providing services utilizing its innovative oil and gas exploration technologies.

The Memo of Understanding calls for acquisition of 100% of the equity ownership of the Institute of New Oil and Gas Technologies (INOGT), to be effected by the end of 2008, in exchange for a number of restricted shares of the Company's common stock to be determined in accordance with value as reflected by an independent third party expert appraisal.

"We are acquiring a revenue producing company that has unique and innovative oil and gas exploration technologies and its own equipment, that is servicing sizable oil and gas companies, and that has, in its employ, accomplished and well known scientists," said Dmitry Vilbaum, Chief Executive Officer of Terra Energy & Resource Technologies, Inc. "The INOGT acquisition is a significant opportunity for our Company, because INOGT combines current service contract work, excellent intellectual property, and solid R&D capabilities. INOGT's technologies address pertinent, largely unresolved, challenges of today's oil and gas mainstream exploration, such as determination of zones of open fracturing and fluid saturation in reservoirs."

"We plan for INOGT to be the technology focal point of the Company," said Mr. Vilbaum. "This business initiative is brought to Terra Energy & Resource Technologies by its new board members, and we are pleased that the Company is receiving strong tangible support from these recent investors in our Company."

About Terra Energy & Resource Technologies, Inc.

Terra Energy & Resource Technologies, Inc., through its subsidiary Terra Insight Corp., provides mapping and analysis services for exploration, drilling, and mining companies related to natural resources found beneath the surface of the Earth. The Company uses proprietary satellite-based STeP® (Sub-Terrain Prospecting) technology, which facilitates the prediction and location of commercially viable deposits of hydrocarbons, gold, diamonds, and other natural resources and assesses them for any given geographic area -- on or offshore. For more information, visit http://www.terrainsight.com.

Safe Harbor for Forward-looking Statements

This press release may contain forward-looking information within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and is subject to the safe harbor created by those sections. There are many factors that could cause the Company's expectations and beliefs about its operations or its plans to acquire additional exploration properties, plans to drill or drilling results to fail to materialize, including but not limited to competition for new acquisitions; availability of capital; unfavorable geologic conditions; prevailing prices for oil, natural gas and other natural resources; and general regional economic conditions.

Contact Information

  • Media Inquiries:
    Terra Energy & Resource Technologies, Inc.
    Dmitry Vilbaum
    CEO
    Phone: (212) 286-9197