IRVINE, CA--(Marketwired - Mar 20, 2014) - Universal Bioenergy Inc., (OTCQB: UBRG), a publicly traded independent diversified energy company that markets and distributes natural gas, petroleum, coal and electricity, announced that it is in talks with a company for a joint venture for a contract to sell 2,000,000 million barrels of crude petroleum with an estimated transaction value of over $200 million. The parties are in negotiations to procure the foreign light crude oil from a refinery in another country and sell the product to another major international energy company.
The initial contract would be for a spot market transaction for 2,000,000 million barrels of light crude oil. A long-term contract for 1 to 5 years is also being discussed, in which the total volumes of the crude oil to be sold are in the range of 1 to 2 million barrels of light crude per month throughout the contract term. The Company projects that it could earn an estimated $10 to $30 million in profits annually from the sales of these petroleum products.
In its plans for growth and expansion, Universal established a refined Energy Products Division to market and distribute petroleum based products to generate greater revenues and higher profit margins for the Company. The Energy Products division plans to market petroleum based energy products including crude oil, D2 Gas Oil/ Diesel Fuel, industrial fuels, Jet Fuel (Jet A-1 and JP-54) and liquefied natural gas (LNG). The products will be sold to its expanding global customer base which will include federal and state agencies, U.S. military, municipalities and large commercial and industrial companies.
Universal's President Vince M. Guest states, "We have been working for several months to develop strong relationships to obtain reliable supplies of petroleum based energy products and to build a solid customer base to market these products to. Our Energy Products division reflects our expanding business model to diversify our Company and compete in multiple energy market segments. We believe this will provide for more rapid growth of the Company and bring greater benefits to shareholders."
Universal Bioenergy is a high growth diversified energy company that is experiencing double-digit growth. NDR Energy Group, a subsidiary of Universal Bioenergy, sells natural gas to many of the largest public utilities, electric power producers and local gas distribution companies that serve millions of commercial, industrial and residential customer in the United States.
About Universal Bioenergy Inc.
Founded in 2004, Universal Bioenergy Inc., is a publicly traded independent diversified energy company that produces and markets natural gas, petroleum, coal and propane. We market energy resources to the largest public utilities, electric power producers and local gas distribution companies in the U.S., that serve millions of commercial, industrial and residential customers. We are also engaged in the acquisition and development of existing or recently discovered oil and gas fields, leases and surface coal mines. For more information visit www.universalbioenergy.com
Safe Harbor Statement - There are matters discussed in this media information that are forward looking statements within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. Such statements are only forecasts and actual events or results may differ materially from those discussed. For a discussion of important factors which could cause actual results to differ from the forward looking statements, refer to Universal Bioenergy Inc.'s most recent annual report and accounts and other SEC filings. The company undertakes no obligation to update publicly, or revise, forward looking statements, whether as a result of new information, future events or otherwise, except to the extent legally required.