TRAVERSE CITY, Mich., July 18, 2006 (PRIMEZONE) -- Aurora Oil & Gas Corporation (AMEX:AOG) today announced signing a "Letter of Intent" to acquire Bach Enterprises, Inc., an oilfield services and manufacturing company located outside Traverse City, Michigan. The cash and stock deal is expected to close within 90 days.
Bach Enterprises, Inc. is a second generation, family-operated business which consists of operating assets, intellectual property, office facilities and over 30 full-time employees. Bach has become an industry leader in the development of oilfield technologies, including low pressure CO2 removal, electric componentized compression, tankless water disposal and water-evacuated sump inflow systems -- all of which have been used by Aurora Oil & Gas to increase efficiencies and reduce production costs.
William W. Deneau, President of Aurora Oil & Gas Corporation commented, "This strategic acquisition of Bach Enterprises ensures our ability to do business without interruption in our drilling and production programs. We have had a long-standing relationship with the Bach family and they have played a large part in the technological innovations we have made in our production processes. Being able to guarantee access to services is critical to our ability to execute the business plan."
It is expected that Bach Enterprises, Inc. will join Aurora Oil & Gas Corporation as a wholly owned and independently operated subsidiary. Richard Bach, President of Bach Enterprises, Inc. commented, "This is an important step for our company. Joining Aurora will allow us to better service our current and future clientele. Our companies work very well together and we look forward to significant growth over the coming years."
About Aurora Oil & Gas Corporation:
Aurora Oil & Gas Corporation is an independent energy company focused on unconventional natural gas exploration, acquisition, development and production with its main operations in the Michigan Antrim Shale and the New Albany Shale of Indiana and western Kentucky.
Statements regarding future business plans and growth prospects are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Although we believe that the drilling and production programs described are based on reasonable assumptions, we can give no assurance that they will prove accurate. Important factors that could cause our actual results to differ materially from those included in the forward-looking statements include the timing and extent of changes in commodity prices for oil and gas, drilling and operating risks, the availability of drilling rigs, changes in laws or government regulations, unforeseen engineering and mechanical or technological difficulties in drilling and operating the wells, operating hazards, weather-related delays, the loss of existing credit facilities, availability of capital, and other risks more fully described in our filings with the Securities and Exchange Commission. All forward-looking statements contained in this release, including any forecasts and estimates, are based on management's outlook only as of the date of this release and we undertake no obligation to update or revise these forward-looking statements, whether as a result of subsequent developments or otherwise.