DEERFIELD BEACH, Fla., Oct. 24, 2006 (PRIMEZONE) -- Red Reef Laboratories International, Inc. (Other OTC: RREF) of Florida, acquires assets and liabilities from L-1011 and Altfuels Corporations in Napoleonville, Louisiana.
With this purchase Red Reef Labs adds technology for Nitrogen-enriched Bagasse -- a biodegradable, oil-spill absorbent specialty product derived from sugar cane stalks -- to its environmental remediation arsenal of products.
After a short-lived but successful debut of the bio-degradable product, manufacturing problems forced a temporary but costly cessation of operations for L-1011 Corporation, creating a "White Knight" opportunity for Red Reef Labs. The purchase has been consummated for an undisclosed number of Red Reef Labs common shares, and includes land, buildings, machinery and equipment, inventory and the Oil Absorbent Formula. Red Reef Labs also assumes existing bank debt, not to exceed $450,000.
With this first acquisition, Red Reef Laboratories International, Inc., ("Red Reef Labs") sets the pace for its formula for expansion.
L-1011 and Altfuels Corporations, with current assets in excess of $1 million (excluding good will), and liabilities under $450,000, provides Red Reef Labs with an improved balance sheet and an ideal geographical location with facilities to establish and build a full service environmental remediation business. Licenses are already in place for Mold Remediation, Asbestos Removal and Abatement, Hazardous Materials Clean up and Removal, Insulation, (commercial and industrial), Oil Well Construction, Oilfield Treatments, Pump-downs, and Land Reclamation.
Mr. Harry "Soup" Kember, President of L-1011 Corporation, and a former State Representative, stated: "We are glad that Red Reef Labs' management was quick to recognize an opportunity to grow in this community where our combined technologies and services will be in demand for years to come."
"Red Reef Labs had hoped for an opportunity to showcase and utilize its proprietary surface decontamination products and systems in this region since Hurricane Katrina. The combined intelligence of our companies presents us with just such an opportunity," Dr. Claus Wagner-Bartak, President, Red Reef Labs, commented.
Red Reef Labs, which owns proprietary surface decontamination technology, is in the business of acquiring and developing innovative products, systems, and facilities in support of an aggressive bio-defense and health-conscious remediation of our challenged environment.
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