Contact Information: Contact: For More Information Contact: Thomas Rozycki CJP Communications for Platinum Energy Resources, Inc. Public & Investor Relations 212-279-3115 x208 tom@cjpcom.com
Platinum Energy Resources, Inc. Affiliate Negotiates Purchase of Shares of Company Common Stock
| Source: Platinum Energy Resources
NEW YORK, NY--(Marketwire - October 22, 2007) - Platinum Energy Resources, Inc. ("Platinum
Energy") (OTCBB : PGRIU ) (OTCBB : PGRI ) (OTCBB : PGRIW ) announced today that
Braesridge Energy LLC, an affiliate of Platinum Energy's Chief Executive
Officer and director, Barry Kostiner, has privately negotiated the purchase
of, and intends to purchase, 2,000,000 shares of Platinum Energy's common
stock, representing approximately 14% of the shares issued in Platinum
Energy's IPO, from stockholders of the company. Following consummation of
the anticipated purchases, Braesridge will beneficially own 2,188,300
shares of Platinum Energy common stock.
Platinum Energy filed a definitive proxy statement with the SEC on October
17, 2007 relating to its special meeting of stockholders on October 26,
2007 to vote on, among other things, the proposal to acquire the assets of
Tandem Energy Corporation. In its proxy statement, Platinum Energy
disclosed that, immediately prior to the purchase by its affiliates of an
aggregate of 432,000 shares, or 3% of the 14,400,000 shares purchased in
the IPO, and, thereafter, immediately prior to any subsequent purchases by
its affiliates of an aggregate of an additional 432,000 shares, Platinum
Energy would disclose via press release the affiliate's intention to make
such purchases.
Platinum Energy stockholders with questions about the proposed asset
acquisition or any of the other proposals or who need assistance in voting
their shares may call the Company's proxy solicitor, Morrow & Co., Inc.,
toll-free at (800) 607-0088.
About Platinum Energy
Platinum Energy, based in Montvale, New Jersey, is a special purpose
acquisition corporation seeking to acquire assets or operating businesses
in the global oil and gas exploration and production industry. Platinum
Energy will seek to build a portfolio of assets using multiple acquisitions
subsequent to its first. Platinum Energy's strategy calls for the use of
hedge financing to maximize profit and reduce risk resulting from volatile
energy markets.
Platinum Energy was incorporated in April 2005 to acquire an operating
business in the energy industry. Platinum Energy completed its initial
public offering on October 24, 2005, receiving net proceeds of
approximately $106 million through the sale of 14.4 million units of its
securities at $8.00 per unit. Each unit is comprised of one share of
Platinum Energy common stock and one redeemable and convertible common
stock purchase warrant with an exercise price of $6.00. On October 17,
2007, Platinum Energy filed a definitive proxy statement, proposing the
acquisition of Tandem Energy Corporation, to be voted on by shareholders at
a special meeting of stockholders scheduled for October 26, 2007. Platinum
Energy currently holds over $112 million in a trust account maintained by
an independent trustee, which will be released to Platinum upon the closing
of the proposed business combination.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning
of the safe harbor provisions of the Private Securities Litigation Reform
Act of 1995. In some cases, forward-looking statements can be identified by
words such as "believe," "expect," "anticipate," "plan," "potential,"
"continue" or similar expressions. Forward-looking statements also include
the assumptions underlying or relating to any of the foregoing statements.
Such forward-looking statements are based upon current expectations and
beliefs and are subject to a number of factors and uncertainties that could
cause actual results to differ materially from those described in the
forward-looking statements. The forward-looking statements contained in
this press release may include statements about future financial and
operating results and about the proposed acquisition by Platinum Energy of
the assets of Tandem Energy Corporation. These statements are not
guarantees of future performance, involve certain risks, uncertainties and
assumptions that are difficult to predict, and are based upon assumptions
as to future events that may not prove accurate. Therefore, actual outcomes
and results may differ materially from what is expressed herein. For
example, if Platinum Energy does not receive required stockholder approval
or fails to satisfy other conditions to closing, the transaction will not
be consummated. In any forward-looking statement in which Platinum Energy
or Tandem Energy Corporation expresses an expectation or belief as to
future results, such expectation or belief is expressed in good faith and
believed to have a reasonable basis, but there can be no assurance that the
statement or expectation or belief will result or be achieved or
accomplished. All forward-looking statements included in this press release
are based on information available to Platinum Energy and Tandem Energy
Corporation on the date hereof. The following factors, among others, could
cause actual results to differ from those set forth in the forward-looking
statements: business conditions in the U.S. and abroad; changing
interpretations of generally accepted accounting principles; outcomes of
government reviews; inquiries and investigations and related litigation;
continued compliance with government regulations; legislation or regulatory
environments, requirements or changes adversely affecting the businesses in
which Tandem Energy Corporation is engaged; fluctuations in oil and gas
prices and in customer demand; management of rapid growth; intensity of
competition; general economic conditions; as well as other relevant risks
detailed in Platinum Energy's filings with the Securities and Exchange
Commission. Neither Platinum Energy nor Tandem Energy Corporation assumes
any obligation to update the information contained in this press release.
Additional Information and Where to Find It
INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE DEFINITIVE PROXY
STATEMENT REGARDING THE PROPOSED ASSET ACQUISITION BECAUSE IT CONTAINS
IMPORTANT INFORMATION ABOUT THE TRANSACTION. Investors and security holders
may obtain a free copy of the proxy statement and other documents filed by
Platinum Energy with the Securities and Exchange Commission at the
Securities and Exchange Commission's web site at http://www.sec.gov. Free
copies of the proxy statement and other documents may also be obtained free
of charge from Platinum Energy's investor relations at tom@cjpcom.com or by
directing a request to Platinum Energy Resources, Inc., 25 Phillips
Parkway, Montvale, NJ 07645.
Platinum Energy and its directors, officers and other employees may be
deemed to be participants in the solicitation of proxies from the
stockholders of Platinum Energy with respect to the transactions
contemplated by the asset acquisition agreement. Information regarding
Platinum Energy's directors and executive officers is available in the
Definitive Proxy Statement filed with the Securities and Exchange
Commission on October 17, 2007. Other information regarding the
participants in the proxy solicitation and a description of their direct
and indirect interests, by security holdings or otherwise, will be
contained in other relevant materials to be filed with the Securities and
Exchange Commission when they become available. We have also retained the
proxy soliciting firm of Morrow & Co., Inc. to solicit proxies on our
behalf.