SCOTTSDALE, Ariz., June 17, 2009 (GLOBE NEWSWIRE) -- EGPI Firecreek, Inc. (OTCBB:EFIR) is pleased to announce the recent retirement of approximately $500,000 of debt held by the Company through a spin-off assignment of its former wholly owned subsidiary unit, Firecreek Petroleum, Inc. This latest debt retirement aggregated with the previous debt represents a 97% reduction of debt over the last seven months in an effort to establish a solid foundation for the Company's future operations.
EGPI Firecreek, Inc. (the "Company") and Firecreek Global, Inc. ("FGI") entered into a Stock Acquisition Agreement (the "Agreement") effective as of May 18, 2009 relating to FGI's acquisition of all issued and outstanding shares of capital stock in Firecreek Petroleum, Inc. ("FPI"), a Delaware corporation. Moreover, included in the Assignment was all of the Company's debt held in the FPI subsidiary. Further, the Company and FGI executed a right of first refusal agreement granting the right for a period of two (2) years to participate in certain overseas projects in which the Company may have, or obtain the rights to have, in relation to previous activities in certain areas of the world, which include Kazakhstan, Russia, Libya, Turkey, Romania, and the Ukraine.
As previously reported, the Company announced the recent merger of M3 Lighting, Inc. (M3) through one of its subsidiaries. Further, the Company is now integrating and implementing plans through a second subsidiary within its Energy sector that includes moving forward under a new name, Energy Producers, Inc (EPI). This second new unit plans to operate as a wholly owned subsidiary of the Company and serve as its oil and gas operations division. Energy Producers has already established several oil and gas targets in West Central Texas for acquisition, rehabilitation, and development. In the very near future, the Company anticipates additional diversification by bringing companies into this unit that are involved with alternative energy technologies.
Dennis Alexander, Chairman and CEO of EGPI Firecreek, Inc., stated, "With the most recent reduction of debt for the Company, we have established a financial foundation that will be more attractive to new investors as we seek additional conventional financing for our targeted acquisition candidates. We have collectively reduced over 97% of the Company's debt off of our balance sheet over the last several months. This is a significant achievement in building a solid platform for future operations. We can now look forward to the development of new projects in both Oil & Gas and Alternative Energy for our oil and gas division." He also stated, "We also look at M3 and its solid management as an excellent addition to our Company mix and look forward to helping it reach its goal of realizing exponential growth in operations, revenues and net income."
About EGPI Firecreek, Inc.
EGPI Firecreek, Inc. is historically focused on oil production with an emphasis on acquiring existing oil fields with proven reserves, the rehabilitation of potentially high throughput oilfields, resource properties and inventories on an international basis. Other companies in the oil sector include, Exxon Mobil, Pantina Oil and Gas Inc., Frontier Oil Inc. and Cabot Oil & Gas Inc.
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Safe Harbor
This release contains statements that constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements appear in a number of places in this release and include all statements that are not statements of historical fact regarding the intent, belief or current expectations of EGPI Firecreek, Inc., its directors or its officers with respect to, among other things: (i) financing plans; (ii) trends affecting its financial condition or results of operations; (iii) growth strategy and operating strategy. The words "may," "would," "will," "expect," "estimate," "can," "believe," "potential" and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond EPGI Firecreek Inc.'s ability to control, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors. More information about the potential factors that could affect the business and financial results is and will be included in EGPI Firecreek, Inc.'s filings with the Securities and Exchange Commission.