Press Release Source: Continental Fuels, Inc.
Continental Fuels Conducts Meeting with Management of Geer Tank Trucks - Expansion and Modernization Program Results in New Contracts Valued at $36,000,000 - Total Revenue Expected to Triple in First Year
Tuesday January 22, 6:29 am ET
JACKSBORO, Texas--(BUSINESS WIRE)--Last week, the management of Continental Fuels, Inc. (OTC BB: CFUL - News) (FWB: CIQB) met with the management of Geer Tank Trucks, Inc. (www.geertanktrucks.com), in order to complete the integration of the companies and execute the plans to expand and modernize Geer’s operations. In combination with Continental’s experience and relationships in the crude trading industry, it is anticipated that Geer’s monthly revenue can be more than tripled during the first 12 months of operations at current oil prices.
Geer is a crude oil purchasing company founded in 1945 with five locations in North Texas and nearly $50 million in current annual revenue. Lori Geer Smith, a member of the founding family of the company, will continue to manage its day to day operations and all of Geer’s existing management and personnel will remain with the company.
With the direction and assistance of the management of Continental, Geer has commenced an aggressive plan of expansion and modernization that, in its first week, has yielded new contracts that will double its previous monthly volume of oil transported adding $36 million in annual revenue at current oil prices. In addition, Geer has successfully negotiated new contracts with its purchasers that will result in an immediate increase in its margin.
Under the modernization program, Geer will be installing state of the art GPS systems in all of its trucks in order to provide better service with greater efficiency. Under the direction of Continental Fuels, Geer will also be installing blending equipment in order to raise the quality of its product and achieve even greater margins.
The Geer facilities include 4 pipeline terminals with connections to major pipeline companies such as TEPPCO and Plains and 5 service yards in various locations throughout North Texas, more than twenty 200 bbl transports, 50 frac tanks, water hauling and disposal facilities incorporating 2 commercial salt water disposal wells and other assets and equipment.
“These meetings have confirmed that the opportunities in the North Texas oil transport business are incredible at this time,” remarked Continental CEO Tim Brink. “Continental’s innovative application of technology and aggressive pursuit of expansion coupled with the history, experience and dedication of Geer Tank Trucks will allow us to seize those opportunities and continue to build shareholder value.”
Continental Fuels is a subsidiary of Universal Property Development and Acquisition Corporation (OTC BB: UPDA - News) (FWB: UP1). For further information, see www.continentalfuels.com.
Statements contained in this press release that are not based upon current or historical fact are forward-looking in nature. Such forward-looking statements reflect the current views of management with respect to future events and are subject to certain risks, uncertainties, and assumptions. Should one or more of these risks or uncertainties materialize or should underlying assumptions prove incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated, expected, or described pursuant to similar expressions.
Jack Baker, 561-630-2977
Director Corporate Communications
Source: Continental Fuels, Inc.