United States Oil & Gas Corporation (USOG), an oil and gas products, services and technology company, has entered a preliminary agreement to acquire United Oil & Gas Inc. of Bottineau, North Dakota.
Under the terms of the agreement, which will go into effect Jan. 1, 2010, United will be a wholly owned operating subsidiary of USOG.
The purchase includes all property, equipment and six acres of developable land, United Oil and Gas Inc., United Propane, United C-Store and an additional gas station and convenience store that will soon be operational.
“We are excited to bring United on board. Along with Turnbull, our first acquisition completed in May, USOG has achieved its two main strategic goals for 2009. We look forward to 2010 and continuing to grow our businesses, satisfying both our customers and shareholders alike,” said Alex Tawse, CEO of USOG.
The management, which has more than 30 years experience in the industry, is contracted to remain with the business for a minimum of five years. The company was started in 2003, and includes a bulk storage plant, and a fleet of tanker trucks.
United Oil & Gas Inc. is located in the northern central portion of North Dakota, and sells diesel, race gasoline, propane, and lubricants to 375+ customers including regional businesses, farms, and private residences.
USOG is focused on the domestic oil and gas services sector, acquiring oil and gas services companies with historically profitable results, strong balance sheets, high profit margins, and solid management teams in place. USOG also develops innovative technologies to increase oil and gas extraction with the smallest environmental footprint.