Trans Energy, Inc. Closes Sale of Arvilla Oilfield Services
April 13 2006 - 7:06PM
PR Newswire (US)
ST. MARY, W.Va., April 13 /PRNewswire-FirstCall/ -- Trans Energy,
Inc. (OTC:TENG) (BULLETIN BOARD: TENG) said today that it has
completed the previously announced sale of Arvilla Oilfield
Services, its wholly owned well servicing and maintenance
subsidiary, to Arvilla's former owners. In January 2006, Trans
Energy signed a definitive agreement for the sale of Arvilla to
Clarence E. Smith and Rebecca L. Smith. Under the terms of the
transaction, the Company will receive interests in five oil and gas
wells located in Tyler County, West Virginia, approximately 500,000
Trans Energy common shares issued to the Clarence and Rebecca
Smith, and certain other considerations. Clarence and Rebecca Smith
have resigned as members of the Board of Directors of Trans Energy.
Details of the transaction will be provided in a Form 8-K filing
with the Securities and Exchange Commission. Jim Abcouwer,
President and Chief Executive Officer said, "The sale of the
Arvilla Oilfield Services business is in line with our strategy to
divest operations outside our core business and concentrate on the
development of oil and natural gas. We believe we have the greatest
opportunity for growth and profitability by leasing acreage,
drilling wells, proving new reserves, and owning and operating the
pipeline gathering systems that are affiliated with those
reserves." You will now see us aggressively pursuing that focused
business strategy. Trans Energy, Inc. (OTC:TENG) (BULLETIN BOARD:
TENG) specializes in the exploration, completion, drilling and
production of oil and natural gas in the Appalachian Basin.
Further, the company is actively involved in the transmission,
transportation and sales of oil and natural gas. This press release
contains forward-looking information that may be affected by
certain risks and uncertainties, including those risks and
uncertainties described in the company's most recent Form 10-KSB
filing with the Securities and Exchange Commission. The company's
actual results could differ materially from such forward-looking
statements. We assume no duty to update these statements at any
future date. DATASOURCE: Trans Energy, Inc. CONTACT: Bill Roberts
or Wayne Buckhout of CTC Investor Relations, +1-937-434-2700, for
Trans Energy, Inc.
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