Paradigm Oil and Gas Inc. (OTC: PDGO) retired an additional 150 million shares of common stock and returned them to the treasury of the company's authorized shares, the company announced in a press release on Aug. 13.
This along with the 70 million shares the company cancelled a few weeks ago decreases its issued and outstanding shares by 220 million. In the past few weeks, the issued and outstanding shares have been reduced by close to 50%.
The company thinks it will succeed by bringing its corporate structure to a more sustained evaluation for its shareholders. As the company stays with its plan of getting its audits up to date and reevaluating its assets and cleaning up its corporate structure, the company will increase revenues and earnings.
"I understand it hurts the company's market capital, but it is more important to Paradigm Oil and Gas not to have a false market valuation, but a real one showing the true value of its assets, and an accurate picture of the company's revenue and earnings. We feel as though our share price is way too low, and we are still on target to be filing for the American Stock Exchange by year's end," said Vince Vellardita, president and CEO, in the release.
The company is planning a share buy back from its outstanding float with an insider tender offer to purchase the necessary shares to keep the corporate structure to about 100 million shares issued and outstanding in its treasury.
Paradigm also closed on the purchase of Cam Trucking and Well Services, the company announced on Aug. 19. The company consummated the deal on Aug. 16.
"On the first day of the operation we have received our first contract and check. I am thrilled to get the oil rigs out in the field and the trucks out working again to help keep the revenue streams growing for Paradigm Oil and Gas," Anthony Feezel said in the release.
The name of Cam Trucking and Well Services will be changed to Paradigm Trucking and Well Services and Feezel will take on the position of president of the subsidiary. Half of the fleet will be prepped for the road and headed for Texas and assigned to long term contracts, which will generate over six figures per month in revenue. The other half of the fleet will be on jobs with local producers in Oklahoma to keep clients satisfied and a small portion will be drilling on wells this week with a great possibility of success based on the Railroad Commission Reports and Engineering Analysis and previous State Tax Reports. Paradigm will be sending out one of its rigs to our previously shut down wells and reopening them for production with proof of positive results.
"From our services subsidiary of well drilling, water removal and engineering analysis; the company anticipates just under $200,000 per month in revenue. We have only just begun and have several contracts and proposals out in the industry and expect a profitable quarter," Vellardita said in the release.
Paradigm Oil and Gas Inc. is an exploration stage company engaged in the acquisition, exploration, development, and operation of oil and gas properties. The company is based in Eustace, Texas.
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