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Exhibit 99.1
THURSDAY AUGUST 24, 8:33 AM EASTERN TIME
PRESS RELEASE
GREKA SELLS NON-CORE CANADIAN ASSETS
NEW YORK--(BUSINESS WIRE)--Aug. 24, 2000--GREKA Energy Corporation
(NASDAQ: GRKA - news), a profitable, vertically-integrated oil and gas producer,
today announced it has closed the sale of its Canadian subsidiary, Beaver Lake
Resources Corporation, resulting in GREKA's disposition of all its non-core oil
and gas assets in Canada.
Mr. Randeep S. Grewal, Chairman, CEO & President, stated, "In favor of
the Canadian assets' disposition, the Company successfully achieved two
objectives. First, the sale allows GREKA to focus on its core assets in
California, Louisiana and China. Secondly, the closing eliminates liabilities
and non-core assets not performing to standards of the Company's core assets
relative to profitability. Over the past year, management evaluated whether the
Canadian oil and gas assets were core or provided an adequate foundation to
expand. This favorable transaction to the Company's balance sheet will be duly
reported in GREKA's third quarter filing. The Company feels that actions such as
this sale continue to support the Company's five consecutive quarters of record
profits."
GREKA is an integrated company focused on exploiting E&P opportunities
and penetrating new niche markets utilizing proprietary technology with emphasis
on short radius horizontal drilling technology patented by BP Amoco (NYSE: BPA -
news). In addition to owning and operating an asphalt refinery in California,
the Company has oil and gas production, exploration and development activities
in North America and the Far East, with primary areas of activity in California,
Louisiana and China.
Safe Harbor for Forward Looking Statements
Except for historical information contained herein, the statements in
this Release are forward-looking statements that are made pursuant to the safe
harbor provision of the Private Securities Litigation Reform Act of 1995.
Forward-looking statements involve known and unknown risks and uncertainties
which may cause the Company's actual results in future periods to differ
materially from results expressed or implied by forward-looking statements.
These risks and uncertainties include, among other things, volatility of oil
prices, product demand, market competition, risks inherent in the Company's
international operations, imprecision of reserve estimates, the availability of
additional oil and gas assets for acquisition on commercially reasonable terms,
and the Company's ability to replace and exploit its existing oil and gas
reserves. These and other risks are described in the Company's Annual Report on
Form 10-K and in the Company's other filings with the Securities and Exchange
Commission.
Contact:
GREKA Energy Corporation
Susan M. Whalen, 212/218-4680
[email protected]
or
Continental Capital & Equity Corp.
Jim Blackman, 407/682-2001
[email protected]
