(3rd May, 2011)
TULSA, Okla., May 3, 2011 /PRNewswire via COMTEX/ — CAVU Resources, Inc. (”CAVU”), which trades as , announces the recent sale of non performing assets and cancelation of its equipment lease, reducing CAVU’s debt by $1.1 million dollars.
CAVU agreed to lease certain oilfield production equipment in 2009. This was in addition to the operating equipment already owned by the company. The equipment associated with the lease was not being utilized and did not have the technology CAVU requires to efficiently complete the current $5 million dollar drilling and production contract in Nowata County. CAVU and the leasing company agreed to sell all of the non performing equipment and reduce the $1.43 million liability by $1.1 million.
CAVU plans to joint venture with a regional operating company utilizing both CAVU’s and operating company’s current inventory of equipment as well as implementing new drilling and geological discovery technology to locate and drill the contract wells. This will allow for more efficient operations with a greater chance of success of finding oil and gas.
“CAVU has been primary focused on improving the company balance sheet, increasing the asset value, improving the cash flow and reducing operating expenses. With our focus on debt reduction, increased production and third party contracts, we continue on our goal to be profitable and debt free in 2011,” stated William Robinson, President of CAVU Resources, Inc.
About CAVU Resources, Inc.
During World War II, Navy fighter pilots would look up at the sky and if it was a “CAVU” day then it meant ceiling and visibility unlimited. The pilots believed they would have unobstructed flying allowing them to see their targets quicker, identify the obstacles they needed to overcome, giving them a greater chance of success. The founders of CAVU Resources, Inc., chose the name CAVU because they believe that the company will be the embodiment of its name.
CAVU was formed with the goal of becoming a recognized regional player in the independent oil and natural gas industry by growing the company’s oil and natural gas reserves. CAVU is a natural resource company engaged in the acquisition, exploration and development of oil and natural gas properties. The Company operates in the upstream segment of the oil and gas industry with planned activities including the drilling, completion and operation of oil and gas wells in Oklahoma, Kansas, Colorado, Montana and Texas. The Company also owns two pipelines in its area of operations, which will be used for gathering its gas and oil and the gas and oil production of other producers. The Company has acquired leases and is currently exploring additional opportunities in oil, gas and helium leases. The company has acquired significant oil and gas equipment including rigs, trucks and completion equipment.
CAVU’s 100% owned subsidiaries, CAVU Energy Services, LLC provides contract drilling, fracture stimulation and directional drilling services to oil, natural gas exploration and production companies. EnviroTek Fuel Systems, Inc., provides natural gas delivery and marketing thru its own pipelines and FILO quip Resources, LLC a licensed Oil and Gas Operating Company manages the company’s properties and targeted leases in Oklahoma, Colorado and Montana. CAVU plans to expand operations not only in the traditional Oil and Gas business, but also to invest in Geo-Thermal, Wind, taking advantage of the changing environment and in the world’s need for new, green and innovative resources. More information is available at the company’s website at http://www.cavu-resources.com .
Cautionary note: This report contains forward-looking statements, particularly those regarding cash flow, capital expenditures and investment plans. Resource estimates, unless specifically noted, are considered speculative. By their nature, forward-looking statements involve risk and uncertainties because they relate to events and depend on factors that will or may occur in the future. Actual results may vary depending upon exploration activities, industry production, commodity demand and pricing, currency exchange rates, and, but not limited to, general economic factors. Cautionary Note to U.S. investors: The U.S. Securities and Exchange Commission specifically prohibits the use of certain terms, such as “reserves” unless such figures are based upon actual production or formation tests and can be shown to be economically and legally producible under existing economic and operating conditions.
CAVU Resources, Inc.email@example.comCAVR.PK5147 South Harvard Ave,Suite 138Tulsa, OK 74135Tel: 504-722-7402Fax: 918-782-0776
SOURCE CAVU Resources, Inc.