via CAAI News Media
January 26, 2010
Terra Energy & Resource Technologies, Inc. (OTCBB: TEGR), a natural resources exploration services technology company, announces that the Company has signed a phase two contract for gold and ruby exploration in Cambodia, increasing its royalty rights in the overall project.
The exploration services contract engages Terra in its proprietary satellite-based STeP® analysis of gold and ruby mineralization in Cambodia, which is the second phase contracting of exploration after it successfully completed the first phase of the project. As requested by the client, in addition to STeP®, Terra is to perform other traditional geological and management services, in order to further define and locate resources after presenting the client with good indications of mineral prospectivity and priority zones as a result of Terra's phase one survey.
Terra previously signed a working agreement with the Millennium International Group, which serves as a frame work of the relationship between the companies and outlines the pricing, royalty as well as co-investment rights, among other provisions, Terra Energy & Resource Technologies obtains as consideration for its services.
In connection with the phase two contract, Terra has an increased royalty interest in the acreage and co-investment rights contingent upon the advancement of the exploration license in Cambodia.
"We have had several service contracts with the Millennium International Group over the past six months. This relationship is dear to us, and we are encouraged that this client is also our market partner in Asia," said Dmitry Vilbaum, Chief Executive Officer of Terra Energy & Resource Technologies.
"The synergy is in Terra performing the services for cash, royalty, and non-promoted co-investment rights, effectively creating a joint venture with the client," said Dr. Alexandre Agaian, Terra Energy & Resource Technologies' President. "Terra is encouraged and incentivized to perform its innovative technology work and help our JV shorten the exploration cycle and expense to a minimum, so that Terra can start receiving the royalty cash flow and potentially co-invest on the same terms as the Millennium International Group."
About Terra Energy & Resource Technologies, Inc.
Terra Energy & Resource Technologies, Inc., through its subsidiary Terra Insight Services, Inc., provides mapping and analysis services for exploration, drilling, and mining companies related to natural resources found beneath the surface of the Earth. The Company uses a suite of innovative and efficient technologies, which facilitate the prediction and location of commercially viable deposits of hydrocarbons, gold, diamonds, and other natural resources, and assesses them for any given geographic area -- on or offshore. For more information, visit http://www.terrainsight.com.
Safe Harbor for Forward-looking Statements
This press release may contain forward-looking information within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and is subject to the safe harbor created by those sections. There are many factors that could cause the Company's expectations and beliefs about its operations, its plans to acquire interests in exploration properties or technologies, plans to drill or drilling results to fail to materialize, including, but not limited to: competition for new acquisitions; availability of capital; unfavorable geologic conditions; prevailing prices for oil, natural gas and other natural resources; and general regional economic conditions.
For More Information, Please Contact:
Terra Energy & Resource Technologies, Inc.
212-286-9197
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