Message #10 From:
NewsBot Date: September 18, 2005 11:01:00 AM
DIGG News Digital Gas to Sell Green Harbour Aggregate and Other Subsidiaries to Maximize Shareholder Value by Year-End 2005
NEW YORK--(BUSINESS WIRE)--Sept. 18, 2005--Digital Gas, Inc. (OTCPink Sheets: DIGG) announced today that it and Nova Stone Exporters, Inc. signed an agreement on September 16th wherein both parties agree to sell Green Harbour Energy & Farming. Both companies agree that the common shares of companies in the aggregate sector are at an all time high and that this is the best time to act to benefit their respective shareholders. Digital Gas, a 75% owner of Green Harbour, is handling the sale.
Until a sale occurs, Green Harbour will continue to be developed and the quarries will commence filling purchase orders from Florida and the Katrina-damaged Gulf coast. The granite quarries in Nova Scotia contain in excess of 500 million tons of high quality sized and crushed granite, armor stone and rip-rap, all in current high demand. To expand its current product line, Green Harbour is in final negotiations with a foreign cement manufacturer to secure a long-term source of cement. The cement manufacturer is in need of sized and crushed stone that Green Harbour can provide.
To maximize its present options and accelerate near-term shareholder value, Green Harbour is currently negotiating with several investment advisors and banks to be brought public on a senior exchange and be financed for its dramatic expansion capabilities. To complement this, it is also negotiating with several international and domestic aggregate companies interested in securing granite on a long-term basis for their cement and asphalt operations and for resale to third parties. The time is right for the above as the current demand for aggregate is quite strong. However, management is confident that Green Harbour can position itself to benefit significantly additionally from the anticipated enormous demand for aggregate to restore hurricane Katrina-ravaged areas. Based on current market prices, cost factors and anticipated profit margins, this quarry business is capable of yielding over two billion (US$2 Billion) in future net income for Green Harbour. However, to assist local communities, representatives will offer price protected deals in exchange for firm long term contracts where possible.
To further maximize shareholder value by year-end 2005, Digital Gas is negotiating with investment advisors and banks to also sell one or more of its other subsidiaries for cash and securities in publicly traded companies. The management of Digital Gas has decided to distribute 90% of the cash and 100% of the securities it receives in these transactions as special cash and stock, or bond, dividends.
In another announcement, Digital Gas has been contacted by a Hong Kong based merchant bank interested in providing sources for significant investment in both Digital Sofcell and Digital Energy & Farming Asia. Digital Gas has granted the merchant bank permission to form on its behalf two Asian domiciled subsidiaries named Digital Sofcell Asia, Inc. and Digital Energy & Farming Asia, Inc. These newly formed subsidiaries will directly receive the funds to be raised which will significantly accelerate fuel cell development by its partners and the opening of new energy & farming plants throughout Asia. Next week, Austin Marshall, Director of both companies, will travel to Ho Chi Minh City regarding the waste-to-energy plant in Vietnam and to Shanghai to make final arrangements for six waste-to-energy plants in mainland China. Digital Energy & Farming Asia will also use its funds to finalize arrangements for two waste-to-energy plants on Taiwan.
Other aggregate suppliers are experiencing and anticipate further increased business, net income surges and/or record common share prices, including: Vulcan Materials Company (NYSE: VMC); Martin Marietta Materials, Inc. (NYSE: MLM); Rinker Materials Corporation (NYSE: RIN); Lafarge North America Inc. (NYSE: LAF); CEMEX, S.A. de C.V. (NYSE: CX); Florida Rock Industries, Inc. (NYSE: FRK); MDU Resources Group, Inc. (NYSE: MDU); Aggregate Industries plc (London: AGG), Hanson Building Materials North America, Inc.; Oldcastle, Inc.; and Rogers Group, Inc. as well as other junior companies.
For further information: call Brian Smith (732) 927-4073 or email energei@optonline.net
