Black Dragon Resource Companies, Inc. Reports Strong Operating Income for July and August 2005.

AUSTIN, Texas -- Third paragraph, last sentence of release should read: Third quarter gross revenue is projected at $735,000.00, comparable to $471,171.02 for the first six months of 2005 (sted Third quarter net revenue is projected at $735,000.00, comparable to $471,171.02 for the first six months of 2005).

The corrected release reads:

BLACK DRAGON RESOURCE COMPANIES, INC. REPORTS STRONG OPERATING INCOME FOR JULY AND AUGUST 2005

Black Dragon Resource Companies, Inc., (Pink Sheets:BDGR) announced today that the operating income for July and August combined was greater compared to the first six months of 2005.

For the two months ending August 30, 2005, gross revenue was $414,923.21 with a net revenue figure of approximately $317,000.00. In comparison to the first six months of 2005, gross revenue was $471,171.02 with net revenue of $274,205.00.

Rick Michael, President, said, "For September 2005, we are projecting our oil and gas gross revenue to be approximately $320,000.00. If we meet our projection, our September performance will be higher than the first two months in the third quarter. Third quarter gross revenue is projected at $735,000.00, comparable to $471,171.02 for the first six months of 2005."

Black Dragon Resource Companies has projected their 2005 annual gross revenue to be approximately $5,000,000.00 based on the success of their drilling and acquisition initiatives.

About Black Dragon Resource Companies, Inc.

Black Dragon is focused on the recovery of oil and gas reserves through acquisition and project development, specializing in mature and marginal field enhancement, developmental exploitation drilling and low-risk exploration opportunities in the Texas and Louisiana regions.

Forward-Looking Statements 

Certain information discussed in this press release may constitute forward-looking statements within the Private Securities Litigation Reform Act of 1995 and the federal securities laws. Although the Company believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions at the time made, it can give no assurance that its expectations will be achieved. Readers are cautioned not to place undue reliance on these forward-looking statements. Forward-looking statements are inherently subject to unpredictable and unanticipated risks, trends and uncertainties such as the Company's inability to accurately forecast its operating results; the Company's potential inability to achieve profitability or generate positive cash flow; the availability of financing; and other risks associated with the Company's business. The Company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.