Black Dragon Terminates Negotiations for Oil Acquisition; Corporate Restructure in Development.

TEMPLE, Texas -- Black Dragon Resources (OTC:BDRJ) announced today that negotiations for the purchase of the Denton Oil Field have ceased. With the failed acquisition of the Denton Oil Field, the negotiations for the major oil services company have stalled and are not likely to be completed.

Management stated that the acquisition of the 30-acre water plant with a 40,000-square-foot warehouse has been finalized. In addition, the funding from a private placement for the expansion of the plants holding capacity has been completed. The company is set to enter into preliminary negotiations with a nearby community in developing a seven-mile water line in order to service their water requirements.

Black Dragon Resources further announced that management has been in discussions regarding corporate restructuring which include capital requirements, reverse stock splits and business opportunities. The corporate restructure and future developments will be presented at the next shareholders meeting. Furthermore, an un-audited nine-month financial statement will be forthcoming at which time the company will release the date for the next shareholders meeting.

Disclosure: With the release of the un-Statements about the company's future expectations, including future revenues and earnings, and all other statements in this news release other than historical facts are "forward-looking statements." Since these statements involve risks and uncertainties and are subject to change at any time, the company's actual results may differ materially from the company's plans if its assumptions prove to be incorrect, or, for a variety of other reasons. Black Dragon Resources is not a reporting company registered under the Securities Act of 1934. Shares of its stock trade under the symbol BDRJ.