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EXHIBIT 99.1
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NEWS RELEASE
January 20, 1999
[INLAND LOGO]
410 17th Street, Suite 700
Denver, CO 80202
(303) 893-0102
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INLAND RESOURCES ENTERS INTO LETTER OF INTENT TO ACQUIRE CERTAIN
ASSETS OF FLYING J
DENVER, CO - Inland Resources Inc. (NASDAQ Small Cap - INLN) announced today
that it has entered into a non-binding letter of intent to purchase certain
assets owned by Flying J Inc. The acquisition includes a 25,000 barrel per day
refinery located in North Salt Lake City, 11 Flying J gasoline stations located
primarily in the Salt Lake City area and Idaho, and all oil and gas reserves
owned by Flying J in the Uintah Basin of Northeastern Utah. The combination of
these assets with Inland's production of black wax crude oil in the Monument
Butte field of Northeastern Utah will result in a vertically integrated oil
company with production, refining, transportation and marketing assets dedicated
to serving the Salt Lake City market. The parties believe that significant
synergies are possible. The purchase price is $80 million in cash plus the
issuance of approximately 12.8 million equivalent shares of Inland common stock
(approximately 60% of the pro forma shares outstanding), subject to adjustment
under certain conditions. The purchase is contingent on preparation of
definitive documents, financing, due diligence procedures and approval by
regulatory agencies, Inland's lenders, the Board of Directors of each company
and the shareholders of Inland. The transaction is expected to close during the
second quarter of 1999.
For Investor information contact:
Inland Resources, Inc., 410 17th St., Suite 700, Denver, CO 80202
303/893-0102 fax 303/893-0103