UBRG_chart.pngTraders of Universal Bioenergy, Inc. (PINK:UBRG) could be looking forward to even more extensive price rallies as the company announced its subsidiary to record sales of over $31 million for the nine months period ending September 30, 2010.

With the considerable revenues, NDR Energy Group LLC has demonstrated a significant base of clients. However, the report says nothing about profitability. Universal is late with its 10Q report for the three months ended September 30, 2010.

Previous income statements depicted huge costs of sales eating away any possible profits. The company plans to reach $50 million in sales for 2011, but obviously additional capital to cover the losses from operations will be required.

The stock price had also been influenced by an agreement with ProGas Energy Services, Inc. that the company announced on Thursday. The breakout has breached all the resistances for the year, except for the one at $1. Further appreciation would be a strong buy signal supported, by the two recent business updates.[BANNER]

UBRG_logo.jpgUnder the new joint venture agreement, the companies will be developing a new oil and gas field in Texas Gulf Coast natural trend. Current plans provide for the development of up to 110 wells, three of them have already been drilled and are producing.

Universal Bioenergy’s press release stated the wells in production should already directly provide a profit for the company. According to the reports, the field holds up to 20 million barrels of oil and 17 billion cubic feet of gas.

The announcements didn’t provide the revenue split ration between the businesses, but apparently Universal will be marketing the gas production for their partners as well.