Indicate by check mark whether the registrant files or will file annual
reports under cover of Form 20-F or Form 40-F.
On June 2, 2026, BlockFuel Energy, Inc., a company
currently 51% owned by Innovation Beverage Group Limited, issued a press release announcing that it expanded its Oklahoma oil and gas
platform through the acquisition of a six-well package and associated infrastructure. A copy of the press release is furnished herewith
as Exhibit 99.1.
Pursuant to the requirements of
the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto
duly authorized.
EXHIBIT 99.1
BlockFuel Energy Expands Oklahoma Oil & Gas
Platform with Acquisition of Six-Well Package and
Associated Infrastructure
Deal Brings Operated Well Count to 61 Across a 55-Square-Mile
Oklahoma Footprint
Multi-Well Vertical Drilling Program Targeting H2
2026
PONCA CITY, Oklahoma., June 2, 2026 —
BlockFuel Energy, Inc. (“BlockFuel” or the “Company”), an independent energy and infrastructure company focused
on conventional energy production and next-generation utility infrastructure development, today announced the acquisition of producing
oil and gas assets and associated infrastructure located in Payne County, Oklahoma. BlockFuel Energy Inc. is currently 51% owned by Innovation
Beverage Group Limited (NASDAQ:IBG), which has announced a proposed merger of the two companies.
The acquisition includes interests across six (6)
operated wells, including four (4) producing horizontal oil wells, one (1) drilled and uncompleted well, and one (1) saltwater disposal
well (“SWD”), production equipment, gathering systems, and utility-related infrastructure positioned to support both conventional
hydrocarbon operations and future energy development initiatives.
Prior to this acquisition, the Company had assembled
a substantial operating position consisting of 55 oil and gas production wells and nine (9) saltwater disposal wells, together with extensive
production infrastructure spanning approximately 55 square miles across Payne, Pawnee and Noble Counties in Oklahoma. The addition of
these new contiguous assets will enhance operational efficiencies, improve field logistics, and support near-term growth in oil and gas
production in the near term.
In conjunction with the acquisition, the Company is
planning an eight-well vertical development drilling program scheduled for the second half of 2026. The proposed wells are expected to
be drilled as step-out locations offsetting existing production, allowing BlockFuel to leverage its existing field infrastructure, gathering
systems, utility connections, tank batteries, and saltwater disposal network.
Management believes the ability to utilize existing
infrastructure will significantly reduce development costs and capital expenditures compared to greenfield development projects, while
accelerating the timeline to first production.
The acquired asset package includes:
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Working interests
in five (5) production wells and one (1) additional Saltwater Disposal Well. |
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Extensive production and
field infrastructure including separators, tank batteries, beam pumps, transformers, SWD facilities, gathering systems, utility systems,
and associated field equipment; and |
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Rights to future renewable
and utility infrastructure development opportunities associated with the acquired assets. |
“We believe the combination of producing wells,
gathering systems, SWD infrastructure, and utility assets creates meaningful opportunities to increase operational efficiency and grow
production while lowering development and operating costs,” said Daniel Lanskey, President and CEO of BlockFuel Energy, Inc. “The
replacement cost of each Saltwater Disposal Well is approximately $1million plus the cost of the gathering system and power grid.”
“Our eight vertical well development program
is designed to capitalize on the extensive infrastructure platform we have assembled. By drilling step-out wells adjacent to existing
production and utilizing current infrastructure, we expect to materially reduce capital costs and improve project economics while supporting
continued production growth,” added Mr. Lanskey.
Management believes the acquisition provides several strategic advantages,
including:
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Expansion of the Company’s operated
production base; |
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Increased contiguous infrastructure control across core
operating areas; |
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Ownership of critical production, utility, and midstream
infrastructure; |
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Additional saltwater disposal capacity supporting long-term
development economics; |
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Reduced capital expenditures through infrastructure reuse; |
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Increased operational efficiencies and lower field-level
operating costs; |
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Opportunities for production optimization and enhanced
recovery initiatives; and |
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Future renewable energy and utility infrastructure development
potential associated with the acquired properties. |
The Company expects the acquired assets to integrate
into its broader energy infrastructure strategy, which includes the optimization of oil and gas production assets alongside the development
of scalable power and utility-related projects should the market support these initiatives in the coming years.
BlockFuel intends to continue evaluating additional
acquisition opportunities that complement its existing asset base and infrastructure platform throughout Oklahoma and other strategic
operating regions.
IBG and BFE continue to work together to close the
merger transaction in the near term.
About Innovation Beverage Group Ltd
Innovation Beverage Group is a developer, manufacturer,
marketer, exporter, and retailer of a growing beverage portfolio of 60 formulations across 13 alcoholic and non-alcoholic brands for which
it owns exclusive manufacturing rights. Focused on premium and super premium brands and market categories where it can disrupt age old
brands, IBG’s brands include Australian Bitters, BITTERTALES, Drummerboy Spirits, Twisted Shaker, and more. IBG’s most successful
brand to date is Australian Bitters, which is a well-established and favored bitters brand in Australia. Established in 2018, IBG’s
headquarters, manufacturing and flavor innovation center are located in Sydney, Australia with a U.S. sales office located in California.
For more information visit: https://www.innovationbev.com.
Readers are cautioned not to place undue reliance
on these forward-looking statements. Neither IBG nor BFE undertakes any obligation to update such statements except as required by law.
About BlockFuel Energy
BlockFuel Energy is involved in the acquisition, exploration
and development of proven oil fields onshore in the mid-continent of the USA. The company holds producing acreage in Oklahoma over a 55
square mile footprint with existing producing horizontal oil and gas wells, temporarily shut in horizontal wells and a substantial vertical
well development drilling inventory. The acreage is supported by extensive infrastructure including oil storage facilities, extensive
gas gathering systems and sales points, along with power grid and ten (10) Salt Water Disposal wells. For more information visit: https://blockfuelenergy.com
.
Forward Looking Statement
This press release contains “forward-looking
statements” within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. These statements include, but are not
limited to, statements regarding the proposed merger between IBG and BlockFuel Energy, anticipated operational milestones, expected production
levels, anticipated oil and gas sales, planned financing activities, expected economic benefits of such activities, and the proposed acquisition
of additional oil field assets.
Forward-looking statements are typically identified
by words such as “expects,” “anticipates,” “plans,” “projects,” “intends,”
“believes,” “may,” “will,” “could,” “should,” or similar expressions. These
statements are based on current expectations and assumptions and involve risks and uncertainties that could cause actual results to differ
materially from those expressed or implied. These risks include, among others, the ability of the parties to execute definitive transaction
documents, satisfy closing conditions, obtain regulatory and stockholder approvals, commodity price volatility, operational risks, financing
risks, and other risks described in IBG’s filings with the U.S. Securities and Exchange Commission.
Readers are cautioned not to place undue reliance
on these forward-looking statements. Neither IBG nor BFE undertakes any obligation to update such statements except as required by law.
Contact:
Innovation Beverage Group Limited
Sahil Beri
CEO sahil@innovationbev.com
www.innovationbev.com
BlockFuel Energy Inc.
Daniel Lanskey
President and CEO
dan.lanskey@blockfuelenergy.com
www.blockfuelenergy.com
Investor Relations:
KCSA Strategic Communications
Phil Carlson, Managing Director
BlockFuel@KCSA.com
