Lord Global Corporation (OTCMKTS:LRDG), which is focused on products and businesses that will emerge due to the coronavirus (COVID-19) pandemic, announced a potential tie-up with Innovative Regulatory Risk Advisors LLC on a fuel contract, which would generate revenue of C$50 million a week.
Lord Global, soon to become 27Health Inc, recently inked an agreement with joint venture partner JA Lafayette to partner with Innovative Regulatory Risk Advisors LLC to sell products to the US federal government without a competitive bid.
Innovative Regulatory Risk Advisors LLC is now in the final stages of signing a major fuel supply agreement covering all 50 US states, which should close within the month of August, Lord Global revealed in a statement.
Lord Global believes the market opportunity for fuel distribution using this model is a multi billion-dollar revenue opportunity.
"We have been searching for a black owned licensed fuel distributor in all 50 states for a significant time," said Brian Robinson, CEO of Innovative Regulatory Risk Advisors.
"Having concluded our recent joint venture agreement, we are now among one of the few black owned fuel distributors in all 50 states as well.
"We are extremely excited to partner with Lord Global to achieve our goals. We believe the opportunities of selling all types of grades of oil, gasoline and jet fuel as a minority owned company to corporations, municipalities, and the federal government underneath the 8(a) program is a phenomenal business opportunity. This could result in hundreds of millions if not billions of dollars of revenue to the combined parties."
Meanwhile, Joseph Frontiere, CEO of Lord Global Corporation, added: "The company’s concentration is on marketing products that benefit from the structural changes due to the pandemic and our focus on independent contractors, GIG-economy workers and small businesses.
"A significant subset of this group is the black owned business community, which is in excess of over two million businesses. The deal with Innovative Regulatory Risk Advisors LLC is a prime example of how we intend to help support such businesses. The revenue from the initial fuel contract from our partnership will represent a revenue flow of over $50 million per week with a significant operating margin to the company.
"We believe we can enhance the revenue tremendously by bringing multiple suppliers and buyers to the table, especially in the energy and its derivatives sector. The Company believes this contract will be the first of many to come."
Contact Giles at [email protected]