8-K

UNITED STATES

SECURITIES and EXCHANGE COMMISSION

     WASHINGTON, D.C. 20549

      FORM 8-K

     Current Report Pursuant to Section 13 or 15(d) of the
     Securities Exchange Act of 1934

     Date of Report (Date of Earliest Event Reported):

     July 2, 2008

     Tengasco, Inc.
     (Exact Name of Registrant as specified in its charter)

     Commission File Number 1-15555

Tennessee                          87-0267438
(State or other jurisdiction of (I.R.S. Employer Identification No.)
incorporation or organization)               
 
 

     10215 Technology Drive N.W., Suite 301, Knoxville, Tennessee 37932
     (Address of Principal Executive Office

     (865) 675-1554

     (Registrant's Telephone number)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
 
 

Item 2.01 Completion of Acquisition or Disposition of Assets
 

On July 2, 2008, the Company closed its agreement with Black Diamond Oil, Inc. to purchase from Black Diamond approximately 80 barrels per day of oil producing properties and related leases and equipment in Rooks County, Kansas for $5.35 million effective with gas production beginning June 1, 2008. The assets purchased by the Company include producing oil wells and saltwater disposal wells, equipment, and the underlying working interests in leases comprising what is known as the Riffe field that had been owned and operated by Black Diamond for many years. The purchase price for these assets was paid for by the Company primarily from borrowings in the amount of approximately $5.35 under its credit facility with Sovereign Bank and the use of cash flow from operations.

Item 9.01 Financial Statements and Exhibits
 

(a) FINANCIAL STATEMENTS OF BUSINESSES ACQUIRED
 
The financial statements required by this Item will be filed by amendment
not later than 71 calendar days after the date that a Report on Form 8-K announcing the closing of the agreement referred to in Item 1.01 was due to be filed.
 
(b) PRO FORMA FINANCIAL INFORMATION
 
The financial statements required by this Item will be filed by amendment
not later than 71 calendar days after the date that a Report on Form 8-K announcing the closing of the agreement referred to in Item 1.01 was due to be filed.

The following exhibits are filed herewith:
 
99.1 press release dated July 2, 2008

     SIGNATURES

     Pursuant to the requirements of the Securities and Exchange Act of 1934, the Registrant has duly caused and authorized this report to be signed on its behalf by the undersigned.
 
Dated: July 2, 2008                    
                                   Tengasco, Inc.
 
 
                                   By: s/Jeffrey R. Bailey

                                    Jeffrey R. Bailey,
                                    Chief Executive Officer
 
 
                         

EX-99

Tengasco Announces of Closing of Kansas Oil Purchase from Black Diamond Oil

KNOXVILLE, Tenn., July 2, 2008 -- Tengasco, Inc. (AMEX: TGC) today closed the previously announced purchase by the Company from Black Diamond Oil, Inc. of an expected 80 barrels per day of oil producing properties and related leases and equipment in Rooks County, Kansas for $5.35 million effective as of July 1, 2008. The Company has acquired producing oil wells and saltwater disposal wells, equipment, and the underlying working interests in leases comprising what is known as the Riffe field that had been owned by Black Diamond for many years. The purchase price was paid primarily from borrowings under its credit facility with Sovereign Bank and from company cash on hand. Following the purchase, the Company has borrowed a total of $10.0 million under the facility.

"We are pleased to complete our acquisition of Black Diamond’s Riffe field properties effective with July 2008 production which fit well with our existing Kansas operations. This purchase is expected to increase our daily production of crude oil by about eighty barrels to a daily total of about 680 barrels” said Jeffrey R. Bailey, CEO of Tengasco.

Forward-looking statements made in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that all forward-looking statements involve risk and uncertainties which may cause actual results to differ from anticipated results, including risks associated with the timing and development of the Company's reserves and projects as well as risks of downturns in economic conditions generally, and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission.
 
Contact:

Tengasco, Inc.

Jeffrey R. Bailey CEO, 865-675-1554