SOURCE: North-West Oil Group

December 07, 2007 06:59 ET

President of NWOG Inc. Answers Shareholders' Questions

MOSCOW--(Marketwire - December 7, 2007) - North-West Oil Group Inc. (PINKSHEETS: NWOL) announced today Mr. Malyshev's answers to the questions of shareholders.

Company's assets.

The Company has assets in Saratov region: Shalinsky license field; Goryuchinskoye, Stepnovskoye, Severo-Vasnetsovskoye and Kalininskoye fields

Reserves.

Current reserves (C1):
Total: around 8 mln. Tons.
4 fields in Saratov region -- 3 mln. Tons
Shalinsky field -- around 5 mln. Tons

How many actual (not contracted) employees does North West Oil Group Inc. have as of today?

170

Audit.

Audit of the company will be completed in the nearest time. The shareholders will be informed by a relevant news release.

Shares buy-back program.

The Company is proceeding with the buy-back, but in smaller volumes than was originally declared.

Production.

120 000 tons

Profit:

-- Summarizing the results of 9 months, net profit amounted to $ 4 372 700.00

-- Anticipated profit for 12 months will amount to $ 6 300 000.00, which is 13.24% bigger than in the analogical period last year.

What should be the actual price of the share based on the latest balance?

$9.2

Uplisting / alternative stock exchanges.

As soon as the audit is done, the Company will proceed with entering alternative stock exchanges in different countries, including uplisting in the USA.

Acquisition of OAO NK "SaratovNefteGeoFizika."

The purchase price is $60 mln. Negotiations with an English bank were held and a relevant financing structure was elaborated. In accordance with it the bank is prepared to provide $50 mln. $10 mln. the company shall issue in stock on account of prospective increase in share price. So far the reaction of the seller has not been received.

Acquisition of Danziger Vodka.

The Company requested the audited report on Danziger. So far the latter has not been provided on the part of Danziger.

Oil terminal in Latvia

Valuation is not completed yet.

Refinery in Jordan

The Company applied for participating in the tender. The latter has yet not been appointed.

Status of drilling.

Presently two potentially commercial wells are being drilled in Saratov region. It is planned to finish drilling by the end of the year.

Status of the project "The investment project on carrying out of prospecting works and extraction of hydrocarbonic raw material in Privolzhski federal region." The date of the project preparation was April 2006.

The project is in work in accordance with the approved program. Investments continue to be made.

Assuming the company is awarded the contract for building a refinery in Syria. How do you expect to finance the cost of construction which has been quoted at over one billion dollars?

For now we have already held negotiations with the banks that are interested in investing in this project.

Compensation of shareholders' losses.

The details of the compensation program will be further disclosed in news releases.

Reasons for doing the reverse split.

The reverse split was aimed at decreasing the amount of shares held by speculators.

Reasons for decrease in share price.

Speculation. The management of the company urges honest shareholders not to take their lead from the speculators. We can put an end to speculation only if honest shareholders support the company.

Do you consider buying other companies with shares or loans?

Yes

Is long-term strategy still to buy smaller Russian companies?

Yes

Can you give us an unaudited report of profits for the first three quarters of 2007?

No, because speculators can abuse this information.

Are you also taking shares away from the enemies of NWOL through a lawsuit?

The company plans to start this after the audit is completed.

Why does the management think adding shares will compensate those of the shareholders who have stayed with the Company from before the merger till present when those added shares will simply decrease the value of all outstanding shares proportionately?

Decrease in share price resulting from the issuance of additional shares to cover the losses of the shareholders at the time of the merger can happen only at the initial stage. The audit, the results of which will be received in the nearest time, will contribute to the affirmation of the real value of the company and, consequently, will contribute to the increase in share price. Thus, the compensated shareholders will be able to substantially cover their losses by way of selling the shares at a higher price.

What objectives does the company set with regard to production and drilling in 2008?

In 2008 it is planned to increase production by 60 000 tons. This objective will be reached by drilling 5 additional wells.

Where the company sees itself in five years

In five years the management sees NWOG Inc. as a steadily developing company, competing in the Russian and in the world markets, listed in the biggest stock exchanges of the world, acting as operator of considerable projects in the oil sector, expanding its oil assets, proceeding with constant work towards increasing the share price.

About North West Oil Group Inc. (formerly Nord Oil International): North West Oil Group is Inc. a publicly traded Oil & Gas company trading under the ticker symbol NWOL.PK on the U.S. Pinksheets market.

Forward-Looking Statements

All statements in this news release that are other than statements of historical facts are forward-looking statements, which contain our current expectations about our future results. Forward-looking statements involve numerous risks and uncertainties. We have attempted to identify any forward-looking statements by using words such as "anticipates," "believes," "could," "expects," "intends," "may," "should" and other similar expressions. Although we believe that the expectations reflected in all of our forward-looking statements are reasonable, we can give no assurance that such expectations will prove to be correct.

A number of factors may affect our future results and may cause those results to differ materially from those indicated in any forward-looking statements made by us or on our behalf. Such factors include our limited operating history; our need for significant capital to finance internal growth as well as strategic acquisitions; our ability to attract and retain key employees and strategic partners; our ability to achieve and maintain profitability; fluctuations in the trading price and volume of our stock; competition from other providers of similar products and services; and other unanticipated future events and conditions.

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