Stetson Oil & Gas Ltd.
TSX VENTURE : SSN

Stetson Oil & Gas Ltd.

October 15, 2009 21:40 ET

Stetson Reports Results on First Bakken Well in North Dakota

CALGARY, ALBERTA--(Marketwire - Oct. 15, 2009) - STETSON OIL & GAS LTD. (TSX VENTURE:SSN) ("Stetson" or the "Company") today announced that it has completed the initial flow back test from the well Stetson MHA 1-11H-148-90. A mechanically successful eleven stage fracture stimulation was performed on the horizontal wellbore utilizing approximately 34,000 barrels of load water. The well began flow-back on October 5 and has flowed for ten days through production testing facilities. Recovery to date has been 9,600 barrels of load water. No oil or gas has been recovered during this test. Stetson and its partner Red Willow Great Plains LLC believe that it is unlikely the middle Bakken zone will produce economic oil in this well and the operation has now been suspended.

The Stetson MHA 1-11H-148-90 well was initially drilled vertically and well logs were run to evaluate the Bakken and Three Forks intervals. The middle Bakken zone was encountered at an expected structural elevation and measured 32 feet thick. Bottomhole temperature readings indicated that the Bakken shales were thermally mature. It is believed that insufficient primary permeability has prevented oil from being trapped in the middle Bakken at this location. Encouraging oil and gas shows were encountered in the Bakken shales and in other zones during the drilling of the vertical pilot hole and the build section of the well. Stetson and Red Willow will now proceed to re-complete and test other zones based on oil and gas shows and will report on these operations as results are obtained.

Stetson and Red Willow continue to believe that their landholdings are situated within the Bakken oil system. Stetson President Bill Ward stated "valuable information has been gained from the drilling of our first well and we are optimistic that further technical work, including acquisition of seismic data, will result in further drilling on our lands".

Stetson is an emerging junior oil and gas company with exploration, development, and production programs in Saskatchewan and Alberta, Canada and North Dakota, USA.

Bill Ward, President & CEO

Cautionary Note Regarding Forward-Looking Information: This press release contains "forward-looking information", within the meaning of applicable Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to the prospectivity of the well; future plans for the well and the leased area; the timeline, plan and effectiveness of the proposed drilling program; receipt of regulatory approval; benefits of the programs; reserve estimates; estimates regarding future production; and the future financial and operating performance of Stetson and its projects. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, political and social risks and uncertainties; risks relating to oil and gas exploration and exploitation activities and oil and gas prices. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

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