SOURCE: USA Superior Energy Holdings

January 15, 2008 07:30 ET

USA Superior Energy Holdings, Inc. Plans Drilling Program for 333 Acre Lease in Zavalla County, Texas

HOUSTON, TX--(Marketwire - January 15, 2008) - USA Superior Energy Holdings, Inc. (OTCBB: USSU) (FRANKFURT: F2S) has renegotiated the 333 acre "Rust Lease," in Zavalla County, Texas and expects to begin drilling wells with 20 acre to 40 acre spacing this year. The depth of the drilling at the desired pay zone is 3,500 to 4,000 feet keeping in line with the company's focus on shallow wells.

International demand for oil is expected to continue rising as emerging markets develop their economies across the globe. This growth, coupled with a dwindling supply of traditional recoverable oil sources, is expected to continue driving oil prices to historic high levels through 2008 and beyond. Higher margins in the oil recovery business have now made it possible to apply USA Superior Energy Holdings, Inc.'s cased hole horizontal drilling and nitrogen generation technology to many existing properties.

Much of the composition of the field at the Rust Lease is volcanic lava which is pushed up into the overlying beds as serpentine plugs. This causes structural traps for oil and gas in the sediment above. The volcanic serpentine plugs have a unique magnetic signature from the iron within the lava. This signature can be identified from the air with sensitive magnetometers flown from an airplane.

In analyzing the lease, gas samples are extracted from 30 inches underground in a grid pattern every 300 feet. The gas is analyzed using a gas chromatagraph capable of reading individual gas components. Each sample station's value is mapped for each individual gas component to determine the area of leaking hydrocarbons. Positive results should show large values and a clustering of large values within a definable area. John Sandy, the chief geologist of Geochemical Exploration Services Inc., said, "These are very strong values and some of the strongest seen in 100+ surveys we have done in the Zavalla County area over the past 15 years. The readings indicate a strong probability of gas and condensate."


USA Superior Energy Holdings, Inc. is a company with excellent potential focusing on applying new technologies to oil and gas fields as well as other industries. USA Superior is composed of a team of experts in their field, highly qualified with over 200 man-years of oil and gas field experience; from finding to drilling, well completion to operations and production, to problem solving, seasoned with success. Environmentally concerned and responsible, responsive to project needs and specializing in special projects, USA Superior Energy's focus has been on developing and utilizing complimentary technologies; Nitrogen (N2) and cased hole horizontal drilling. USA Superior will seek to use these technologies independently or in combination to exploit business opportunities.

Nitrogen (N2) is used to force oil out of reservoirs. It can be applied to existing reservoirs and wellbores, thus minimizing the risk of finding oil and gas. Cased Hole Horizontal Drilling (CHHD) is a new emerging technology that can significantly increase the "communication" from the wellbore to the fluids in the reservoir. With the current price environment, many existing marginal wells can be rejuvenated into very profitable wells. The corporate website is

This news release contains "forward-looking statements," as that term is defined in Section 27A of the United States Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Statements in this press release which are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. Actual results could differ from those projected in any forward-looking statements due to numerous factors. These forward-looking statements are made as of the date of this news release, and the company assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although we believe that the beliefs, plans, expectations and intentions contained in this press release are reasonable, there can be no assurance that such beliefs, plans, expectations or intentions will prove to be accurate. Investors should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in our recent current reports on Form 8-K, our annual report on Form 10-KSB, our quarterly reports on Form 10-QSB and other periodic and current reports filed from time-to-time with the Securities and Exchange Commission.

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