Derek Oil & Gas Corporation

Derek Oil & Gas Corporation

November 10, 2006 12:14 ET

Derek Oil & Gas Corporation Clarifies Commitment to Thirteen Well Drill Program on LAK Ranch

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Nov. 10, 2006) - Derek Oil & Gas Corporation ("Derek") (TSX VENTURE:DRK) would like to clarify that the fifty percent share (forty percent after payback) of the net revenue due to SEC Oil and Gas Partnership ("SEC") referenced in the news release dated November 8th 2006 relates only to the thirteen wells to be drilled (9 production wells and 4 injection wells). While SEC has a 5% working interest in the overall LAK Ranch Property, SEC will only be entitled to the fifty percent net revenue interest (forty percent after payback) in respect of the thirteen producer/injector wells to be drilled in 2007.

Derek has begun the permitting process toward drilling the thirteen producer/injector wells in the first quarter of 2007.

Derek Oil & Gas Corporation is a Canadian based, publicly traded oil exploration, development and production company that utilizes enhanced oil recovery (EOR) techniques to develop new production from reservoirs in North America. Derek's current focus is on the further development and increasing production from their prime property located in NE Wyoming's Powder River Basin.

Derek Oil & Gas Corporation is trading in Canada on the TSX Venture Exchange with the symbol DRK.


Mr. Barry C.J. Ehrl, President and C.E.O.

This document includes forward- looking statements. Forward-looking statements include, but are not limited to, the continued advancement of Derek Oil and Gas's LAK Ranch project. When used in this document, the words "potential", "plan", "could", "estimate", "expect", "intend", "may", "should", and similar expressions are intended to be among the statements that identify forward-looking statements. Although Derek believes that their expectations reflected in these forward-looking statements are reasonable, such statements involve risks and uncertainties and no assurance can be given that actual results will be consistent with these forward-looking statements. Important factors that could cause actual results to differ from these forward-looking statements include the potential that Derek's LAK Ranch project will experience technological and mechanical problems, geological conditions in the reservoir may not result in commercial levels of oil and gas production, and other risks.

The TSX Venture Exchange has neither approved nor disapproved the information contained herein.

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