SOURCE: First Petroleum & Pipeline Inc.

October 27, 2005 16:01 ET

First Petroleum Secures Federal Lease in the Permian Basin of New Mexico

NEW YORK, NY -- (MARKET WIRE) -- October 27, 2005 -- First Petroleum & Pipeline Inc. (OTC: FPPL) has secured the rights to a Federal Oil & Gas Lease located in New Mexico's Permian Basin. The lease is located in the upper half of the Permian Basin in Roosevelt County, near the Texas State line.

The Permian Basin is a strategic target area for First Petroleum. This region produces nearly 4 billion cubic feet of natural gas and 1 million barrels of oil a day amounting to 20 percent of the annual U.S. crude oil; this is a proven oil & gas producing basin and will continue to be a priority acquisition region for the company. The attainment of this lease is an additional piece of First Petroleum's core strategy to accumulate long-term producing assets that can directly impact future company expansion and profitability.

New Mexico Oil & Gas

New Mexico has proven crude oil reserves of 677 million barrels (2003); ranked 4th out of all U.S. States, with crude oil production toping 181 000 barrels per day (2003), ranked 5th. There is an estimated 50.6 trillion cubic feet of undiscovered natural gas in the San Juan Basin, and 30 billion barrels of oil in the Permian Basin. Major producers and pipeline companies in the region include Arco, Mobil, Amoco, and Chevron.

About First Petroleum & Pipeline

First Petroleum (FPPL) is a growing oil and gas company actively engaged in the acquisition and development of oil and gas properties in New Mexico and other U.S Midwest States. The Company is currently pursuing a diverse portfolio of high value, low risk energy projects such as opportunities in the San Juan Coalbed Methane play area, and the prolific oil and gas fields of the Permian Basin region. First Petroleum & Pipeline Inc. is a public company located in New York City and trades under the symbol of FPPL.

Safe Harbor for forward-looking statements

This release contains certain statements that are "forward-looking" statements (as the term is defined in the Private Securities Litigation Reform Act of 1995). Any such forward-looking statements are inherently speculative and are based on currently available information, operating plans and projections about future expectations and trends. As such, they are subject to numerous risks and uncertainties, such as general economic and business conditions, the ability to acquire and develop specific projects, the ability to fund operations, and other factors over which First Petroleum & Pipeline Inc. has little or no control. Actual results and performance may be significantly different from expectations or trends expressed or implied by such forward-looking statements. First Petroleum & Pipeline Inc. expressly disclaims any obligation to update the statements contained in this release.

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