SOURCE: Imperial Resources, Inc.

February 23, 2011 08:00 ET

Imperial Resources, Inc. Unconditional Agreement for Stateline Infill Project

AUSTIN, TX--(Marketwire - February 23, 2011) -  Imperial Resources, Inc. (OTCBB: IPRC) today announced that its wholly owned subsidiary, Imperial Oil & Gas, Inc. (together the "Company," "Imperial") has concluded its due diligence and title check on the Stateline Farmout Agreement ("Agreement") entered into on January 25, 2011 relating to an infill development project in the existing Sawyer Field, located in Lea County, New Mexico.

Imperial has accepted the title subject to some additional curative. This work is now finished and the transaction has now completed.

Imperial has obtained a right to earn acreage by drilling wells in the undrilled portion of an existing lease which is held in its entirety by existing production. The acreage is sufficient to accommodate 4 vertical infill wells under current acreage spacing requirements in the Sawyer Field, targeting the San Andres Formation.

Stateline fits nicely with the Company's objective to exploit niche, low risk oil and gas opportunities in the onshore U.S. with the potential to deliver cash flows normally associated with higher risk projects, but without exposure to high risk failure rates.

Imperial believes that Stateline offers the Company a low entry cost complementary opportunity (subject to the commercial success of the infill wells) to build significant production and reserves as the Company progresses its other opportunities.

Rob Durbin, CEO of Imperial, said, "We fully expected the title to be in order, however determining that fact can be challenging when records are filed with both the Bureau of Land Management and the county. Our title attorney's experience and the willingness of the Farmor to assist made the process much easier and the results turned out as expected. We look forward to working with the Farmor on other projects in the future."

About Imperial Resources, Inc.

Imperial Resources, Inc., through its wholly owned subsidiary, Imperial Oil & Gas, Inc. has a highly focused, risk-averse strategy of building a substantial portfolio of oil and gas assets through its access to niche, low risk oil and gas opportunities in the onshore U.S. Imperial aims to exploit projects which can deliver cash flows normally associated with higher risk projects but without exposure to high risk failure rates.

To find out more about Imperial Resources, Inc. (OTCBB: IPRC), visit our website at Details of the Company's business, finances, appointments and agreements can be found as part of the Company's continuous public disclosure as a reporting issuer under the Securities Exchange Act of 1934 filed with the Securities and Exchange Commission's EDGAR database.

Forward-Looking Statements

Statements in this news release that are not statements of historical fact are forward-looking statements, which are subject to certain risks and uncertainties. Forward-looking statements can often be identified by words such as "expects," "intends," "plans," "may," "could," "should," "anticipates," "assumes," "likely," "believes" and words of similar import. Forward-looking statements are based on current facts and analyses and other information that are based on forecasts of future results, estimates of amounts not yet determined and assumptions of management. Actual results may differ materially from those expressed or implied by forward-looking statements due to a variety of factors that may or may not be foreseeable or within the reasonable control of the Company. Readers are cautioned not to place undue reliance on such forward-looking statements. Additional information on risks and other factors that may affect the business and financial results of the Company can be found in filings of the Company with the U.S. Securities and Exchange Commission, including without limitation under the caption "Risk Factors" in the Company's Annual Report on Form 10-K filed on July 9, 2010. Except as otherwise required by law, the Company disclaims any obligations or undertaking to publicly release any updates or revisions to any forward-looking statement contained in this news release to reflect any change in the Company's expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based.

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