Powder River Basin Gas Corp.
OTC Bulletin Board : PRVB

Powder River Basin Gas Corp.

August 09, 2005 07:00 ET

Powder River Completes Purchase of Company; Continues Aggressive Acquisitions

CALGARY, ALBERTA--(CCNMatthews - Aug. 9, 2005) - Powder River Basin Gas Corp. (OTCBB:PRVB) a revenue generating producer and acquirer of crude oil and natural gas, today announced it has completed the purchase of Renco Energy Inc., an Oklahoma Corporation. The purchase price is $2,400,000, payable by $50,000 cash and the remaining $2,350,000 in Powder River Basin Gas Corp restricted stock, issued at $0.30 per share.

Renco Energy Inc. will be a wholly owned subsidiary of Powder River Basin Gas Corp., and the oil and gas lease operating company for Powder River.

Renco Energy Inc. currently holds operating status in Oklahoma, Louisiana, and Texas. As well, Renco has authority to operate on Bureau of Indian Affairs property in Oklahoma.

Powder River Basin Gas Corp. CEO Brian Fox stated, "The acquisition of Renco Energy Inc. provides Powder River with a complete operating facility, without increasing operating costs. Renco also brings proven reserves estimated at 66,400 BO as well as an extensive inventory of oilfield equipment."

Renco Energy Inc. has been the contract operator of record for Powder River in Oklahoma and Louisiana since January of 2004.

Powder River Basin Gas Corp. is active in production and acquisition of crude oil and natural gas.

Powder River Basin Gas Corp. trades on the OTCBB under the symbol PRVB.

This press release may contain "forward-looking statements" as that term is defined in the Private Securities Litigation Reform Act of 1995. Such statements are based on management's current expectations and are subject to a number of factors and uncertainties which could cause actual results to differ materially from those described herein. Although the Company believes that the expectations in such statements are reasonable, there can be no assurance that such expectations will prove to be correct.

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