Powder River Basin Gas Corp.
OTC Bulletin Board : PRVB

Powder River Basin Gas Corp.

November 15, 2005 14:40 ET

Powder River Reports Third Quarter Earnings, Significantly Increases Oil and Gas Sales

CALGARY, ALBERTA--(CCNMatthews - Nov. 15, 2005) - Powder River Basin Gas Corp. (OTCBB:PRVB) a revenue generating producer and acquirer of crude oil and natural gas, announced the results of the third quarter earnings for 2005.

During the three month period, Powder River Basin Gas Corp. reported an increase in oil and gas sales compared to the same three month period in 2004. This marks an increase of approximately $65,000 or 98%. During the nine month period of January 1, 2005 to September 30, 2005, compared to 2004 earnings, the Company reported an increase in oil and gas sales of approximately $365,000 or 235%.

Total revenues for the nine months were $3,100,498 with a net income before taxes of $974,934.

Powder River Basin Gas Corp. also reported expenses of $467,782 and $656,750 for the nine months as a result of certain common stock warrants granted and common shares issued during the period for payroll, marketing, managerial and legal services rendered. All issued shares are subject to restriction. This represents non-cash expenses of $1,124,532 in addition to the tax reserve fund of $530,400 for a total of $1,654,932.

Due to Hurricanes Katrina and Rita, the Louisiana and Texas wells were out of service from August 28th through to September 30th. This represents a significant reduction in oil and gas sales over previous projections for the third quarter. These wells were reactivated in early October 2005 and the production sales will be back on schedule for December.

"I am pleased that Powder River Basin Gas Corp. continues to increase our oil and gas sales by such a significant margin each quarter. Having recovered from the Hurricanes, along with our extensive well re-work program and strategic acquisition and marketing program, the Company is poised to substantially increase it's record earnings for the fourth quarter, and year end 2005," stated Powder River Basin Gas Corp. CEO Brian Fox.

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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