Precision Petroleum Corporation
OTC Bulletin Board : PPTO

Precision Petroleum Corporation

January 24, 2011 09:15 ET

Precision Petroleum Corporation: Purchase of 7 Well Packages

SHAWNEE, OKLAHOMA--(Marketwire - Jan. 24, 2011) - Precision Petroleum Corporation (OTCBB:PPTO) has purchased a 5% WI in a seven well package located in Garvin County, Oklahoma. The sale was effective September 1, 2010 which includes reconditioned downhole equipment along with reconditioned surface equipment on each of the seven wells purchased. The seven wells include, the Plummer #1, SE SE/4 Section 1, T3N, R2W, the Plummer #2, SW NW/4 Section 6, T3N, R1W, the Fuller #2, NE SE/4 Section 1, T3N, R2W, the Fuller #3, SW SE/4 Section 1, T3N, R2W, The Bromide SW SW/4 Section 6, T3N, R1W and the Kimberly #3 NW NW/4 Section 7, T3N, R1W which are all in Garvin County, Oklahoma. A lucrative added benefit to the producing well package is an offsetting SWD well named the Roach #1, NE NE/4 in Section 12, T3N, R2W. Production from the producing well package includes various productive horizons uniquely specific to each well that includes the Deese Sand, Viola Limestone and one 1st Bromide Sand. Of note, several wells have an uphole zone that has not been produced in the area but calculates productive on logs giving the package potential virgin up hole production along with the established lower productive horizons. Current cumulative production receipts over the last 90 days has been approximately $60,330 from oil sales with future cash flow anticipated from gas production as soon as all the wells are connected to ONEOK Gas Pipeline.

Precision Petroleum Corporation is an independent energy company engaged in the acquisition, exploration and development of oil and natural gas properties in North America. Precision's objective is to seek out and develop opportunities in the oil and natural gas sectors that represent a low risk opportunity. As well, Precision aims to define larger projects that can be developed with Joint Venture Partners. More information about the Company is available at www.precisionpetroleumcorp.com.

Certain statements in this news release may contain forward-looking information within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. All statements, other than statements of fact, included in this release, including, without limitation, statements regarding potential future plans and objectives of the Company, are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. The Company does not intend to, and undertakes no duty to, update any such forward looking statements to reflect the impact of circumstances or events that arise after the date such forward looking statements were made.

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