SOURCE: Signature Exploration & Production Corp.

March 16, 2010 16:00 ET

Signature Exploration and Production Corp. Provides Update on Illinois Reef Prospect

Claims Stake in Oil Producing Reserves Valued at Approx. $268 Million

HOUSTON, TX--(Marketwire - March 16, 2010) -  Signature Exploration and Production Corporation (OTCBB: SXLP), an independent energy company engaged in the exploration, development, exploitation and acquisition of oil and natural gas properties in the U.S., announced today an update on the progress of the Company's 25% working interest in ten off set wells located in Fayette and Macon Counties of Illinois ("the Illinois Reef Prospect"). The operator said it is in the process of completing the lease and expects to begin drilling in the third quarter of 2010.

"We are pleased to report our operator is moving forward with the leasing process to secure our entry into a well-known petroleum prospect in the Illinois Basin," said Steven Weldon, Chairman and CEO of Signature Exploration and Production Corp. "To-date, 30 oil productive reefs have been discovered at an average depth of 2,296 feet in the Basin. These wells average 3,834,025 barrels of oil. At today's prices ($70), a well would have a production value of approximately $268 million. Drilling wells in this area also are typically low cost due to the favorable leasing terms and the shallow depth of the wells. We are looking forward to participating in a near-term profitable drilling structure beginning in the third quarter of this year."

Plans are to shoot 3-D seismic on the acquired leases in conjunction with seismic option agreements in order to confirm subsurface structures. Confirmation of structures will be followed by drilling. Targets range in depth from 2,000' to 4,000'. According to a 2007 U.S. Geological Survey assessment of the Illinois Basin, the estimated quantities (mean) of undiscovered, technically recoverable oil and gas resources are as follows: 214 million barrels of oil; 4.65 trillion cubic feet of natural gas, and 24 million barrels of natural gas liquids. This assessment included areas in the States of Illinois, Indiana, Kentucky, Missouri, Ohio, and Tennessee.

About Signature Exploration and Production Corp.
Signature Exploration and Production Corp. is an independent energy company engaged in the exploration, development, exploitation and acquisition of on-shore oil and natural gas properties in conventional producing areas along the gulf coast of Texas. Management's strategy is to continue making acquisitions of select properties that have been identified as economically attractive, technically and geologically sound and have significant upside potential. Visit www.signatureexploration.com for more information.

This news release contains forward-looking statements within the meaning of Section 27A of the United States Securities Act of 1933, as amended, and Section 21E of the United States Securities and Exchange Act of 1934, as amended. Statements in this news release, which are not purely historical, are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. These statements involve risks and uncertainties, which could cause actual results to differ materially from those in the forward-looking statements contained herein. Such risks and uncertainties may include, but are not limited to, the impact of oil and gas prices, the ability to manage growth and acquisitions, equipment or human resources, the effect of economic and business conditions, the ability to attract and retain skilled personnel and factors outside the control of the Company. These forward-looking statements are made as of the date of this news release, and the Company assumes no obligation to update the forward-looking statements or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although the Company believes that the beliefs, plans, expectations and intentions contained in this news release are reasonable, there can be no assurance those beliefs, plans, expectations or intentions will prove to be accurate. Investors should consider all of the information set forth herein and should also refer to the risk factors disclosed in the Company's periodic reports filed from time-to-time with the United States Securities and Exchange Commission. This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.

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