SOURCE: US Oil & Gas Corp

November 02, 2009 21:54 ET

United States Oil and Gas Corp. Signs Six New Customers, Expects to Add $1.2 Million in Revenue

AUSTIN, TX--(Marketwire - November 2, 2009) - United States Oil & Gas Corporation (PINKSHEETS: USOG), a growing oil and gas products, services and technology company, announced new sales contracts during the third quarter which should add an estimated $1.2 million in annual revenue. Wholly owned subsidiary Turnbull Oil has signed six new customers contracted to purchase a combination of refined fuel and lubricants over the next twelve months.

USOG subsidiary Turnbull Oil, a profitable regional distributor of oil and gas products since 1965, has added four new wholesale bulk agents to its customer roster. The new customers are expected to purchase a minimum of 100,000 gallons of diesel worth approximately $300,000 during the next twelve months.

The company has also closed sales with two new drilling companies. Turnbull Oil expects to sell combination of fuel and lubricants to the Kansas drillers for a combined $720,000 in annual sales.

Alex Tawse, CEO of USOG, commented: "USOG is expanding market share in the oil and gas services business, adding key customers and increasing sales. Turnbull Oil achieved a 29% increase in sales last quarter. These six new valued customers help to position us for continued growth and increased value for shareholders."

Earlier this week USOG reported strong financial performance for the quarter ended September 30, 2009. USOG's Turnbull Oil generated $3,500,000 in sales revenue and posted $591,000 in Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) last quarter. The company generated $16.5 million in revenue and $447,000 in EBITDA in fiscal year 2008. Turnbull was acquired in May 2009.

About United States Oil & Gas Corp. (PINKSHEETS: USOG)

United States Oil & Gas Corp. is focused on the domestic oil and gas services sector, acquiring oil and gas services companies with historically profitable results, strong balance sheets, high profit margins, and solid management teams in place. USOG also develops innovative technologies to increase oil and gas extraction with the smallest environmental footprint.

This Press Release may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. USOG has tried, whenever possible, to identify these forward-looking statements using words such as "anticipates," "believes," "estimates," "expects," "plans," "intends," "potential" and similar expressions. These statements reflect USOG's current beliefs and are based upon information currently available to it. Accordingly, such forward-looking statements involve known and unknown risks, uncertainties and other factors which could cause USOG's actual results, performance or achievements to differ materially from those expressed in or implied by such statements. USOG undertakes no obligation to update or provide advice in the event of any change, addition or alteration to the information catered in this Press Release including such forward-looking statements.

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