SOURCE: US Oil & Gas Corp.

October 05, 2009 08:00 ET

United States Oil & Gas Corp. Target Acquisition Expected to Add $8 Million in Sales

AUSTIN, TX--(Marketwire - October 5, 2009) - United States Oil & Gas Corporation (PINKSHEETS: USOG) today provided additional details of its planned second acquisition. 2009 sales are expected to be $8.0 million, up from 2008 audited financial results of $7.0 million. Early this year, USOG signed a letter of intent to purchase the private North Dakota-based regional provider of oil and gas products including propane, diesel, and gasoline. The target company owns a bulk storage plant, a fleet of tanker trucks, and a retail outlet. Management, which is contracted to remain with the business for a minimum of three years, has over 30 years experience in the industry.

The purchase, expected to close by year-end, includes all property, equipment and six acres of developable land located on the main highway. Alex Tawse, CEO of USOG, commented, "We have looked at numerous situations to grow our business and increase shareholder value and we feel that this acquisition provides the next piece of the puzzle." In addition to assets with a fair market value of $0.5 million, the target company has a long record of growth and financial stability and would provide increased geographic diversity for USOG.

About USOG

United States Oil & Gas is focused on the domestic oil and gas services sector. The company was founded in May 2007, and is committed to innovative technologies that will both increase oil and gas extraction with the smallest ecological footprint and ensure the protection of the environment. The company is also actively engaged in a growth strategy through acquisition. It has a proprietary system of prospecting that is able to identify small to mid-sized oil and gas companies which are regional leaders, have strong profit history, and have experienced management that is willing to stay on board for a minimum of two years. This platform has successfully led to the purchase of Kansas-based Turnbull Oil, in May 2009.

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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