AUSTIN, TX -- 11/04/09 --
United States Oil & Gas Corporation (PINKSHEETS: USOG), a growing oil and gas products, services and technology company,
reports that increasing drilling activity in the Midwest has helped to
drive sales for its oil and gas distribution business. USOG is increasing
revenue, signing new customers and expanding market share among the oil and
gas exploration and services companies operating in America's heartland.
Overall, as drilling activity in the U.S. has been recovering from cyclical
lows, demand for fuels and lubricants from companies that drill, complete,
produce and process oil and gas has increased. The October 31, 2009 Baker
Hughes Rig Count reports the number of rotary rigs actively exploring and
producing nationwide rose by 60 in October to reach 1069. The rig count for
September 2009 was 1009, up 29 from the 980 counted in August.
In Kansas, where USOG subsidiary Turnbull Oil operates, Independent Oil &
Gas Service reports the rotary rig count has climbed nearly 75% since April
2009 to reach 71.
Wholly owned Turnbull Oil is a regional distributor of oil and gas products
with 300+ customers. The company generates a significant portion of its
revenue supplying oilfield businesses including oil and gas exploration and
production companies and operators with products including propane, diesel,
gasoline, and lubricants. For the quarter ended September 30, 2009,
Turnbull Oil increased sales 29% and generated $3,500,000 in sales revenue.
As announced earlier this week, USOG has added two new drilling companies
to its customer roster. Those companies are expected to purchase fuel and
lubricants from Turnbull Oil for a combined $720,000 in annual sales.
Alex Tawse, CEO of USOG, commented: "With our established position as a
trusted supplier to oil and gas companies, USOG is in a position to
significantly increase sales as drilling expands in Kansas and other areas
within America's heartland. We are working to close on the acquisition of a
second oil and gas distributor with drilling customers in North Dakota."
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.
Wholly owned subsidiary Turnbull Oil generated $16.5 million in revenue in
fiscal year 2008.
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.
Contact:
Investor Relations:
+1-512-464-1255
Email Contact
United States Oil & Gas Corp.
11782 Jollyville Road, Suite 211B
Austin, Texas 78759, USA
www.usaoilandgas.com
