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Western Standard Energy Corp. Enters into Agreement With Oil For America, LLC. To Acquire Two Lodgepole Reef Prospects in North Dakota

Posted on: Thursday, 1 November 2007, 18:00 CDT

Western Standard Energy Corp.,(NASD OTC BB:WSEG), an oil and gas exploration company, today announced that it has entered into a Memorandum of Understanding (MOI) with Oil For America LLC to acquire 2 leases in the Lodgepole Reef Prospects in Stark County, North Dakota.

Under the terms of the MOI, signed September 25, 2007, Western Standard will acquire 2 Lodgepole Reef Prospects. In the event that Western Standard drills both prospects, Oil For America agrees to identify and high grade an additional 8 Lodgepole Reef prospects for Western Standard on the same terms.

Bob Angerer, a principal with Oil For America, said: "Each of the prospects has been identified and high graded using our proprietary technologies. Their signatures match wells that have produced more than 4,000,000 barrels, and these prospects should have that potential as well. We are excited to be working with Western Standard in what will become one of the biggest plays in North America."

Dan Bauer, CEO of Western Standard Energy, states: "We are pleased to add these significant hydrocarbon targets to our portfolio of assets. Oil For America has demonstrated significant success with their proprietary analysis which presents us with attractive high grade prospects near existing Lodgepole production. We look forward to the completion of the transaction and moving forward with an aggressive development program in the area."

About The Lodgepole Reef Prospect

The Lodgepole Reef Play in the Dickinson, North Dakota area is an established play that has produced three 4,000,000 barrel wells with light sweet crude and 500 cubic feet of sweet rich gas per barrel. More than 40,000,000 barrels of oil have been produced since 1993. The play is typified by wells capable of producing 1,000-2,500 barrels of oil per day and by reserves that have as much as 0.5-3.0 million barrels of oil per well. It is expected that the wells cost approximately $1.5 million to drill and complete so payout can be in as little as two weeks. The play includes 38 wells, with 21 producers and 6 new fields. Supporting material and further information can be downloaded from the Western Standard website at www.western-standard.com

About Oil For America ('OFA')

Oil For America is a leading edge technology company applying a suite of geological mapping applications for hydrocarbon assessment. Finding the reef core or structure is the challenge in this particular Basin, and Oil For America's technologies address this challenge, independent of seismic or subsurface mapping. OFA has refined four technologies to identify high impact drilling targets: classic photogeology, applied photogeology, geochemistry, and gps which serve to precisely locate and high grade Lodgepole Reefs. The first well drilled using OFA's technologies hit the Lodgepole Reef high and produced 1800 bpd, and over 250,000 barrels of oil so far.

About Western Standard Energy Corp.

Western Standard Energy Corp. is a publicly traded independent oil and gas exploration company with headquarters in London, England. Currently, Western Standard has a Farmout Agreement with Coastal Petroleum Company, for leases on approximately forty-two thousand (42,000) acres in Valley County Shallow Gas Assembly in the state of Montana. Western Standard aims to secure and develop a portfolio of oil and gas properties throughout the Central and Western United States of America. Western Standard Energy Corp. is a publicly traded company and trades on the NASD OTC BB under the ticker symbol: WSEG.

Western Standard Energy Corp.

Dan Bauer, President

Forward-Looking Statements

Statements in this news release that are not historical facts are forward-looking statements that are subject to risks and uncertainties. Forward-looking statements in this news release include that we hope to close the OFA MOI, and that the Prospects will demonstrate similar characteristics to successful wells in the region, the Company's belief that we can participate in the exploration of those properties; the future development potential of our license in the area and the Company's belief that we can further develop those properties with additional wells; the future development potential of our license in the Valley County Montana Project, that we hope to secure and develop a portfolio of oil and gas properties throughout the Central and Western United States of America; and that we intend on drilling our first test well in the immediate future to begin the process of proving out the prospect. It is important to note that actual outcomes and the Company's actual results could differ materially from those in such forward-looking statements. Factors that could cause actual results to differ materially include the uncertainty of the requirements demanded by environmental agencies, the Company's ability to raise financing for operations, breach by parties with whom we have contracted, inability to maintain qualified employees or consultants, competition for equipment, inability to obtain drilling permits, potential delays or obstacles in drilling operations and interpreting data, and the likelihood that no commercial quantities of gas are found or recoverable. Additional information on risks for the Company can be found in filings on Edgar of other junior oil and gas exploration companies with the US Securities and Exchange Commission.

Source: Business Wire

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