Petroleum & Resources Corporation Nine Months Performance Reported

BALTIMORE, Oct. 8 /PRNewswire-FirstCall/ — Petroleum & Resources Corporation (NYSE: PEO) today announced its performance for the nine-month period ended September 30, 2009. The total return on net asset value, with dividends and capital gains reinvested, was 18.5%. Comparable figures for the Dow Jones U.S. Oil & Gas Index, the Dow Jones U.S. Basic Materials Index, and the Standard & Poor’s 500 Composite Stock Index (“S&P 500″) were 12.1%, 50.6%, and 19.3%, respectively. The total return on Petroleum & Resources’ market value was 22.0%.

For the twelve months ended September 30, 2009, the total return on Petroleum & Resources’ net asset value, with dividends and capital gains reinvested, was (13.4)%. Comparable figures for the Dow Jones U.S. Oil & Gas Index, the Dow Jones U.S. Basic Materials Index, and the S&P 500 were (13.0)%, (2.0)%, and (6.9)%, respectively. The total return on Petroleum & Resources’ market value was (8.7)%.

The Corporation’s net asset value at September 30, 2009, compared with the year earlier, is:

                                        Net Asset Value

                                   9/30/2009           9/30/2008
    Net assets                   $621,349,170        $788,906,202
    Shares outstanding             23,746,411          22,497,869
    Net assets per share               $26.17              $35.07

The net capital gain realized on investments for the nine months was $0.83 per share.

Year-to-date, the Corporation has repurchased 215,835 shares of its Common Stock.

Securities Transactions

During the quarter, Petroleum & Resources added to its positions in Occidental Petroleum, Royal Dutch Shell, and Southwestern Energy.

In addition, Petroleum & Resources eliminated one position from the portfolio with the sale of Hercules Offshore, and reduced its holdings in Devon Energy, Energen, EOG Resources, Noble Energy, and Southwest Gas.

Petroleum & Resources Corporation is a Baltimore-based closed-end investment company. It is listed on the New York Stock Exchange under the symbol PEO. The Third Quarter Report will be mailed to stockholders and posted to our website: www.peteres.com on or about October 16, 2009.

    For further information please contact:

    Lawrence L. Hooper, Jr., Vice President, General Counsel and Secretary

    (410) 752-5900 or (800) 638-2479
    Email: contact@peteres.com
    Website: www.peteres.com

SOURCE Petroleum & Resources Corporation