Western Standard Energy Corp. to Acquire and Develop Bakken Shale Prospects in North Dakota

Tuesday May 20, 9:00 am ET

WILLISTON, N.D.--(BUSINESS WIRE)--Western Standard Energy Corp., (OTC BB: WSEG.OB), an oil and gas exploration company, is pleased to announce it has signed a Letter of Intent (?LOI?) with Oil for America (?OFA?) to option and acquire up to four additional Bakken and Lodgepole prospects on 1,280 acres in Stark County, North Dakota.

Depth of the Bakken objective in the area is approximately 11,000 feet, with horizontal lateral extensions of 4,000 to 9,000 feet estimated to cost between $4.5 and $5.0 million. According to area production data, successful Bakken wells have respectively resulted in production rates of up to 800 barrels per day (bbls/d), with projected estimated ultimate recovery (EUR) ranging between 300-800 thousand barrels of oil per 1,280-acre unit.

?The Bakken Shale is one of the most exciting plays in the domestic US, and Western Standard is looking forward to working with its partner OFA in developing these prospects in the coming months," stated Dan Bauer, President and CEO of Western Standard Energy. ?It has been a little over a month since the US Geological Survey confirmed what many in the industry have known about North Dakota?s potential oil supply for a very long time.?

Last month?s US Geological Survey ("USGS") assessment report for the area has estimated ?3.0 to 4.3 billion barrels of undiscovered, technically recoverable oil in the Bakken Formation." This estimate shows a significant leap from an estimate made by the government agency during its last assessment of the area in 1995, which showed a potential recoverable 151 million barrels of oil.

About Western Standard Energy Corp.

Western Standard Energy Corp. is a publicly traded independent oil and gas exploration company. 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 OTC BB under the ticker symbol: WSEG. Shareholders are invited to contact corporate communications toll free at (888) 956-7843 for further information.

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 Western Standard Energy Corp, (?Company?) will acquire, develop, or option up to four additional Bakken and Lodgepole prospects on 1,280 acre units in North Dakota; that the depth of the Bakken objective in the area is approximately 11,000 feet, with horizontal lateral extensions of 4,000 to 9,000 feet; that it is estimated to cost between $4.5 and $5.0 million; that a Bakken well will produce 800 barrels of oil per day (bbls/d), if at all; that the projected estimated ultimate recovery (EUR) will be in the range of 300-800 thousand barrels of oil over the life of each well if productive at all; 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. Readers should also refer to the risk disclosures outlined in the Company?s quarterly reports on Form 10-QSB, annual reports on Form 10-KSB and the Company?s other disclosure documents filed from time-to-time with the Securities and Exchange Commission available at www.sec.gov.

Cautionary Note to U.S. Investors

The United States Securities and Exchange Commission (?SEC?) permits oil and gas companies, in their filings with the SEC, to disclose only proved reserves that a company has demonstrated by actual production or conclusive formation tests to be economically and legally producible under existing economic and operating conditions. We use certain terms?in this document that SEC?s guidelines may prohibit us from including in filings with the SEC. U.S. investors are urged to consider closely the disclosure in our annual report on Form 10-KSB and quarterly reports on Form 10-QSB available from us or the SEC.

For Further Information, Contact:
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