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

WILLISTON, N.D.--(BUSINESS WIRE)--Western Standard Energy Corp., (OTCBB:WSEG), an oil and gas explorationcompany, 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 Lodgepoleprospects 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 tocost between $4.5 and $5.0 million. According to area production data,successful Bakken wells have respectively resulted in production ratesof up to 800 barrels per day (bbls/d), with projected estimated ultimaterecovery (EUR) ranging between 300-800 thousand barrels of oil per1,280-acre unit.

“The Bakken Shale is one of the most excitingplays in the domestic US, and Western Standard is looking forward toworking with its partner OFA in developing these prospects in the comingmonths," stated Dan Bauer, President and CEO of Western Standard Energy. “Ithas been a little over a month since the US Geological Survey confirmedwhat many in the industry have known about North Dakota’spotential oil supply for a very long time.”

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

About Western Standard Energy Corp.

Western Standard Energy Corp. is a publicly traded independent oil andgas exploration company. Western Standard aims to secure and develop aportfolio of oil and gas properties throughout the Central and WesternUnited States of America. Western Standard Energy Corp. is a publiclytraded company and trades on the OTC BB under the ticker symbol: WSEG.Shareholders are invited to contact corporate communications toll freeat (888) 956-7843 for further information.

Forward-Looking Statements

Statements in this news release that are not historical facts areforward-looking statements that are subject to risks and uncertainties.Forward-looking statements in this news release include that WesternStandard Energy Corp, (‘Company’)will acquire, develop, or option up to four additional Bakken andLodgepole prospects on 1,280 acre units in North Dakota; that the depthof the Bakken objective in the area is approximately 11,000 feet, withhorizontal lateral extensions of 4,000 to 9,000 feet; that it isestimated to cost between $4.5 and $5.0 million; that a Bakken well willproduce 800 barrels of oil per day (bbls/d), if at all; that theprojected estimated ultimate recovery (EUR) will be in the range of300-800 thousand barrels of oil over the life of each well if productiveat all; It is important to note that actual outcomes and the Company'sactual results could differ materially from those in suchforward-looking statements. Factors that could cause actual results todiffer materially include the uncertainty of the requirements demandedby environmental agencies, the Company's ability to raise financing foroperations, breach by parties with whom we have contracted, inability tomaintain qualified employees or consultants, competition for equipment,inability to obtain drilling permits, potential delays or obstacles indrilling operations and interpreting data, and the likelihood that nocommercial quantities of gas are found or recoverable. Readers shouldalso refer to the risk disclosures outlined in the Company’squarterly reports on Form 10-QSB, annual reports on Form 10-KSB and theCompany’s other disclosure documents filedfrom time-to-time with the Securities and Exchange Commission availableat 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, todisclose only proved reserves that a company has demonstrated by actualproduction or conclusive formation tests to be economically and legallyproducible under existing economic and operating conditions. We usecertain terms in this document that SEC’sguidelines may prohibit us from including in filings with the SEC. U.S.investors are urged to consider closely the disclosure in our annualreport on Form 10-KSB and quarterly reports on Form 10-QSB availablefrom us or the SEC.