U.S. OIL and GAS plc's (Ticker: USOP) core activities are in the USA, with ongoing exploration activity in Nevada where the company holds a large lease acreage.

12 November 2010 - US Oil and Gas - Operations Update

12 November 2010

U.S. Oil and Gas PLC

("USOIL" or "the Company")

 

Operations Update

U.S.  Oil  and Gas plc (PLUS: USOP), the oil and gas exploration company with lease acreage in Nye  County, Nevada, announces an update on its operations.

The Company has prepared a shortlist for the selection of a drilling contractor in preparation for spudding- in  its  first target: Well 01, Eblana Phase 1 Section 2, North.  The well is intended to be drilled  to  a target depth of 2,650 metres, and drilling operations are expected to take approximately 25 days.

USOIL  will  maintain  a  100% working interest in the first well.  Additional  stratigraphic  analysis  of USOIL's lease acreage is to be completed in due course.

---ENDS---

THE DIRECTORS OF THE COMPANY ACCEPT RESPONSIBILITY FOR THE CONTENTS OF THIS ANNOUNCEMENT

For further information contact:

U.S. Oil and Gas plc

Brian McDonnell, Chief Executive Officer                 +353 (0) 872383419

SVS Securities plc - PLUS Corporate Adviser

Peter Ward / Alexander Brearley                          +44 (0)20 7638 5600

SVS Securities plc - Broker

Ian Callaway / Alex Mattey                               +44 (0)20 7638 5600

ian.callaway@svssecurities.com

Conduit PR

Jonathan Charles                                         +44 (0)20 7429 6611

jonathan@conduitpr.com                                   +44 (0)7791 892509

Notes to Editors

US  Oil  and  Gas plc is a PLUS (Ticker: USOP) listed oil and gas exploration company with  a  strategy  to identify and acquire oil and gas assets in the early phase of the upstream life-cycle and mature them  into marketable opportunities for the medium and large-sized oil companies. The Company's main asset is  in  Nye County, Nevada where it holds the entire share capital of the US-based company Major Oil International LLC. Major  Oil has acquired, and intends to acquire, rights to exploration and development acreage in two  high potential resource areas in Hot Creek Valley, Nye County, adjacent to the oil and gas rich Railroad  Valley area of Nevada, both of which are part of the Sevier Thrust of central Nevada and western Utah, USA.

The IPDS Passive Seismic Survey results reported on 26th February 2010 showed high DHI (Direct Hydrocarbons Indicator)  readings for Section 2 (North), with DHI of 0.96.  This section was identified  as  the  likely first well drilling target and which has now been staked and prepared for the first well drilling campaign. DHI  readings  for  Section 3 (East) of up to 0.59 DHI, led USOIL to nominate this section  as  its  likely second  well-drilling  target.   Geochemical results for Eblana Phase  I  indicates  five  clearly  defined hydrocarbon reservoirs, with excellent correlation with IPDS and gravity/magnetic survey results.

For further information please refer to our website at: www.usoil.us

US OIL AND GAS PLC