2009-02-26-2009-01-30

To purchase 1,600 acres in MT Powder River Basin.

Nitro Petroleum Inc., Oklahoma City, (OTCBB: NTRO) plans to acquire oil and gas leases covering approximately 1,600 acres in Montana with two additional options to acquire an additional 1,600 acres per option from an undisclosed buyer for an undisclosed price. A substantial portion of this land is in the Powder River Basin. Nitro will own 100% of the coal, coalbed methane and oil and gas rights. The company will pay a 20% net royalty on production. Nitro president Larry Wise says, "This is a golden opportunity for our company as we are one of the first companies to have access to these highly prospective leases. Geological reports indicate that there are four shallow methane and gas pay zones in each well." The first phase will drill 10 holes in Powder River Basin. The wells will vary in depth from 4,350 to 7,700 feet. The target is to drill at least 150 feet into the Tensleep formation in each hole.