Imperial Resources, Inc.; Initial Test Well Results, SWDF Rebuild Preparations

AUSTIN, Texas, Nov. 28, 2011 /PRNewswire/ -- Imperial Resources, Inc. (OTCBB: IPRC) and its wholly owned subsidiary, Imperial Oil & Gas, Inc. (together the "Company", "Imperial") announces preliminary results from a well in which Imperial owns a nominal interest ("Test Well") targeting the same blanket formation as the Company's key Oklahoma resource play, and an update on its Green Tide Salt Water Disposal Facility ("SWDF").

Test Well -- initial production very encouraging

Imperial owns a nominal interest in the Test Well that targets the same blanket formation as the Company's key Oklahoma resource play and is operated by Imperial's Oklahoma partner. The Test Well utilizes an optimized fracture protocol.

The Company is delighted with initial production. The Test Well is currently producing around 300 barrels of oil and 500 mcf of gas per day. It is still cleaning up and production is expected to keep rising for a while as the frac water is returned.

Imperial took a nominal position in the Test Well to give Imperial partner level access to the new fracture protocol. The Company, based on the initial results to date, sees the Test Well as validating the recovery techniques as wholly applicable to its existing 1,800 gross acres position in Oklahoma, held in conjunction with its Test Well partner. The Company considers the results to further enhance the value of its leased acreage, which is already estimated to be worth considerably more than its acquisition cost.

Prior to the Test Well results Imperial subjected its participation in the 1,800 acres to third party independent review by a registered oil & gas engineering company. It classified the acreage reserves as P90 Proved Undeveloped Reserves and indicated the worth of those reserves (after all estimated development and operational costs) at over $19,000,000, net to Imperial, on a PV10 discounted basis.

SWDF -- Preparation for rebuild underway

As previously announced, on November 8, 2011 the SWDF owned by the Company's Green Tide Water Disposal, Ltd. subsidiary located in Wise County, Texas, was struck by lightning and the surface plant consisting of tanks and pumps largely destroyed.

The Company is currently undertaking clearance of the damaged equipment and remediation of the site, working under the oversight of the regulating agencies. This process, an essential step prior to the rebuild, is expected to be completed satisfactorily.

The Company can confirm that no damage was caused to the newly completed well bore, wellhead, land and roadway infrastructure which form the majority portion of the value of the SWDF, coupled with the value of the disposal permit. A valuation of the SWDF conducted by an independent registered petroleum engineer immediately prior to the damage put the SWDF asset value at $3,151,350. The valuation was compiled using only the hard costs and did not attribute a commercial value for the business. The Company plans to replace the destroyed items at a cost currently estimated at approximately $530,000. This figure may be reduced substantially if the Company can progress already identified opportunities to purchase a number of pre-used tanks. The Company is reviewing all its options for funding the replacement cost and is in discussions with a number of parties in this regard.

About Imperial Resources, Inc.

Imperial Resources, Inc., through its wholly owned subsidiary, Imperial Oil & Gas, Inc. has a highly focused, risk-averse strategy of building a substantial portfolio of oil and gas assets through its access to niche, low risk oil and gas opportunities in the onshore U.S. Imperial aims to exploit projects which can deliver cash flows normally associated with higher risk projects but without exposure to high risk failure rates.

To find out more about Imperial Resources, Inc. (OTCBB: IPRC.OB), visit our website at www.imperialresourcesinc.com. Details of the Company's business, finances, appointments and agreements can be found as part of the Company's continuous public disclosure as a reporting issuer under the Securities Exchange Act of 1934 filed with the Securities and Exchange Commission's EDGAR database.

Forward-Looking Statements

Statements in this news release that are not statements of historical fact are forward-looking statements, which are subject to certain risks and uncertainties.  Forward-looking statements can often be identified by words such as "expects," "intends," "plans," "may," "could," "should," "anticipates", "assumes", "likely," "believes" and words of similar import.  Forward-looking statements are based on current facts and analyses and other information that are based on forecasts of future results, estimates of amounts not yet determined and assumptions of management.  Actual results may differ materially from those expressed or implied by forward-looking statements due to a variety of factors that may or may not be foreseeable or within the reasonable control of the Company.  Readers are cautioned not to place undue reliance on such forward-looking statements.  Additional information on risks and other factors that may affect the business and financial results of the Company can be found in filings of the Company with the U.S. Securities and Exchange Commission, including without limitation under the caption "Risk Factors" in the Company's Annual Report on Form 10-K filed on July 14, 2011.  Except as otherwise required by law, the Company disclaims any obligations or undertaking to publicly release any updates or revisions to any forward-looking statement contained in this news release to reflect any change in the Company's expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based.

Contact:

Rob Durbin, CEO

Telephone:

512 322-5740

http://www.imperialresourcesinc.com/pages/contact

SOURCE Imperial Resources, Inc.

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