Press Releases

CALGARY, Dec. 23 /CNW/ - Base Oil & Gas Ltd. ("Base" or the "Company") (TSX VENTURE: BOG) BOG has closed a portion of its previously announced non-brokered private placement for aggregate gross proceeds of $999,999. The company issued 3,333,330 common shares on a "flow-through" basis under the Income tax Act (Canada) ("Flow-Through Shares") at 30 cents per share. The previously announced private placement of 2 million common shares ("Common Shares") at $.25 per share for gross proceeds of $500,000 is scheduled to close on January 14, 2010. Total proceeds under both issues will be $1,499,999. In connection with the private placement of the Flow-Through Shares, the company paid a 5% finder's fee on $924,999 of gross proceeds, and no fees on the remaining $75,000. The proceeds will be used to fund the company's share of a farm-in agreement for the Pembina Cardium horizontal drilling and development.

All securities issued in connection with the Private Placement will be subject to a four-month hold period.

The company obtained the approval of 58% of the disinterested shareholders to proceed with the farm-in agreement and private placement.

Base is a Calgary based emerging oil and gas company, focused on the development of oil & gas reserves in the Western Canadian Sedimentary basin.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

FORWARD-LOOKING STATEMENTS

This press release contains forward-looking statements. More particularly, this press release contains statements concerning the use of funds from the Private Placement and the planned operations of the Company. The forward-looking statements contained in this document are based on certain key expectations and assumptions made by Base Oil & Gas Ltd. with respect to the use of funds from the Private Placement and the Company's planned operations. Although the Company believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, the failure to obtain the necessary regulatory approvals, risks associated with the oil and gas industry in general (e.g., operational risks in development, exploration and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of estimates and projections relating to production, costs and expenses, and health, safety and environmental risks, commodity price and exchange rate fluctuations). The forward-looking statements contained in this document are made as of the date hereof and the Company takes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.