(EMAILWIRE.COM, August 06, 2009 ) HOUSTON, TX - Cobra Oil & Gas Company (OTCBB: CGCA) (hereafter "Cobra"), an independent oil and gas exploration company and focused on the strategic exploration and development of domestic energy projects, has entered into a Letter Of Intent (LOI) with Enercor, Inc. (Enercor) to purchase 37.5% representing a title and working interest covering a total of 640 gross acres. This acreage is adjacent to the Utah Oil Sands prospect in the P.R. Spring Deposit in Uintah County, Utah.

According to terms of the LOI Cobra's purchase price will be 300,000 shares of Common Stock, fully paid and non-assessable. Cobra intends to include this lease in its development activities of other adjacent leases. Other title holders of this lease include Pioneer Energy and Questar Corporation.

Max Pozzoni, President of Cobra Oil & Gas, stated, "We are excited at the possibility of expanding our holdings within the Utah Oil Sands prospect".

Both parties may cancel the agreement prior to the closing date with written notice. The close of the proposed transaction shall take place on or before August 31, 2009.

About Cobra Oil & Gas Co.

Cobra Oil & Gas Co. is a publicly traded independent oil and gas exploration and production company headquartered in Houston, Texas (OTCBB: CGCA). Shareholders and prospective investors are encouraged to visit Cobra Oil & Gas's website: http://www.cobraoilgas.com and to subscribe to the email newsletter. Please feel free to call our investor relations toll-free at 1-866-503-8613 if you have any questions.

Forward-Looking Statements

Statements in this news release that are not historical facts are forward-looking statements that are subject to risks and uncertainties. Words such as "expects", "intends", "plans", "may", "could", "should", "anticipates", "likely", "believes" and words of similar import also identify forward-looking statements. 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.

Contact

Cobra Oil & Gas Co.
Max Pozzoni
President
Investor Relations
1-866-503-8613
ir@cobraoilgas.com
http://www.cobraoilgas.com

Contact Information:
Cobra Oil & Gas Company
IR
Tel: 1-866-503-8613
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