Stetson Oil & Gas Ltd.: Option Agreement for Offshore African Acreage Terminated

Stetson Oil & Gas Ltd. (TSX VENTURE:SSN), a Forbes & Manhattan Energy Group
Company, reports that the exclusive option agreement (the "Option Agreement")
entered into with a private company ("Privateco") for the option to acquire an
interest in two prospective exploration blocks offshore West Africa has now been
terminated.


In connection with the Option Agreement, the Company originally provided a
US$1,500,000 advance to Privateco at an interest rate of 10% per annum. Since a
definitive agreement for the offshore blocks was not executed, Privateco has now
repaid to Stetson the advance, all accrued interest, and the extension fees for
extending the term of the Option Agreement.


Regulatory Statements 

This press release contains "forward-looking information" within the meaning of
applicable Canadian securities legislation. Forward-looking information
includes, without limitation, statements regarding the termination of the Option
Agreement and the repayment of all fees, advances and interest. Generally,
forward-looking information can be identified by the use of forward-looking
terminology such as "plans", "expects" or "does not expect", "is expected",
"budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or
"does not anticipate", or "believes", or variations of such words and phrases or
state that certain actions, events or results "may", "could", "would", "might"
or "will be taken", "occur" or "be achieved". Forward-looking information is
subject to known and unknown risks, uncertainties and other factors that may
cause the actual results, level of activity, performance or achievements of
Stetson, as the case may be, to be materially different from those expressed or
implied by such forward-looking information, including but not limited to:
general business, economic, competitive, geopolitical and social uncertainties;
the actual results of current exploration activities; risks associated with
operation in foreign jurisdictions; ability to successfully integrate acquired
properties; foreign operations risks; and other risks inherent in the oil and
gas industry. Although Stetson has attempted to identify important factors that
could cause actual results to differ materially from those contained in
forward-looking information, there may be other factors that cause results not
to be as anticipated, estimated or intended. There can be no assurance that such
information will prove to be accurate, as actual results and future events could
differ materially from those anticipated in such statements. Accordingly,
readers should not place undue reliance on forward-looking information. Stetson
does not undertake to update any forward-looking information, except in
accordance with applicable securities laws.


NEITHER 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.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Stetson Oil & Gas Ltd.
Ahmed Said
Chairman & CEO
[phone]
[e-mail]