1393044--4/9/2009--Petrocorp

related topics

{gas, price, oil}

{stock, price, share}

{interest, director, officer}

{cost, contract, operation}

{acquisition, growth, future}

{operation, natural, condition}

Risks Related to Our Business Our exploratory drilling operations may not be successful, our business may fail and investors may lose their entire investment in our Company. Oil and gas exploration and development involves many operating risks. If we were to experience any of these problems, it could have a material, adverse effect on our operations and possibly cause us to go out of business and investors to lose their entire investment in our Company. The operations and the potential profitability of oil and gas exploration and development companies often depends upon factors beyond our control. If our operations and potential profitability are negatively impacted because of these factors, our business could suffer and investors could lose all or part of their investment in our Company. The oil and gas industry is highly competitive and there is no assurance that we will be successful in acquiring further oil and gas exploration prospects and hiring qualified personnel. If we do not compete successfully in these areas, our operations will likely suffer and our Company will likely be unsuccessful. Oil and gas operations are subject to comprehensive regulation which may cause substantial delays or require capital outlays in excess of those anticipated causing an adverse effect on us. Oil and gas exploration and development activities are subject to certain environmental regulations which may prevent or delay the commencement or continuance of our operations. Risks Related to Our Company If we do not continue to obtain additional financing, our business will fail. We are a new entrant into the oil and gas industry without a profitable or long operating history. We do not have any significant income producing oil and gas properties and we have limited financial resources. We have not yet commenced our exploration activities nor have we generated any significant revenue since our incorporation. There is no means by which investors can evaluate our potential for success and there is no assurance that we will ever operate profitably. Because our directors have other business interests, they may not be able or willing to devote a sufficient amount of time to our business operations, causing our business to suffer and possibly fail Prospects that we decide to drill may not yield natural gas or oil in commercially viable quantities. If this happens, our business will likely fail and investors would likely lose their entire investment in our Company. Our Alaska prospects are in areas believed to contain gas, but presently lacking gas transportation facilities James Fitzsimons, our president, owns Soladino Investments SA, a Swiss corporation, that owns approximately 78.5% of our common stock and this interest could conflict with other investors, which could cause other investors to lose all or part of their investment. Risks Related to Our Securities If a liquid market for our common stock does not develop, shareholders may be unable to sell their shares. A purchaser of our stock is purchasing penny stock which limits his or her ability to sell the stock. We do not intend to pay dividends and there will be less ways in which you can make a gain on any investment in our Company. Our board of directors is authorized to issue shares of preferred stock, which may have rights and preferences detrimental to the rights of the holders of our common shares Our Articles of Incorporation provide for indemnification of officers and directors at our expense and limit their liability which may result in a major cost to us and hurt the interests of our shareholders because corporate resources may be expended for the benefit of officers and/or directors.

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1393044--4/9/2009--Petrocorp_Inc