Cheetah Oil & Gas Ltd. Subsidiary Receives Petroleum Retention License for Property #246, and Revises Upward Estimated Gas Potential to 3.3 Trillion Cubic Feet

Business Wire, Jan 18, 2005

LAS VEGAS -- Cheetah Oil & Gas Ltd., (OTCBB:COGL) (the "Company") announces that the Papua New Guinea Department of Petroleum and Energy has issued the Company's subsidiary, Scotia Petroleum Inc., a Petroleum Retention License for petroleum property #246. Scotia Petroleum Inc. is an 85% controlled subsidiary.

As previously announced, the Company commissioned an independent risk assessment of property #246 from 3D-GEO of Melbourne Australia. That original assessment estimated total unrisked mean gas-in-place for all leads and plays within property #246 as 2.6 trillion cubic feet. 3D-GEO has subsequently informed the Company that its original report contained calculation errors and has now revised this report. 3D-GEO's revision now estimates total unrisked mean gas-in-place for all leads and plays within property #246 as 3.3 trillion cubic feet.

The Company anticipates receiving independent assessment reports on petroleum properties #245 and #249 shortly and will release additional information regarding these evaluations as soon as possible.

The Company is evaluating and exploring for energy resources on its five 100%-owned and operated PPL's of approximately 8.3 million acres, as well as its 97.5% farm-in interest in two PPL's of another 3.9 million acres, making this total of 12.2 million acres the largest land position of its kind in Papua New Guinea.

Disclaimer: The Company relies upon the safe Harbor Laws of 1993, 1934, and 1995 for all public news releases. The Company has no official gas or oil reserves at this time and may not have sufficient funding to thoroughly explore, drill or develop its properties. Little infrastructure currently exists to support oil or gas production in many areas of Papua New Guinea. Statements, which are not historical facts, are forward-looking statements. The Company, through its management, makes forward-looking public statements concerning its expected future operations, performance and other developments. Such forward-looking statements are necessarily estimates reflecting the Company's best judgment based upon current information and involve a number of risks and uncertainties, and there can be no assurance that other factors will not affect the accuracy of such forward-looking statements. Although it is impossible to identify all such factors they include and are not limited to the existence of underground deposits of commercial quantities of oil and gas; cessation or delays in exploration because of mechanical, operating, financial or other problems; capital expenditures that are either significantly higher or lower than anticipated; and from the number of exploration opportunities being greater or fewer than currently anticipated. Factors which could cause actual results to differ materially from those estimated by the Company include, but are not limited to, government regulation, managing and maintaining growth, the effect of adverse publicity, litigation, competition and other factors which may be identified from time to time in the Company's public announcements.

Cheetah Oil & Gas Ltd. (OTC Bulletin Board:COGL)