Philippine Royal Oil & Alternative Energy, Inc. Officially Certified with Philippines Department of Energy Confirmed SEC Registration No. CS200720015

Business Wire, Dec 31, 2007

Provides 2007 Year-End Summary

MANILA, Philippines -- Philippines Royal Oil & Alternative Energy Co., Inc. ("PhilOil")(OTC:PROL) reports its certification from the Philippines Department of Energy was confirmed and registered on December 28, 2007, Philippines SEC Registration No. CS200720015.

PhilOil provides the following update on its projects aimed at providing sustainable energy production using traditional and nontraditional sources, including coal, oil, biofuels, water and wind energy.

1. OIL and NATURAL GAS:

PhilOil has signed a memorandum of agreement for a joint venture, according to the terms of which PhilOil will begin in 2008 exploration, development and mining of an oil field in Southern Mindanao, Philippines. The oilfield has a daily plant capacity of 100,000 barrels of crude oil and 250,000 cu.ft. of natural gas. Return On Investment of this project is 68.4% with a payback period of ten (10) years. The total fixed capital investment cost of the project is estimated at US $385 million.

PhilOil also expects to commence formal investigation of a natural gas deposit that it has identified for exploration and development in Paracelis, Mountain Province, Philippines. Investigation is expected to commence during the first part of 2008.

A Memorandum of Agreement that the company has executed with the Redobles Family in anticipation of a formal agreement sets forth the terms under which PhilOil will explore, develop and mine an oil field to begin during the first quarter of 2008.

2. COAL:

PhilOil technical staff visited a coal deposit in Batan Island owned by the Oliva Family. Reserves on the property are estimated at daily coal production of sixty (60) tons.

The company is communicating with the Philippine Department of Energy relative to permitting.

PhilOil is also considering the proposal for a coal mining joint venture of a certain Datu Eliezer Tanedo of Sultan Kudarat, Mindanao, Philippines.

3. BIODIESEL:

JATROPA PROJECT:

PhilOil has selected a 3-hectare nursery site in Batan Island owned by Mrs. Conchita Ebuenga suitable for planting 775,000 Jatropa seedlings at an initial cost of $12,500.00 for the first four months of cultivation. The seedlings will be transplanted to a 300-hectare Jatropa plantation in Batan Island, for which a memorandum of agreement with the lot owners has been completed and signed. Estimated total cost of cultivation of the plantation to maturity (approximately 7 months) is estimated at $375,000.00 with no major soil amendments or fertilizer requirements anticipated. Jatropa seeds will be converted into Diesel fuel using special equipment estimated at $20,000. Rate of return on the project within the first three years is estimated at 0.90 to 1.8, depending upon the yield of the plants. The plants reach full production in approximately three years, and continue at full production for approximately 50 years. The government of the Philippines is supportive of private efforts toward jatropa biofuel production; it emphasizes, however, that only idle land is to be used for the planning of jatropa and land currently being used for food crops are not to be allocated to jatropa production. PhilOil technical personnel will attend training in February 2008 concerning propagation of jatropa and extraction of Diesel fuel from the seeds.

COPRA PROJECT:

PhilOil is preparing a feasibility study on the conversion of copra into Biodiesel. Technical personnel visited various sites in Sorsogon, Bicol, Legaspi, Batan Island and Quezon Province of the Philippines for possible sources and identified a 48-ton per day source in the area at a cost of $700.00 per ton. PhilOil is in contact with experts from Germany concerning the extraction of biodiesel from copra. Phil. Royal Oil also contacted the Department of Science and Technology's technology transfer office for assistance on the extraction process.

4. WIND ENERGY:

PhilOil is negotiating a joint venture with a German corporation for the installation of a wind power plant in Masbate and Bukidnon.

ABOUT THE COMPANY

Philippines Royal Oil & Alternative Energy Co., Inc. is a developing international energy company searching the Philippine Archipelago for opportunities to explore and produce crude oil and natural gas (coal, copra); to produce, market, and utilize alternative energy products such as biofuels, solar and wind farm energy. Philippines Royal Oil & Alternative Energy Co., Inc. is positioning itself to become one of the leaders in the Philippines energy industry, helping the country achieve energy self-sufficiency and sustainability through the exploration and production of natural indigenous energy resources. The company, through aggregation of manpower and production, intends to capitalize on economies of scale in the extraction, processing and commodities selling and trading. Philippines Royal Oil & Alternative Energy Co., Inc. is committed to the implementation of sustainable green technologies to achieve fiscal strength based on the principle of Profit-People-Planet. Management continues to focus on achieving profit, while conducting business with utmost consideration and compassion for people and protection of our planet and the environment.