HOUSTON, Dec. 27, 2011 /PRNewswire/ -- Mogul Energy International, Inc. ("Mogul") (OTCBB: MGUY) today announced the commencement of drilling operations on its third well this year with the spudding of the Werland Heirs #1 well in the Mud Flats Field, Aransas County, Texas.  This well is located approximately 10 miles northwest of Aransas Pass, Texas in the D.C. Barrett League, A-321.  Drilling is expected to take approximately 21 days to reach the well's target depth of 9,600 feet in the Frio Formation.

The Werland Heirs Well #1 has received 100% participation of all working interest owners. The leases currently have the following working interest owners, all of whom are participating in the well: Global Oil and Gas Resources, Inc.; GM and Partners, Corp.; RDR Capital Investors, LLC; Merek Contract Services, Inc.; and Aura Oil Holdings Ltd., a related party owned by a director of the Company. Mogul has a 25% carried working interest in the well and is the operator of record.

"This is a noteworthy achievement in our South Texas development program," Mogul President and CEO Tim Turner said. "With the start of drilling operations in another of our many prospects, this is an important step towards confirming the commercialization of these assets."

Turner continued, "There is an abundance of production data from numerous wells that have been drilled in the Mud Flats Field.  Mogul anticipates testing several of the same productive zones in our initial well that were seen in those nearby wells. Putting all of this data together, Mogul has a high degree of confidence that this is going to be a good well."

About Mogul Energy International, Inc.:

Mogul Energy International, Inc. ("Mogul") is an oil and gas exploration company headquartered in Houston, Texas. The common shares of Mogul are quoted on the OTC Bulletin Board (OTCBB) system under the symbol "MGUY," and the Frankfurt Stock Exchange ("FSE") under the symbol 'BKX'. Further information concerning Mogul can be found in the company's filings with the U.S. Securities and Exchange Commission (http://www.sec.gov). For more information about Mogul Energy International, Inc., go to www.mogulenergy.com.

Forward-Looking Statements:

This news release contains "forward-looking statements" within the meaning of the securities laws, which are based on current expectations and beliefs, as well as on a number of assumptions concerning future events made with information that is currently available.  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. Inherent in Mogul Energy International, Inc.'s ("Mogul") business plan is a belief that Mogul can successfully explore oil and gas properties in the United States and that Mogul can participate in the development of those properties.  Readers are cautioned not to put undue reliance on such forward-looking statements, which are not a guarantee of performance and are subject to a number of uncertainties and other factors, many of which are outside of Mogul's control, which could cause actual results to differ materially from such statements.  For a more detailed description of the factors that could cause such a difference, please refer to Mogul Energy's filings with the U.S. Securities and Exchange Commission.  Mogul assumes no obligation to update or supplement such forward-looking statements other than as required by law.

For more information, contact:

Tim Turner, President and CEO

Mogul Energy International, Inc.

2500 Wilcrest Dr., Ste. 405

Houston, TX 77042

(713) 784-2446

SOURCE Mogul Energy International, Inc.

Copyright 2011 PR Newswire

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