Petroleum & Resources Corporation Declares Year-End Distribution of 6.7%

BALTIMORE, -- The Board of Directors of Petroleum & Resources Corporation (NYSE:PEO) declared today a year-end distribution of $1.04 per share, consisting of the following:

1) a capital gains distribution of $0.98 per share from net capital gains realized during 2009, comprised of $0.14 short-term and $0.84 long-term capital gain; and

2) an income dividend of $0.06 per share from 2009 net investment income.

The payable date for the distribution is December 28, 2009, the record date is November 20, 2009, and the ex-dividend date is November 18, 2009. Both payments are payable in stock or cash at the option of each stockholder.

This marks the 58th consecutive year in which the Corporation has paid out capital gains to its stockholders and the 75th consecutive year of paying dividends to its stockholders.

With this distribution, total distributions by the Corporation for 2009 will be $1.40, including distributions made prior to today's announcement of $0.36 per share, which consisted of $0.31 from investment income and $0.05 from long-term capital gain. The annual distribution rate paid to stockholders by the Corporation for 2009 will be approximately 6.7%, calculated by dividing the total dividends and capital gains distributed during the year by the average daily market price of the Corporation's Common Stock.

For comparison, in 2008, the Corporation paid total distributions of $2.99, consisting of $0.38 in dividends and $2.61 in capital gains, and representing an annual distribution rate of 8.9%.

Petroleum & Resources is a Baltimore-based closed-end investment company.