Cuda Oil and Gas Inc. ("Cuda" or the "Company") announced that the Wyoming Oil and Gas Conservation Commission (the "WOGCC") has approved the Shannon Secondary Recovery and Unitization ("SSRU") application at the Barron Flats Shannon Unit (the "BFU"), a miscible gas flood project in the Cretaceous Shannon Sand in Converse County ­ Wyoming. Approval and formation of the SSRU permits Cuda to resume infill drilling and commence full scale injection through the recently constructed Miscible Gas Flood Facility capable of delivering 10-15 million cubic feet per day of recombined miscible product stream at high pressure to the Shannon Formation through converted field oil wells. The submission to the WOGCC included a feasibility study supported by a third-party reservoir engineering simulation of the miscible secondary recovery unit. Implementation of injection on designed patterns at pressure exceeding initial reservoir pressure indicate that the recovery factor could increase to 38% of original oil in place ("OOIP") at the end of 20 years and approaching 50% after 30 years (versus approximately 10% under primary recovery). The existing production profiles of affected oil wells are forecasted to increase and show positive response to the injected stream in 6-12 months. Recovery to date of approximately 800,000 barrels of 410 API oil from the Shannon Pool is less than 1% of OOIP, as defined by Cuda's independent reservoir engineering firm, Ryder Scott Company ("Ryder Scott"), in their report dated December 31, 2018. Local fields in the Cretaceous Sands with mature miscible gas flood history, recovered significant volumes of the OOIP. Sand Dunes Field and North Buck Draw have recovered 50% and 60% of the OOIP, respectively. These pools form analogies and provided useful data for the Shannon Feasibility Study and third-party simulation.