How do I invest in Petroleum & Resources?
Petroleum's common stock is listed on the New York Stock Exchange and Pacific Stock Exchange. Our stock's ticker symbol is "PEO". Our stock may be bought and sold through registered investment security dealers. Your broker will be happy to assist you in this regard. Once a share of stock is registered in your name, additional stock may be purchased through the Bank of New York's Automatic Dividend Reinvestment Plan (see page 19).

Where do I get information on the stock's price, trading and/or net asset value?
The net asset value per share is published on Saturdays in various newspapers and on Mondays in The Wall Street Journal in a table titled "Closed-End Funds". The table compares the net asset value at the close of the week's last business day to the market price of the shares, and shows the amount of the discount or premium.

Petroleum's daily trading is shown in the stock tables of most daily newspapers, usually with the abbreviated form "PetRs". Local newspapers determine, usually by volume of traded shares, which securities to list. If your paper does not carry our listing, please telephone the Corporation at (800) 638-2479.

How do I replace a lost certificate(s) or how do I correct a spelling error on my certificate?
Your Petroleum stock certificates are valuable documents and should be kept in a safe place. For tax purposes, keep a record of each certificate, including the cost or market value of the shares it covers at the time acquired. If a certificate is lost, destroyed or stolen, notify the transfer agent immediately so a "stop transfer" order can be placed on the records to prevent an unauthorized transfer of your certificate. The necessary forms and requirements to permit the issuance of a replacement certificate will then be sent to you. A certificate can be replaced only after the receipt of an affidavit regarding the loss accompanied by an open penalty bond, for which a small premium is paid by the stockholder.

In the event a certificate is issued with the holder's name incorrectly spelled, a correction can only be made if the certificate is returned to the transfer agent with instructions for correcting the error. To transfer shares to another name also requires that the certificate be forwarded to the transfer agent with the appropriate assignment forms completed and the signature of the registered owner Medallion guaranteed by a bank or member firm of The New York Stock Exchange, Inc.

Can you send my dividend checks directly to my bank?
Yes, supply either the Corporation or the Transfer Agent with your bank's name, your branch's mailing address and your account number at your bank. (Sorry, we cannot electronically transfer funds at this time.)

How often does the Corporation pay its dividends?
The Corporation anticipates distributions of 1997 investment income and capital gains as follows:
March 1
Interim 1997 investment income payment including remaining undistributed 1996 investment income and capital gain.
June 1
Interim 1997 investment income payment.
September 1
Interim 1997 investment income payment.
December 27
The year-end optional distribution approximating the sum of the net capital gain earned through 10/31/97 and the balance of the net investment income expected for 1997.

Additional information on the Corporation's dividend payments and the Automatic Dividend Reinvestment Plan is set forth on page 19.

Who do I notify of a change of address?
Either the Corporation or the Transfer Agent.

I'm getting two checks or two statements or two reports. What should I do?
Send the duplicate labels to the Corporation or Transfer Agent with a short note.

We go to Florida (Arizona) every winter. How do we get our mail from Petroleum & Resources?
The Transfer Agent can program a seasonal address into their system; simply send the temporary address and the dates you plan to be there to the Bank (check dividend payments dates).

I want to give shares to my children, grandchildren, etc. as a gift. How do I go about it?
The stock transfer rules, designed to protect you, the investor, are clear and precise for most forms of transfer. They will vary slightly depending on each transfer, so write to either the Corporation or the Transfer Agent stating the exact intent of your gift plans and either of us will send you the instructions and forms necessary to effect your transfer.

The Corporation
Petroleum & Resources Corp.
J.G. Whitney, Secretary
Seven St. Paul Street, Suite 1140
Baltimore, MD 21202
(800) 638-2479

The Transfer Agent
The Bank of New York
Shareholder Relations Dept.
101 Barclay Street, 11E
New York, NY 10007
(800) 432-8224