December 12, 2005

PETROLEUM & RESOURCES CORPORATION ANNOUNCES ISSUE PRICE OF SHARES FOR YEAR-END DISTRIBUTION PAYABLE DECEMBER 27, 2005

BALTIMORE, MARYLAND -- DECEMBER 12, 2005 - The price at which Petroleum & Resources Corporation (NYSE: PEO) common stock will be issued in payment of the $0.25 income dividend and $1.14 capital gain distribution to stockholders who have elected to receive the distributions in stock, payable December 27, 2005, is $33.64 per share. This price is the mean between today's high and low sales prices of the Corporation's stock on the New York Stock Exchange.

Petroleum & Resources Corporation is a Baltimore-based closed-end investment company. It is traded on the New York Stock Exchange and Pacific Exchange.

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For further information, please contact:

Douglas G. Ober, Chairman, Chief Executive Officer & President
Lawrence L. Hooper, Jr., Vice President, General Counsel & Secretary
(410) 752-5900 or (800) 638-2479

E-mail: contact@peteres.com
Website: www.peteres.com

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