Exhibit
      10.1

    


    Press
      Release

    For
      immediate release

    


    HEARTLAND
      OIL AND GAS ANNOUNCES RESERVE REPORT FOR 12/31/05,

    PROVIDES
      OPERATIONS UPDATE

    


    Denver,
      CO March 16, 2006 PR Newswire Heartland Oil and Gas Corp. (HOGC.OB) today
      announced it has received an estimate of its proved oil and gas reserves of
      its
      Lancaster field located within its Bourbon Arch project area. The report was
      prepared by Sproule Associates Inc., Heartland’s independent reservoir
      engineering auditing firm, and was prepared in accordance with U.S. Securities
      and Exchange Commission regulations. The report, received and dated March 15,
      2006, provides an estimate of proved reserve volumes, income, and cash flow
      attributable to leasehold interests of Heartland in the Lancaster field in
      Miami
      County, Kansas, as of December 31, 2005. This is the first audited reserve
      report for Heartland.

    


    The
      results of this study/report are summarized below:

     

    
      	 	
              Proved

            
	 	
              Developed

            	 	
              Total

            
	 	
              Producing

            	
              Non
                producing

            	
              Undeveloped

            	
              Proved

            
	
              Net
                remaining reserves

            	 	 	 	 
	
              Oil
                (stock tank barrels)

            	
              0

            	
              0

            	
              0

            	
              0

            
	
              Gas
                (mcf)

            	
              284,700

            	
              0

            	
              762,200

            	
              1,046,900

            
	 	 	 	 	 
	
              Income

            	 	 	 	 
	
              Future
                net cash flows

            	
              $983,400

            	
              $0

            	
              $1,269,900

            	
              $2,253,300

            
	
              Future
                net cash flow discounted at 10%

            	
              $838,400

            	
              $0

            	
              $477,700

            	
              $1,316,100

            


    

    


    Note:
      All
      prices and costs are held flat, with a wellhead gas price of $7.71 per thousand
      cubic feet of gas.

    


    Lancaster’s
      proved developed reserves are being produced into the Enbridge pipeline through
      Heartland’s recently
      completed pipelines and associated processing facilities. Gas sales have been
      steady and continuous since Lancaster’s initial sales date of February 17,
      2006.

    


    Operations
      Update

    Net
      of
      fuel gas, the Lancaster battery is currently producing 320 thousand cubic feet
      of gas per day (“Mcfgpd”) into Heartland’s gas processing plant. In addition,
      Heartland continues to test approximately 195 Mcfgpd from three other multi-well
      batteries. The batteries, including Lancaster, span twelve miles of the Bourbon
      Arch.

    


    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

       

    

    Phil
      Winner, CEO, said, “We are pleased to have established reserves, production, and
      cash flow from our shallow Lancaster reservoirs, and are satisfied that these
      estimates provided a reasonable initial assessment of our proved reserves.
      We
      believe any current reservoir engineering reserve estimates in this area still
      have some uncertainties, however, due to the complex reservoirs, variable
      completion techniques between Evergreen and Heartland, large geographic extent,
      and limited production histories on the Bourbon Arch.”

    


    “Elsewhere
      in the project area, we have conducted production tests on the three wells
      drilled and completed by Heartland. Production testing has been continuous
      over
      nearly eight months. These wells came on with initial rates of ranging from
      40
      to 80 Mcfgpd, and are now venting gas at rates ranging from 35 to 70 Mcfgpd.
      We
      intend to put these three wells, along with five wells originally drilled and
      completed by Evergreen Resources, into production if we are able to complete
      our
      previously announced financing goals.”

    


    About
      Heartland Oil and Gas Corporation

    Heartland
      Oil and Gas Corporation is engaged in the exploration, development, and
      acquisition of oil and natural gas. Heartland retains oil and gas leases on
      nearly one million acres in eastern Kansas. Heartland’s current focus is on
      producing operations from its shallow gas development project on the Bourbon
      Arch. 

    


    Safe
      harbor under the “Private Securities Litigation Reform Act of
      1995”

    Any
      statements in this news release that are not historical facts are
      forward-looking statements that involve risks and uncertainties. Words such
      as
“will,” ”intend,” “preparing,” “appraise,” “continue,” “target,” “expect,” and
      others indicate forward-looking statements and important factors which could
      affect actual results are discussed in our Form 10-KSB filed with the Securities
      and Exchange Commission, under the heading “Risk Factors." 

    


    For
      further information contact: 

    


    Investor
      Relations at Heartland Oil and Gas Corporation

    1-866-693-5500
      

    info@heartlandoilandgas.com
      (HOGC)

    


    Source:
      Heartland Oil and Gas Corporation