2008-07-28 23:25:02 -

- Bonanza Oil and Gas, Inc., a Nevada Corporation (OTCBB: BGOI) and an independent oil and gas company, is pleased to announce the start of the Company's drilling program on the Point Bar Prospect on Damon Mound in Brazoria County, Texas.

Bonanza Oil & Gas is beginning operations on the Damon Mound Drilling Program in Brazoria County, Texas. The

first of four proposed wells are being staked and location constructed for an August 2008 spud date. "The Company is delighted that operations are starting on Damon. This drilling program continues the Company's strategy to develop its working interests and establish production," said Bill Wiseman, President and CEO.

About Bonanza Oil & Gas, Inc.

Based in Houston, TX, Bonanza Oil and Gas, Inc. holds assets ranging from current producing properties, wholly owned prospects, to developing working interests in Proven Undeveloped (PUDS) properties.

About Viewpoint Securities, LLC

Viewpoint Securities, LLC is the financial advisor for Bonanza Oil & Gas, Inc. Viewpoint provides investment banking and merchant banking services to emerging companies within the oil and gas, mining and other natural resources sectors. The company's investment banking specialists are focused on delivering creative corporate finance solutions to fit the specialized needs of our clients. The group is headquartered in La Jolla, California. For more information you can contact the company at 858-480-2800 or by email at info@vpsecurities.com. For more information go to: www.vpsecurities.com

Safe Harbor Statement

Some of the statements made by the Company in this press release are forward-looking in nature. Actual results may differ materially from those projected in forward-looking statements. The Company believes that its primary risk factors include, but are not limited to: production variances from expectations, volatility of product prices, inability to raise sufficient capital to fund its operations, environmental risks, competition, government regulation, and the ability of the Company to execute its business strategy, among others. Additional information concerning these and other important factors can be found within the Company's filings with the Securities and Exchange Commission. Statements in this press release should be evaluated in light of these important factors.

Bonanza Oil & Gas, Inc.
Bill Wiseman, 713-333-5808
President and CEO
Fax: 713-333-5928
bwiseman@unitedpe.com