HOUSTON, July 8 /PRNewswire-FirstCall/ -- Universal Energy Corp. (OTC Bulletin Board: UVSE), an emerging U.S. oil and gas exploration and production company, today announced the first of a series of strategic initiatives that are being implemented over the next several weeks by management to immediately enhance stockholder value.

"The elimination of corporate debt by year end is our first strategic initiative as it is imperative to increased profitability for our stockholders in the months and years to come" commented Dyron Watford, Chairman and Chief Financial Officer of Universal Energy Corp. Subsequent to the completion of its most recent financing on June 9, 2008, the company has reduced approximately $3,000,000 of debt from its balance sheet. Watford continued, "We estimate that since the end of our last quarter (March 31), our total liabilities have decreased approximately $6,200,000. This reduction in debt service will result in increased profits and greater long term growth prospects from the deployment of this capital."

During the debt reduction over the past few weeks, the company issued the remaining shares of common stock authorized by the company's articles of incorporation. Universal Energy Corp. plans to help support its future growth by increasing the number of authorized shares and with cash generated from current operations. The Company will hold its annual meeting during the middle of next month to vote to amend the articles of incorporation. The company plans to file a preliminary proxy statement by the end of this week. As of the date of this announcement, there are 250,000,000 shares issued and outstanding in Universal Energy Corp.

Universal Energy Corp. is a publicly traded (OTC Bulletin Board: UVSE) energy company engaged in the acquisition and development of crude oil and natural gas leases in the United States. We pursue oil and gas prospects in partnership with oil and gas companies with exploration, development and production expertise. Our prospect areas consist of lands in Louisiana and Texas. Visit http://www.universalenergycorp.info for more details.

Forward Looking Statements -- The information contained herein regarding risks and uncertainties, which may differ materially from those set forth in these statements, in addition to the economic, competitive, governmental, technological and other factors, constitutes a "forward-looking statement" within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995 and is subject to the safe harbors created thereby. While the company believes that the assumptions underlying such forward-looking information are reasonable, any of the assumptions could prove inaccurate and, therefore, there can be no assurance that the forward-looking information will prove to be accurate. Accordingly, there may be differences between the actual results and the predicted results, and actual results may be materially higher or lower than those indicated in the forward-looking information contained herein.



    CONTACT:
    Universal Energy Corp.
    Billy Raley, CEO, (800) 975-2076
    braley@universalenergycorp.info

SOURCE Universal Energy Corp.