EXHIBIT 99.1

November 17, 2008

FOR IMMEDIATE RELEASE

Mexco Energy Corporation Reports Profitable Earnings

MIDLAND, TX – 11/17/08 -- Mexco Energy Corporation (AMEX: MXC) today reported net income of $511,115, or $0.26 per diluted share, for the quarter ending September 30, 2008, the Company’s second quarter of fiscal 2009, compared to a net loss of $8,756 for the same quarter of fiscal 2008.   Operating revenues in the second quarter of fiscal 2009 increased $760,698 or 90% to $1,601,806 from $841,108 for the second quarter of fiscal 2008.

The average sales price for the second quarter of fiscal 2009 was $10.74 per Mcfe compared to $7.31 per Mcfe for the second quarter of fiscal 2008, an increase of 47%.  Oil production increased 4% and gas production increased 37% during the second quarter of fiscal 2009 as compared to the same period of fiscal 2008.

For the six months ended September 30, 2008, the Company reported net income of $1,049,904, or $0.55 per diluted share, as compared to $26,049, or $0.01 per diluted share, for the same period of fiscal 2008, a 3,930% increase.  Operating revenues increased $1,589,701, or 94%, to $3,281,127 for the six month period from $1,691,426 for the same period of fiscal 2008.

This is partially the result of revenues generated from the recent purchases of Barnett Shale oil and gas royalty interests.  For the three month period ending September 30, 2008, revenues from oil and gas royalty interests accounted for approximately 36% of the Company’s revenues, compared to approximately 23% for the same period ending September 30, 2007.

These six-month period results do not reflect any income from Mexco’s Steelhead #1 well in Loving County.  The Company has acquired rights-of-way and is preparing to build a pipeline to enable production and sales of natural gas from this well.

Nicholas C. Taylor, President and CEO of Mexco Energy Corporation, said, "In addition to the projected contribution to earnings from the Steelhead discovery, we expect recently acquired royalty interests in Johnson County, Texas to add significantly to the Company’s earnings.”

Thomas Graham, Jr., Chairman of the Board of Directors of the Company added, “This latest report showing a significant earnings advance is more evidence of progress and the bright future ahead for the Company.”

Mexco Energy Corporation owns oil and gas properties in ten states, with the majority of its activity centered in West Texas.  The Company continues to focus its efforts on increasing oil and natural gas reserves, through exploration and development as well as acquisition of royalties with significant development potential.

Mexco Energy Corporation and Subsidiaries

CONSOLIDATED BALANCE SHEETS

	September 30, 2008			March 31, 2008
	(Unaudited)
ASSETS
Current assets
Cash and cash equivalents	$	220,239		$	303,617
Accounts receivable:
Oil and gas sales		867,441			758,459
Trade		474,449			102,403
Related parties		42,446			12,659
Prepaid costs and expenses		51,304			22,062
Total current assets		1,655,879			1,199,200
Investment in GazTex, LLC		--			20,509
Property and equipment, at cost
Oil and gas properties, using the full cost method		24,805,130			23,941,483
Other		61,362			61,362
		24,866,492			24,002,845
Less accumulated depreciation, depletion and amortization		12,499,702			12,019,895
Property and equipment, net		12,366,790			11,982,950
	$	14,022,669		$	13,202,659
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current Liabilities
Accounts payable and accrued expenses	$	726,505		$	571,526
Long-term debt		950,000			2,600,000
Asset retirement obligation		409,552			374,789
Deferred income tax liability		1,236,139			1,196,280
Stockholders’ equity
Preferred stock - $1.00 par value;
10,000,000 shares authorized; none outstanding		--			--
Common stock - $0.50 par value; 40,000,000 shares authorized;
1,958,866 and 1,841,366 shares issued;
1,874,866 and 1,757,366 shares outstanding as of
September 30 and March 31, 2008, respectively		979,433			920,683
Additional paid-in capital		5,513,024			4,381,269
Retained earnings		4,634,633			3,584,729
Treasury stock, at cost (84,000 shares)		(426,617	)		(426,617	)
Total stockholders’ equity		10,700,473			8,460,064
	$	14,022,669		$	13,202,659

Mexco Energy Corporation and Subsidiaries

CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

	Three Months Ended						Six Months Ended
	September 30						September 30
	2008			2007			2008			2007
Operating revenue:
Oil and gas sales	$	1,595,209		$	839,947		$	3,267,797		$	1,690,092
Other		6,597			1,161			13,330			1,334
Total operating revenues		1,601,806			841,108			3,281,127			1,691,426
Operating expenses:
Production		357,753			467,336			692,741			800,386
Accretion of asset retirement obligation		7,266			6,713			14,204			13,324
Depreciation, depletion, and amortization		240,962			183,797			479,807			356,681
General and administrative		199,239			178,918			480,900			448,543
Total operating expenses		805,220			836,764			1,667,652			1,618,934
Income from operations		796,586			4,344			1,613,475			72,492
Other income (expense):
Interest income		671			1,747			1,007			2,085
Interest expense		(19,854	)		(20,345	)		(53,589	)		(35,694	)
Net other expense		(19,183	)		(18,598	)		(52,582	)		(33,609	)
Income (loss) before income taxes		777,403			(14,254	)		1,560,893			38,883
Income tax expense (benefit):
Current		257,562			--			471,130			--
Deferred		8,726			(5,498	)		39,859			12,834
		266,288			(5,498	)		510,989			12,834
Net income (loss)	$	511,115		$	(8,756	)	$	1,049,904		$	26,049
Earnings per common share:
Basic:	$	0.27		$	--		$	0.58		$	0.01
Diluted:	$	0.26		$	--		$	0.55		$	0.01
Weighted average common shares outstanding:
Basic:		1,873,127			1,772,268			1,817,962			1,774,526
Diluted:		1,975,453			1,772,268			1,922,568			1,786,397

In accordance with the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995, Mexco Energy Corporation cautions that statements in this press release which are forward-looking and which provide other than historical information involve risks and uncertainties that may impact the Company's actual results of operations. These risks include, but are not limited to, production variance from expectations, volatility of oil and gas prices, the need to develop and replace reserves, exploration risks, uncertainties about estimates of reserves, competition, government regulation, and mechanical and other inherit risks associated with oil and gas production.  A discussion of these and other factors, including risks and uncertainties, is set forth in the Company's Form 10-K for the fiscal year ended March 31, 2008.  Mexco Energy Corporation disclaims any intention or obligation to revise any forward-looking statements.

For additional information, please contact:  Nicholas C. Taylor, President and Chief Executive Officer or Tammy L. McComic, Vice-President and Chief Financial Officer, both of Mexco Energy Corporation, (432) 682-1119.