News and Press Releases

Shoal Point Energy et al.
Shoal Point 2K39 well reaches Intermediate Casing Point – May 9, 2008

The company is pleased to announce that we have reached the intermediate casing point in the Shoal Point 2K39 well at 2865m measured depth (1831 metres true vertical depth). The well has drilled into rocks of the "footwall fault block", which is a northeasterly continuation of the structural high that was productive in Port au Port #1. This has proven our updated geological model for the correct positioning of the well in this play, and significantly mitigated the mechanical and engineering risk associated with drilling such a deviated borehole. By setting our intermediate casing in non-permeable rocks at the top of the platform sequence (Table Cove Formation), we will isolate the upper section of the well, thereby enabling a safe, controlled operation as we drill ahead into rocks of the prospective Aguathuna and Watt's Bight Formations, both of which flowed large volumes of fluid to surface in the Port au Port #1 well. This phase of "drilling out" is expected to commence in 2 to 3 weeks, after conditioning, logging and cementing in the casing has occurred. We are still on course to drill the well to a total measured depth of approximately 4000m.

Furthermore, we have seen promising results in the section of the well drilled to date, as significant gas shows were encountered over a gross ~700 metre interval within the Green Point Formation below 1062 metres measured depth. This unit has up to now been recognized as an important mature source rock, and occurs regionally between Piccadilly in the south to Portland Creek along the northwest coast of Newfoundland. It is the rough equivalent in time and depositional environment to the Utica shale, which has been the subject of much good news recently in the St. Lawrence Lowlands and elsewhere, with respect to its potential for shale gas development. The company plans to fully evaluate this unit, a process which will begin with the logging of the intermediate hole over the next week or so, and will continue with comprehensive studies in order to quantify its economic potential. It is very significant that small amounts of production were recorded from this unit at Shoal Point circa 1900. Because of the burial of the Green Point to depths in the range of 1000-1500 metres in the offshore (as encountered in the well), the unit may become overmature and lie in the window for gas generation; regardless, commercial extraction of either gas or light oil may become a reality given the current pricing environment for these commodities.

The geography of the area provides a singular opportunity for this type of development, arising from the fact that no point within Port au Port Bay is more than 5 km from the shoreline surrounding the bay. This provides an opportunity of accessing over 100,000 acres of Green Point potential by drilling horizontal wells, and potentially frac'ing and stimulating such wells, techniques which have become much more sophisticated in recent years in the development of such important unconventional "resource" plays as the Barnett Shale of Texas.

Further updates will be provided as this work progresses over the next several weeks.

Shoal Point Energy - 2K39 Project Update – February 11, 2008

Today the company received the following update regarding the Nabors Rig #45 move from Alberta to Shoal Point.

• Started loading trucks on January 27th and finished loading on February 1st for a total of 5 days loading out rig #45.
• Last rig load started moving on February 1st with a predicted 15 day move across Canada to Newfoundland. (last load expected February 15th.)
• Rig will take approximately 6-8 days to rig up and commission, depending on the weather.
• Location work today February 11, 2008:
  • Held safety meeting prior to starting operations.
  • Not sure what trucks will arrive today due to weather & road restrictions.
  • Finish spotting matting base for substructure.
  • As of Monday 07:00 AM total of 50 loads unloaded with 17 loads left to come.
  • Shut down operations for the day due to high winds and unable to operate cranes in the severe wind conditions.
  • We will start up again tomorrow am if weather permits.
• Substructure Over width, over length and overweight loads are caught in a storm on the NS & NFL side of the ferry, waiting on the weather to subside. They are predicted to arrive in Stephenville late today or tomorrow.
• Weather Conditions:
  • Westerly winds with gusts up to 110 km/h are expected tonight. This is a warning that potentially damaging winds are expected in these regions. Monitor weather conditions, Listen for updated statements.
    
    
• Rig move progressing well, but some trucks behind 2 days due to weather and small mechanical problems. As expected we had had some delays at the ferry, with no major delays as of morning of February 11th

Shoal Point Energy - 2K39 Project Update - January 28, 2008

Today the company received the following update regarding the Nabors Rig #45 move from Alberta to Shoal Point.

• We mobilized cranes and trucks for loading yesterday January 27th and equipment to keep the roads and location clear of drifting snow so that the rig move will continue as planned over the next 4 to 5 days of loading.
• As of noon today January 28, 2008 we are continuing to load trucks with two 80 ton cranes and 5 trucks have already been loaded and dispatched from the loading site to the Shoal Point location (SPE 2K39 well) near Stephenville, Newfoundland.
• The expected number of trucks to complete this move will be 68 trucks. The initial 60 trucks will move the Nabors Rig #45 loads, which we anticipate loading at 15 per day over the next 4 days. This will be followed by 8 to 10 loads of rental and special operations equipment as required.

Steve c McIntosh
Operations Manager
Dragon Lance Management Corporation

The company is pleased to provide this report and will continue to provide regular updates on our progress with 2K39.

Corporate Update - January 21st, 2008: Calgary, AB, Canada – Shoal Point Energy Ltd. (the "Company") is pleased to announce the following corporate updates:

• The Company has received approval from the Canada-Newfoundland & Labrador Petroleum Board ("CNLOPB") for an extension of its exploration license 1070 in Western Newfoundland. The extension moves the deadline to spud the Shoal Point prospect from January 15, 2008 to March 17, 2008. As a result, the Company is expected to commence drilling of the Shoal Point prospect in mid February with results from drilling expected by May 2008. Independent geophysical interpretations indicate the Shoal Point prospect could contain up to 500 million barrels of light sweet crude.
• Shoal Point Energy is pleased to announce that it has entered into an agreement with PDI Production Inc of St. John's, Newfoundland, for the sale of the Company's participation rights in Garden Hill South ("GHS") & Garden Hill North ("GHN"). The Company had held a right to earn a 15% interest in GHS and held an option to earn 18% on GHN, both as a non-operating partner. Under this agreement the Company has received $2,000,000 from the sale and a further $1.65 million against the rig demobilization deposit and general project expenses. The Company will apply these funds toward mobilizing the Nabors 45 drill rig from Alberta to Western Newfoundland to drill the Shoal Point 2K39 well. When 2K39 is completed, the rig will be released to PDI Production Inc. for their use at Garden Hill South. It is planned that the Nabors 45 Rig will leave Alberta on or about January 26, 2008 and arrive at Shoal Point on or about February 12, 2008 and be rigged up to spud the 2K39 well by February 22, 2008. This transaction will help the Company to further its focus on the Shoal Point 2K39 prospect.
• The Company has received approval from its Board, to pursue a listing on the CNQ market with a listing expected in February. The listing will be by way of a non-offering prospectus. Prior to listing its shares on CNQ the Company will complete a private placement for up to $4M priced at the same terms as the December private placement consisting of Special Warrants exercisable into a Unit of a common share at $0.40 and a half warrant, each whole warrant will be exercisable for two years or sooner in certain circumstances at $0.60. Flow Through shares will be priced at $0.45. The private placement will close no later than Jan 31, 2008. Kingsdale Capital Markets Inc. will act as Agent for the Company on the private placement and should be contacted to participate in the financing. Note: All Special Warrants currently held by Shareholders that were issued prior to December 2007, will be extended to June 30, 2008 and will convert into Common Shares and Warrants on the earlier of June 30, 2008 and the fifth business day following the date the Corporation receives a receipt for a final Prospectus. The time of expiry of the underlying warrants have also been extended by 6 months.
• The Company is actively seeking farm-in partners for the Shoal Point prospect. Shareholders will be informed once such partners have been identified. The Company believes that this is a prudent business move to diversify risk for this high impact exploration target. The Company is operator on the 1070 license and currently holds the right to earn 56% by paying 82.5% of the Shoal Point 2K-39 well cost.
• In the South Stoney Creek play, New Brunswick, Shoal Point Energy Ltd. has been informed by the Operator, Contact Exploration Inc., that it plans to spud the Pound Hill well in February, 2008 with results expected in late February early March 2008. By participating in this new well, the Company will complete its obligations to earn a 40% interest in this approximately 39,000 acre block. Plans to remediate the productive Downey well, which lies on the block and which has flowed up to 2 MMCFD on a short term test, will continue, once warmer weather arrives in the 2nd quarter. The Company believes this remediation work may provide significant upside for moderate expense.
• Shoal Point Energy Ltd. board member, Mark Cooper PhD, has recently retired from his position as Vice President, Middle East and New Ventures with Encana. Mark will now support the management team in a consulting capacity in furthering both the Shoal Point project as well in strategically planning additional drilling targets.

George Langdon, CEO of Shoal Point Energy stated “I am delighted to report these upcoming rig movements and the imminent commencement of drilling on both of our core properties in Atlantic Canada. We appreciate our shareholders patience and support over the past few months, and we all look forward to a very exciting 2008”.

For further information regarding this press release and Shoal Point Energy Ltd., please contact Shoal Point Energy Ltd. or Kingsdale Capital Markets Inc. related to the financing as follows:

Shoal Point Energy Ltd. John Wright Telephone: (403) 237-0714 or 403-973-1371 (Cell) Facsimile: (403) 237-0696 Email: info@shoalpointenergy.com Web: www.shoalpointenergy.com

Kingsdale Capital Markets Inc. Rob Fia Telephone: 416-867-2353 Email: rfia@kingsdalecapital.com

2007 01 21 - 11:15 a.m.

Certain statements contained herein may constitute forward-looking statements. These statements relate to future events or our future performance. All statements other than statements of historical fact may be forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. We believe that the expectations reflected in the forward-looking statements are reasonable based upon management’s current views but no assurance can be given that these expectations will prove to be correct and such forward-looking statements should not be unduly relied upon. These statements speak only as of the date hereof. We do not intend, and do not assume any obligation, to update conclusions, forecasts or projections that may be contained in these forward-looking statements, whether as a result of new information, future events or otherwise. No assurance can be given that actual results, performance or achievement expressed in, or implied by these forward-looking statements will occur, or if they do, that any benefits may be derived from them. Past results have been applied in drawing a conclusion or making a forecast or projection set out in the forward-looking information.

Our actual results could differ materially from those anticipated in these forward-looking statements as a result of factors that may include, but are not limited to: the impact of government regulation, potential delays or changes in plans with respect to exploration and development projects, success of exploration and development activities, general industry and market conditions and other risks.

Natural Resources - May 31, 2007: Government to Create New Energy Corporation

Government to Create New Energy Corporation

The province’s intention to pursue greater energy opportunities on behalf of the people of the province is taking a major step forward with the tabling of legislation today to create a new provincial energy corporation.

The Energy Corporation Act allows for the creation of a holding company to separate the regulated operations of Newfoundland and Labrador Hydro (Hydro) from the unregulated activities associated with its expanded mandate. The creation of an energy corporation was a commitment in the 2003 election policy document, A Blue Print for the Future.

"By separating regulated activities from non-regulated activities, our government is ensuring that energy investments in non-regulated activities will not affect electricity rates," said the Honourable Kathy Dunderdale, Minister of Natural Resources. "This is about creating an entity that will play an important new role in the development of our energy resources and maximizing the return to the people of the province."

The new energy corporation will own 100 per cent of Hydro and its subsidiaries and will be fully functional with the transfer of related assets, employees and contracts slated for January 1, 2008. It will be named at a later date.

This structure follows standard practices in other jurisdictions where a utility is engaged in regulated and unregulated energy markets. Any new long-term borrowings related to new development opportunities will have to go to cabinet for approval. Hydro chief executive officer (CEO) Ed Martin will be the CEO of the new energy company.

"A tremendous amount of work has gone into the internal planning and reorganization and we have a strong team who are committed to pursuing our growth strategy," Mr. Martin said. "This legislative change is an important step in our business evolution and will provide the appropriate structure to support the long-term vision of our shareholder, the Government of Newfoundland and Labrador."

The introduction of the Energy Corporation Act is another in a series of steps the Provincial Government has taken since 2003 to give Hydro the expertise and authority to explore opportunities in the energy sector. Government amended the Hydro Corporation Act last year to give Hydro more flexibility to pursue new business opportunities while the formal corporate structure could be determined. Further amendments are also being made at this time to the Hydro Corporation Act to reflect the creation of the new energy corporation.

"The strategic development of our energy resources is a critical part of our government’s long-term economic development plan and positioning the province for the future," said Minister Dunderdale. "These actions being taken today demonstrate another significant step in achieving that vision."

The leadership team, at the direction of the Provincial Government, is already discussing and advancing business development opportunities, including possible investments in oil and gas, wind development and the Lower Churchill Project.

All activities engaged in by the energy corporation will be consistent with, and guided by, the province’s approach to energy development and the soon-to-be-released provincial Energy Plan. Full control will remain with the Government of Newfoundland and Labrador, as the shareholder of the corporation.

Media contacts:

Tracy Barron Director of Communications Department of Natural Resources 709-729-5282, 690-8241 tracybarron@gov.nl.ca

Dawn Dalley Manager, Corporate Communications Newfoundland and Labrador Hydro 709-737-1315, 727-7715 ddalley@nlh.nl.ca

2007 05 31 - 11:15 a.m.

Natural Resources - February 19, 2007: Oil and Gas Week 2007 Kicks Off

Oil and Gas Week 2007 Kicks Off

Governments, academia and industry partners are celebrating the positive developments and opportunities in the province’s oil and gas sector, as well as promoting the critical importance of research and development to the continued evolution of industry with the kick off today of Oil and Gas Week 2007.

"This year’s theme, World of Opportunity, very appropriately articulates the potential of our industry," said the Honourable Kathy Dunderdale, Minister of Natural Resources. "We have over 300,000 square miles of offshore petroleum potential, we are positioning ourselves to be a significant future producer of natural gas and we are on the leading edge in research and development, particularly in marine compressed natural gas technology. We have a lot to celebrate."

Minister Dunderdale participated in the kick-off reception of Oil and Gas Week 2007 in St. John’s earlier today. Over 80 per cent of eastern Canada’s discovered offshore oil and gas resources are located off our shores. To date, over 2.7 billion barrels of oil have been discovered offshore, with another six billion barrels in estimated undiscovered potential. In excess of 700 million barrels of oil have already been produced from the prolific Jeanne d’Arc basin.

"We are continuing our efforts to establish a competitive and efficient offshore and onshore regulatory regime that encourages exploration and the timely development of discoveries, while also ensuring a fair return to the people of the province and industry," the minister said. "We will soon initiate an industry consultation process on our natural gas royalty structure and we are finalizing our Energy Plan for release in late spring."

While the success of the province’s producing oil projects is well known, the minister referenced the positive activity that is occurring on the west coast of the province, both onshore and offshore. PDI Production Incorporated, in partnership with Canadian Imperial Venture Corporation (CIVC), has announced that 2,436 barrels of oil and 9.4 million standard cubic feet of gas have been produced to date during the latest flow testing program at Garden Hill South. Testing is ongoing to help determine reserves and the requirements for continuous production operations. Associated with these operations is another requirement to conduct exploration activity in Garden Hill North this year.

At the same time, CIVC has announced the drilling of a well this summer on the Shoal Point prospect in its offshore west coast exploration license and Tekoil is planning to drill an onshore to offshore well later this year as phase one of a three-phase exploration program as part of their farm-in arrangements with Ptarmigan Resources.

"This is a crucial year for us in terms of our energy development and it’s an exciting time in our province’s history, as we move forward with our plan for the strategic development of our resources in the best interest of the people of the province and future generations," Minister Dunderdale said. "With the increasing activity in the province’s oil and gas industry and the challenges associated with the development of these resources, we understand the important role of research and development in the continued evolution of the industry and in securing our position as an energy producer. That is why we continue to be interested in Joint Industry Partnerships through organizations such as C-CORE to conduct studies related to oil and gas operations in our cold ocean environment."

Government understands the impact of research and development in the development of the province’s natural gas resources and is a key supporter of the Centre for Marine Compressed Natural Gas in St. John’s, the world’s first research and development facility for large-scale marine CNG transportation.

The province has about 10.2 trillion cubic feet of discovered natural gas offshore waiting to be recovered, with another 60 trillion cubic feet in undiscovered potential. That’s enough gas to supply the entire combined natural gas needs of the New England States, Ontario and New York for three years. It could also provide this province with a source of clean fuel for thermal electricity generation.

Media contact:
Tracy Barron
Director of Communications
Department of Natural Resources
709-729-5282, 690-1703
tracybarron@gov.nl.ca

2007 02 19 - 12:25 p.m.

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