ERA Carbon Offsets Ltd.
TSX VENTURE : ESR

ERA Carbon Offsets Ltd.

August 27, 2009 18:00 ET

ERA Carbon Offsets Ltd. Announces Restatement of the Third Quarter 2008 Interim Consolidated Financial Statements

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 27, 2009) - ERA Carbon Offsets Ltd. (ERA or the "Company") (TSX VENTURE:ESR) announces that the Company's previously issued interim consolidated financial statements for the third quarter ended September 30, 2008 will be restated to reflect the changes made to the deferred revenue recognized as of December 31, 2007.

The Company has identified that deferred revenue was misclassified and should be recognized as revenue in the fiscal year 2007. According to the Company's revenue recognition policy, the correction will result in a reclassification of $204,230 deferred revenue to sales, therefore reducing the deficit from $1,955,073 to $1,750,843 as of December 31, 2007. The Company will re-file its interim consolidated financial statements and restated MD&A for the third quarter ended September 30, 2008 to reflect changes primarily relating to the above noted adjustment. ERA's interim consolidated financial statements and MD&A for the third quarter ended September 30, 2008, as previously published and filed, should no longer be relied upon. The above changes have also been reflected in the December 31, 2008 audited consolidated financial statements and MD&A.

About ERA Carbon Offsets Ltd.

ERA is a Canadian based pioneer in forest-based carbon offset programs and project development. Through its subsidiary, ERA Ecosystem Restoration Associates Inc., ERA produces significant measurable carbon sequestration benefits that are validated and verified to international standards and sold to purchasers interested in offsetting their greenhouse gas footprints as a means of mitigating the effects of climate change. ERA is producing EcoNeutral® offsets from the company's "Community Ecosystem Restoration Program" (CERP) in the Lower Fraser Valley, near Vancouver, British Columbia. ERA is also developing projects in Africa, South America, and the United States. ERA has generated ISO-validated and verified EcoNeutral® carbon offsets from the CERP project to supply clients and offset users that include Rolling Stone Magazine, Shell Canada Ltd., Air Canada, the Motion Pictures Producers Industry Association, and the Globe Foundation.

Additional information on ERA can be found on the corporate website www.eraecosystems.com or by contacting investor@econeutral.com.

On behalf of the Board of Directors of ERA CARBON OFFSETS LTD.

Robert Falls, Chief Executive Officer

FORWARD LOOKING STATEMENTS: This document includes forward-looking statements as well as historical information. Forward-looking statements include, but are not limited to, the continued advancement of the company's general business development, research development and the company's development of forest-based carbon offsets. When used in this document, the words "anticipate", "believe", "estimate", "expect", "intent", "may", "project", "plan", "should" and similar expressions may identify forward-looking statements. Although ERA Carbon Offsets Ltd. believes that their expectations reflected in these forward looking statements are reasonable, such statements involve risks and uncertainties and no assurance can be given that actual results will be consistent with these forward-looking statements. Important factors that could cause actual results to differ from these forward-looking statements include fluctuations in the marketplace for the sale of carbon credits, the inability to implement corporate strategies, the ability to obtain financing and other risks disclosed in our filings made with Canadian Securities Regulators.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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