Eagle Rock Exploration Ltd.
TSX VENTURE : ERX

Eagle Rock Exploration Ltd.

January 11, 2007 12:15 ET

Eagle Rock Announces Production Update

CALGARY, ALBERTA--(CCNMatthews - Jan. 11, 2007) - Eagle Rock Exploration Ltd. (TSX VENTURE:ERX) ("Eagle Rock") is pleased to announce that it has exceeded its 2006 target production rate of 800 boe/d. Eagle Rock, which commenced operations in December 2005 with production of 40 boe/d, exited 2006 with a production rate of 820 boe/d.

Eagle Rock derives 420 bbls/d of oil production from its properties at Antelope Lake in Southwest Saskatchewan, with the remaining 400 boe/d of production coming from its assets at Coutts/Red Coulee in Southern Alberta. Production from the Coutts/Red Coulee properties is comprised of approximately 80% oil and 20% natural gas.

During the first quarter of 2007, Eagle Rock will be focused on maximizing its fluid through-put in its new oil battery at Red Coulee, which has the capacity to handle up to 10,000 bbl of oil/water emulsion per day.

ERX is an emerging junior oil and gas company engaged in the acquisition, exploration and development of oil and natural gas reserves in Western Canada. The common shares of ERX trade on the TSX Venture Exchange under the symbol "ERX". Further information is available on the ERX website at www.eaglerockexploration.com.

Forward-looking Information

This press release includes forward-looking statements and assumptions respecting ERX's strategies, future operations, expected financial results, financial sources, commodity prices, costs of production and quantum of oil and natural gas reserves and discusses certain issues, risks and uncertainties that can be expected to impact on any of such matters. By their nature, forward-looking statements are subject to numerous risks and uncertainties that can significantly affect future results. Actual future results may differ materially from those assumed or described in such forward-looking statements as a result of the impact of issues, risks and uncertainties whether described herein or not, which ERX may not be able to control. The reader is therefore cautioned not to place undue reliance on such forward-looking statements. The forward-looking statements contained in this press release are made as of the date hereof and ERX undertakes no obligation to update publicly or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement. In addition, the term BOE may be misleading, particularly if used in isolation. A BOE (barrel of oil equivalent) conversion ratio of 6 Mcf per one (1) BOE is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Eagle Rock Exploration Ltd.
    Jim Silye
    President and Chief Executive Officer
    (403) 269-4040
    (403) 261-1978 (FAX)