Montello Resources Ltd.
TSX VENTURE : MEO

Montello Resources Ltd.

November 20, 2008 22:25 ET

Montello Provides Update on Tennessee and Announces Small Financing

CALGARY, ALBERTA--(Marketwire - Nov. 20, 2008) - Montello Resources Ltd. ("Montello") (TSX VENTURE:MEO) is pleased to announce the commencement of operations for the testing-completion of the John Bowen #2 deep gas zone. The rig arrived on site November 18, 2008. Montello is also currently involved in projects in Alberta.

Montello also wishes to announce a non-brokered flow through private placement unit financing consisting of up to 1,550,000 units priced at $0.31 per unit. The unit is comprised of (4) four non-flow through common shares, (6) six flow through common shares for a total of 10 common shares as well as (10) ten common share purchase warrants exercisable at (5) five cents each, with a one year term.

The proceeds of up to $480,500 from the offering will be used to develop Montello's oil and/or natural gas prospects in Morgan County, Tennessee, and advance exploratory-completion activities on our Alberta joint venture properties.

If all common share warrants are exercised it would provide the Company with additional gross proceeds of $775,000.00. Sixty percent of the proceeds received from the sale of the flow through units will be used by Montello to incur qualifying Canadian exploration expenses, which will be renounced in favour of purchasers for the 2008 and/or 2009 taxation year depending on closing.

The purchase price of the flow through units will be allocated as to $0.03 per common share, and $0.001 per common share warrant. The closing trading price on November 18, 19 and 20, 2008 was (3) three cents per common share on the TSX Venture Exchange.

Finder's fees of up to 8% may be payable in certain instances.

The foregoing is subject to regulatory approval.

ON BEHALF OF THE BOARD OF DIRECTORS

Montello Resources Ltd.

Peter C. Brown, President-CEO

About Montello Resources Ltd: Montello Resources Ltd. (TSX VENTURE:MEO) is a Calgary based, publicly traded oil and gas explorer listed on the TSX Venture Exchange in Canada with operations focussed in Tennessee and in Alberta. Prospective and current shareholders of the Company are invited to join the company's official investment forum exclusively at www.pinnacledigest.com. The forum allows for investor-controlled discussion, questions, third party reports and articles, and progressive feedback from other shareholders and investors. Please go to www.sedar.com for a detailed list of all filings and news releases. Also visit www.montello.com for ongoing updates & have your name included on our mailing list. See http/www.pinnacledigest.com/company/meo:ca.

Reader Advisory: This news release contains certain forward-looking statements, including management's operations and capital expenditures and the timing thereof, that involve substantial known and unknown risks and uncertainties, certain of which are beyond the Corporation's control. The Corporation's actual results, performance or achievements could differ materially from those expressed in, or implied. Investors are cautioned that forward-looking statements are inherently uncertain and involve risks and uncertainties that could cause actual results to differ materially. There can be no assurances that future developments affecting Montello will be those anticipated by management. Furthermore any forward-looking statements contained in this news release are made as at the date of this news release and the Corporation does not undertake any obligation to update publicly or to revise them whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws. We Seek Safe Harbour.

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

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