NuLoch Resources Inc.

NuLoch Resources Inc.

October 17, 2005 13:30 ET

NuLoch Provides Operational Update

CALGARY, ALBERTA--(CCNMatthews - Oct. 17, 2005) - NuLoch Resources Inc. (TSX VENTURE:NLR.A) ("NuLoch") reports that drilling and casing operations on the Company's shallow natural gas project at Enchant, Alberta commenced on October 8, 2005. A total of 42 wells with an average working interest over 95 percent will be drilled into the Second White Specks Formation ("SWS") at 700 metres. To date, four wells have been drilled and the Company has the option to add a second rig to accelerate the drilling phase as weather conditions permit.

The project is a rolling option farm-in wherein NuLoch will earn 100% of the farmors' working interests in mineral rights down to the base of the Fish Scales Formation subject to a 15% non-convertible overriding royalty. A total of 16.75 sections (10,720 acres) of land will be earned through the drilling of the 42 wells. A program of 18 to 25 additional wells to be drilled on these lands in 2006 is currently in the planning phase.

Wet weather is impacting the pace of operations. Production start-up is targeted for January, 2006.

At Shouldice, Alberta, production from our 100% working interest well commenced on October 14, 2005. The initial rate has been set at 750 mcf/d. A detailed analysis of the August 2005 well test indicates that the Basal Quartz reservoir may be limited in size. If so, production from this well will decline quickly.

NuLoch is a junior oil and gas exploration and development company based in Calgary and listed on the TSX Venture Exchange. Operations commenced on July 1, 2005 and up to $11 million of capital investment has been targeted for the fiscal period ending December 31, 2005.

Forward-looking Information

The corporate information contained in these pages contains forward-looking information. The reader is cautioned that assumptions used in the preparation of such information, although considered reasonable by NuLoch at the time of preparation, may prove to be incorrect. The actual results achieved in future periods will vary from the information provided herein and the variations may be material. Consequently, there is no representation by NuLoch that actual results achieved during future periods will be the same in whole or in part as the information contained herein.

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

Contact Information

  • NuLoch Resources Inc.
    James N. McIndoe
    President and CEO
    (403) 920-0455
    (430) 920-0457 (FAX)
    NuLoch Resources Inc.
    2200, 444 - 5th Avenue SW
    Calgary, Alberta T2P 2T8