Petrolympic Ltd.
TSX VENTURE : PCQ

Petrolympic Ltd.

July 31, 2008 09:00 ET

Petrolympic Announces Details of its Upcoming Exploration Programs

QUEBEC, QUEBEC--(Marketwire - July 31, 2008) - Petrolympic Ltd. ("Petrolympic" or the "Company") (TSX VENTURE:PCQ) is pleased to provide a corporate update and announce its upcoming exploration programs.

Exploration program on the joint venture properties

Following the completion of the acquisition of a 30% legal and beneficial interest in 36 exploration permits (the "JV Properties") totaling 1,661,630 acres (672,438 hectares) in the St. Lawrence Lowlands, Bas-Saint-Laurent and Gaspe Peninsula in Quebec through a joint venture arrangement with Ressource & Energie Squatex inc. ("Squatex") (see press release dated June 30, 2008). Petrolympic is pleased to announce that joint-venture operator Squatex has confirmed and awarded a major contract to GPR International Inc. and Kinetex Inc. to complete the field acquisition of 200 kilometers of new Reflection Seismic Profiles this summer as follows:

- 125 kilometres of lines to detail two "Utica plays" near Chambly and near Ste-Helene on the St. Lawrence Lowlands region properties.

- 75 kilometres of regional lines to better understand the structural complexity of the Lower Silurian section and see its relation with the Ordovician shale source rocks over the Bas-Saint-Laurent and Gaspe region properties. Further geological and geophysical studies including rocks sampling are also planned to be performed by INRS in early fall over these regions.

Of the 36 permits of the JV Properties, 15 exploration permits totaling 673,021 acres (272,362 hectares) are located in the St. Lawrence Lowlands, giving Petrolympic a major position over the Utica Shale, Lorraine and Trenton-Black River Formations.

"We are pleased that the significant seismic program can be acquired this summer," said Mendel Ekstein, President and CEO of the Company. "The purpose of our acquisition of the 30% interest in Squatex was to expand our land base in the St. Lawrence Lowlands and gain broader exposure to the Utica Shale area following the announcement of Forest Oil. The seismic program, particularly near Chambly, will begin to define targets in the Utica, Lorraine and Trenton-Black-River Formations. We are excited to be moving our exploration program forward with our partner."

Interpretation of Seismic Program on 100% interest Gaspe properties

As previously announced on January 14, 2008, seismic surveys were performed in the field by Petrolympic on its Gaspe properties south of Rimouski in November 2006 (60 kilometres) and in January 2008 (29 kilometres). "The information gathered from these seismic surveys provided us with high quality data that should help us to identify additional attractive structures for the pursuit of an efficient exploration program over the Mitis and Matapedia properties", said Paul Laroche, Senior Geologist and consultant to Petrolympic.

The most recent seismic survey has been sent to Sproule & Associates, a Calgary based engineering firm, for interpretation. The Company expects the interpretation to be completed shortly. The conclusions from this analysis will assist Petrolympic to identify the next phase of drilling targets in its ongoing exploration program.

Petrolympic Drilling Program on 100% interest properties

Petrolympic is pleased to announce that it has mandated Bissett Resource Consultants of Calgary to execute its first drilling project on the Matapedia property in the Gaspe region. Approvals from all authorities are expected soon and the well is expected to spud in early fall 2008. The drilling site has been identified from seismic interpretation over a large structural closure within a highly fractured zone. This site is located at two kilometers to the west of the C-125 Barthec Lac Matapedia No.1 well which obtained light oil in fractures. Hydrothermal dolomitization is known from an outcrop in the area and it could provide good secondary reservoirs. "This drilling location is extremely important as it should provide us with crucial data allowing us to establish structural and geological parameters. These should assist us in targeting the best future drill sites in this unknown region", said Mr. Laroche.

Focus on the Utica and Lorraine

Following the announcement on April 1st of this year by Forest Oil of its natural gas discovery in the St. Lawrence Lowlands and the acquisition of the interest in the JV Properties, Petrolympic is reprioritizing its exploration activities, postponing its drilling program on its properties located near Valleyfield (the "Valleyfield Properties") in the St. Lawrence Lowlands region, to focus on defining targets in the Utica Shale, Lorraine and Trenton-Black River formations on the JV Properties. The Company intends to carry out the planned drilling program on the Valleyfield Properties in the near future intended to study the potential for shallow gas production.

"Having secured an important interest in such a significant holding over the Utica, Lorraine and Trenton-Black River Formations, and given the results reported by Forest Oil, it makes sense for us to focus our exploration where it will create the most value for our shareholders" said Mendel Ekstein, President and CEO of the Company.

ABOUT PETROLYMPIC LTD.

Petrolympic holds an interest in 1,903,098 acres (786,344 hectares) of oil and gas exploration permits in the Appalachian Basin of Quebec that include holdings in the St. Lawrence Lowlands and Gaspe Peninsula. The Company's holdings in the St. Lawrence Lowlands include a 30% interest in 673,021 acres (272,362 hectares) through a joint venture with Ressource & Energie Squatex inc ("Squatex") giving Petrolympic a major position over the Utica Shale, Lorraine and Trenton-Black River formations as well as a 100% interest in 180,439 acres (73,021 hectares) located on the south shore of the St. Lawrence less than 30 kilometers southwest of Montreal. The Gaspe holdings include a 30% interest in 988,609 acres (400,076 hectares) through a joint venture with Squatex and a 100% interest in a block of exploration permits totaling 101,029 acres (40,885 hectares) located between Rimouski and Matane prospective for hydrothermal dolomite hosted light oil.

FORWARD-LOOKING STATEMENTS

This press release includes certain "forward-looking information" within the meaning of the Securities Act (Ontario), including, but not limited to, statements as to timing and extent of exploration programs and the availability of exploration results. As such, forward-looking information addresses future events and conditions and involves inherent risks and uncertainties, as disclosed under the heading "Risk Factors" and elsewhere in Petrolympic documents filed from time to time with the Ontario Securities Commission and other regulatory authorities. Actual results could differ significantly from those currently projected as a result of, among those factors, adverse weather, regulatory changes, delays in receiving permits, accidents and delays in completing exploration activities not all of which are in the control of Petrolympic. The forward-looking information contained herein is Petrolympic's reasonable estimate today of future events and conditions, but no assurance can be given that such events or conditions will occur.

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

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