Sabretooth Energy Ltd.

Sabretooth Energy Ltd.

December 18, 2007 08:30 ET

Sabretooth Energy Ltd. Attains 4,000 boe/d Exit Target and Continues Successful Drilling Program

CALGARY, ALBERTA--(Marketwire - Dec. 18, 2007) - ("Sabretooth" or the "Company") (TSX:SAB) is pleased to provide an operational update on current production and drilling success.

Operations Update - Successful Drilling and Production Additions

Current production has increased to over 4,000 boe/d, with the tie-in of another development well at George, Alberta.

George, Alberta:

Sabretooth has dual completed its latest development well at 4-33-82-5W6. The well has just been tied in and is currently flowing at a combined 3 MMCF/d from a Kiskatinaw and a Triassic zone. Net production from the George area is now over 1,000 boe/d from 5 wells. Surveying is underway for more follow up locations in early 2008.

Gunnell, British Columbia:

A new multi-lateral Jean Marie development well was spud at Gunnell last week. This well is the first of a multi-well drilling program planned by the operator for 2008. Sabretooth working interest varies from 22% to 30%.

Royce, Alberta

Sabretooth is in the process of completing an exploratory 100% Kiskatinaw discovery recently cased in the Royce area. The well will be tied in by year end. A recompletion program is also underway in the Peace River Arch targeting many of the wellbores acquired in the Bear Ridge Resources amalgamation with one re-entry and one uphole recompletion currently underway. Both of these projects will be tied in by year end.

Fireweed, British Columbia:

Two wells were recently drilled and cased for multiple horizons in the Fireweed area of Northeast British Columbia. The wells were drilled on a 3D seismic survey shot in the spring in which Sabretooth participated for a 50% working interest. Completions are underway in both wells.


Currently Sabretooth has approximately 12,000GJ per day hedged at a weighted average floor and ceiling price of $6.75 / GJ and $9.76 / GJ respectively. Sabretooth anticipates hedging a portion of its 2008 gas production.

Short Term Investments - Expects no Material Adverse Effect on Company

The pan-Canadian restructuring committee led by Purdy Crawford has announced that the December 14, 2007 deadline for a restructuring agreement has been extended to December 31, 2007 with closing still expected to be March 31, 2008 at which time it is anticipated that liquidity will return to Sabretooth's $24.2 million asset backed commercial paper investment. Sabretooth does not anticipate any impact on our 2008 capital spending program as a result of continuing to hold this investment at this time.

About Sabretooth Energy

Sabretooth Energy Ltd. is a public oil and gas exploration and development company, located in Calgary, Alberta and carrying out operations in Western Canada. Sabretooth trades on the Toronto Stock Exchange (TSX) under the symbol "SAB".

Our mandate is to grow through a balanced approach of drill bit adds, accretive acquisitions, and aggressive exploitation of upside.

Reader's Advisory:

Certain information regarding Sabretooth Energy Ltd. in this news release include managements assessment of the future plans and operations and their timing may constitute forward-looking statements under applicable securities laws and necessarily involve risks including, without limitation, risks associated with oil and gas exploration, development, exploitation, production, marketing and transportation, loss of markets, volatility of commodity prices, currency fluctuations, imprecision of reserve estimates, environmental risks, competition from other producers, inability to retain drilling rigs and other services, incorrect assessment of the value of acquisitions, failure to realize the anticipated benefits of acquisitions, delays resulting from or inability to obtain required regulatory approvals and ability to access sufficient capital from internal and external sources. As a consequence, actual results may differ materially from those anticipated in the forward-looking statements. Readers are cautioned that the foregoing list of factors in not exhausted. Additional information on these and other factors that were applied in drawing a conclusion or making a forecast or projection as reflected in the forward-looking information and that could cause actual results to differ materially from those anticipated in the forward-looking statements are included in reports on file with Canadian securities regulatory authorities and may be accessed through the SEDAR website ( or at the Corporation's website ( Furthermore, the forward-looking statements contained in this news release are made as the date of this new release and the Corporation does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.

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