Bordeaux Energy Inc.

Bordeaux Energy Inc.

December 12, 2007 17:45 ET

Bordeaux Closes Agreement to Drill Alaska Exploratory Well

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Dec. 12, 2007) -


Bordeaux Energy Inc. ("Bordeaux" or the "Company") (TSX VENTURE:BDO) is pleased to announce it has closed its previously announced transaction regarding a participation agreement (the "Participation Agreement") with Savant Alaska LLC ("Savant") under which Bordeaux will earn a 30% undivided interest in seven leases ( the "Leases") currently held 100% by Savant, located on and offshore the North Slope of Alaska. The Leases are situated 20km from the 13.6 billion barrel Prudhoe Bay oil field and immediately adjacent to the 120 million barrel Liberty Field operated by BP but not yet in production.

Bordeaux expects drilling of the first exploratory well (the "Exploratory Well") on the Leases will commence in late-February 2008 and will take approximately 30 days to reach target depth. The Exploratory Well will be drilled to a depth of approximately 11,000 feet to test a prospect identified by Savant on a large 3-D seismic survey that was acquired in 1993 and 1995. The well is expected to cost a total of US$16 million to drill, case and test, of which Bordeaux's share will be US$6.4 million.

Under the Participation Agreement, the Company has the right to earn an undivided 30% working interest in the Leases by paying (a) 30% of the land and data costs (approximately US$1,200,000), and (b) 40% of the costs and expenses of the Exploratory Well up to a maximum cost of US$7,000,000, net to Bordeaux after which Bordeaux will pay its proportionate 30% share of any additional costs. Upon completion of the Exploratory Well, the Company will have earned an undivided 30% working interest in the Leases and each of the parties must pay its participating interest share of the future costs and expenses relating to the Leases.

Bordeaux also announces that the corporate continuance approved by shareholders at the Company's June 6, 2007 shareholders' meeting has been completed, and the Company is now governed by British Columbia corporate law. For further details regarding the continuance, please refer to the information circular filed on SEDAR for the June 6, 2007 meeting.

Forward-Looking Statements:

Certain statements contained in this press release are not based on historical facts and may constitute forward-looking statements or forward-looking information within the meaning of applicable law. These statements appear in a number of different places herein and can be identified by words such as "will", "anticipates", "expects", "intends", or other comparable words. Forward-looking statements and information include statements regarding the trading of the Warrants and other statements, and are subject to risk, uncertainties, and other factors, that could cause actual results to differ materially from future results expressed or implied by such forward-looking statements or information. See the Company's filings with the Canadian securities commissions for additional information on risks and uncertainties relating to the forward-looking statements and information. Many of these factors are beyond the control of the Company. Consequently, all forward-looking statements and information made herein, are qualified by this cautionary statement. The Company disclaims any intention or obligation to revise or update such statements or information except as may be required by law.


Geoff Carrington, President & CEO

This release shall not constitute an offer to sell or the solicitation of any offer to buy securities in any jurisdiction. The Common Shares and the other securities referred to herein have not been registered under the United States Securities Act of 1933, as amended, and they may not be offered or sold in the United States absent registration or an applicable exemption from registration.

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

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