SOURCE: Caliber Energy, Inc.

September 28, 2005 09:00 ET

Caliber Energy Updates Russian Coal and Canadian Oil Projects

LOS ANGELES, CA -- (MARKET WIRE) -- September 28, 2005 -- Caliber Energy, Inc. (OTC BB: CALB) today wishes to update the progress and events relating to the Company's energy projects.

Caliber has now signed a Letter of Intent (L.O.I) to acquire certain Coal Mining Licenses in the Sakha-Yakutsk region of the Russian Federation. The coal resource on the licenses is reported to exceed 300 million tonnes. The acquisition is subject to a due diligence process as well as site and facilities inspection. Recently, a major Russian integrated mining and steel group was reported to have paid over $10 million for an equivalent coal license in the region. Caliber maintains a strategic and competitive advantage through its existing joint venture partnership with Canadian-based Dolman Investments Ltd. and local Russian operating groups.

The Company also wishes to report that the scope of the previously announced "Coal Sales Agreement" from sales contracts to export coal has increased from 500,000 metric tonnes of metallurgical grade coal to include an additional 3.0 million tonnes of thermal coal. The timing of the implementation of this coal sales program has encountered a delay due to the increased scope of the aforementioned additional thermal coal contact. The Company will report when these important sales contracts are finalized.

In other news, the Company has reduced its participation in the Bolloque oil play located in Alberta Canada in order to fully concentrate on the Russian coal ventures. Caliber has retained a 10% carried working interest in the Bolloque Project and the 7-1-64-25W4M well. Caliber has been carried on all costs pertaining to the drilling and completion of the 7-1 well. Caliber will report on the results of the well testing when available.

ABOUT CALIBER ENERGY

Caliber Energy, Inc. is a growth oriented Company primarily focused on developing advanced coal projects and other high potential business opportunities in the energy sector. Caliber is focusing on coal, oil and natural gas. Caliber's primary focus is on advancing coal projects to production, combined with the opportunities management has identified that would provide immediate cash flow and revenue by securing coal trade agreements. Caliber augments the coal projects with oil and gas opportunities that are low risk with a high rate of return. With this diverse portfolio, Caliber Energy minimizes risk as the Company meets demand for fossil fuels.

Safe harbor for Forward-Looking Statements:

Except for statements of historical fact, the information presented herein constitutes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include general economic and business conditions, the ability to acquire and develop specific projects, the ability to fund operations and changes in consumer and business consumption habits and other factors over which Caliber Energy, Inc. has little or no control.

ON BEHALF OF THE BOARD

Caliber Energy, Inc.

"Graeme F. Scott"

Contact Information

  • Contact:
    Graeme Scott
    1-888-267-6147