Canadian Spirit Resources Inc.
TSX VENTURE : SPI
PINK SHEETS : CSPUF

Canadian Spirit Resources Inc.

October 08, 2010 17:39 ET

Canadian Spirit Resources Inc. Announces Restatement of Second Quarter 2010 Financial Results

CALGARY, ALBERTA--(Marketwire - Oct. 8, 2010) - Canadian Spirit Resources Inc. ("CSRI" or the "Corporation") (TSX VENTURE:SPI) (OTCBB:CSPUF) announces the release of restated interim financial results and Management Discussion and Analysis for the three and six month periods ended June 30, 2010.

The Corporation initially recorded a net recovery of future taxes related to the Flow-Through Share issuance that closed in June 2010. Since the Canadian Development Expense expenditures are expected to be renounced through filings with the Canada Revenue Agency in the fourth quarter 2010, the Corporation has now determined that the timing of the recovery of future taxes in the second quarter 2010 was incorrect. The restatement of the recovery of future taxes is non-cash and non-operating in nature and is expected to be recognized in the fourth quarter 2010 once the Canadian Development Expense expenditures are renounced to investors.

CSRI is a natural resources company focusing on the identification and development of opportunities in the unconventional gas sector of the energy industry. The mission of the Corporation is to develop 1 trillion cubic feet of natural gas from resource plays in western Canada.

Information regarding the restated interim financial results will be available on SEDAR at www.sedar.com or the Corporation's website at www.csri.ca.

On behalf of the Board of Directors,

CANADIAN SPIRIT RESOURCES INC.

Don Gardner, Chief Executive Officer

The corporate information contained in this news release may contain forward-looking forecast information. The reader is cautioned that assumptions used in the preparation of such information, although considered reasonably accurate by CSRI at the time of preparation, may prove to be incorrect. The actual results achieved during the forecast period will vary from the information provided herein and the variations may be material. Consequently there is no representation by CSRI that actual results achieved during the forecast period will be the same in whole or in part as those forecast.

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

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