Contact Exploration Inc.
TSX VENTURE : CEX

Contact Exploration Inc.

July 09, 2007 10:20 ET

Contact Exploration Inc.: Joint Venture Partner Announcement for South Stoney Creek

CALGARY, ALBERTA--(Marketwire - July 9, 2007) - Contact Exploration Inc. (TSX VENTURE:CEX) is pleased to report completion of a joint venture partnership agreement with Shoal Point Energy Limited for two exploration wells in the South Stoney Creek area.

Shoal Point Energy is actively engaged in exploration in Atlantic Canada and is a Calgary based private company supported by Kingsdale Capital markets Inc. both as financial advisor and lead fundraiser. Shoal Point Energy has agreed to earn a 40% working interest in the South Stoney Creek play and has paid the sum of $2,000,000 and has agreed to a 40% participation in the first two wells of the project. The agreement covers an area of 35,000 acres south of the existing Stoney Creek field.

As was noted in the May 30, 2007 announcement, Contact is preparing a drilling program at South Stoney Creek to begin this summer. The company has identified additional Stoney Creek "look alike" features with multiple target horizons from its seismic program last year. Operational updates will be forthcoming as the drilling program nears.

About Contact

Contact Exploration Inc. is a junior exploration company with a focus on Canadian East Coast onshore exploration. Contact's land claims and holdings are located in close proximity to the largest consumption markets in North American with pipeline and refinery infrastructure in place.

Contact has interests in approximately 1.5 million acres onshore Nova Scotia, approximately 160,000 acres onshore West Newfoundland and 165,000 acres onshore New Brunswick which includes the Stoney Creek Field.

Certain statements contained herein may constitute forward-looking statements. These statements relate to future events or our future performance. All statements other than statements of historical fact may be forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. We believe that the expectations reflected in the forward-looking statements are reasonable based upon management's current views but no assurance can be given that these expectations will prove to be correct and such forward-looking statements should not be unduly relied upon. These statements speak only as of the date hereof. We do not intend, and do not assume any obligation, to update conclusions, forecasts or projections that may be contained in these forward-looking statements, whether as a result of new information, future events or otherwise. No assurance can be given that actual results, performance or achievement expressed in, or implied by these forward-looking statements will occur, or if they do, that any benefits may be derived from them. Past results have been applied in drawing a conclusion or making a forecast or projection set out in the forward-looking information.

Our actual results could differ materially from those anticipated in these forward-looking statements as a result of factors that may include, but are not limited to: the impact of government regulation, potential delays or changes in plans with respect to exploration and development projects, success of exploration and development activities, general industry and market conditions and other risks detailed from time to time in Contact's Annual Information Form and Management's Discussion and Analysis, both of which may be found at www.sedar.com.

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

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