Cypress Hills Resource Corp.
TSX VENTURE : CHS

Cypress Hills Resource Corp.

November 29, 2007 17:58 ET

Cypress Hills Releases Q3 Results and Operational Update

CALGARY, ALBERTA--(Marketwire - Nov. 29, 2007) - CYPRESS HILLS RESOURCE CORP. (TSX VENTURE:CHS) ("Cypress Hills" or the "Company") is pleased to announce its financial and operating results for the three and nine months ended September 30, 2007. The interim unaudited financial statements and Management Discussion and Analysis will be both filed on SEDAR at www.sedar.com and posted today on the Company's website at www.cypresshillsresource.com.

During the third quarter of 2007, the Company closed the acquisition of an interest in a group of properties in the Penhold area of Alberta for a cost of $115,000. These properties give the Company a minor interest in an area of the province, which has multi-zone potential. The Company has also swapped its minor interests in two wells in Sylvan Lake, Alberta for a 100% interest in the shallow rights and a shut-in Gething well in the Sunset House area of Alberta. The Company has now pooled its shallow rights with the holder of the deeper rights and is proceeding to evaluate and test the existing Gething zone as well as a deeper zone behind pipe. The existing well is pipelined and can be put on production at a relatively low cost. The Company has a 50% pooled interest in this project.

In the US, the Company has:

1. decided to forfeit its interest in the Maverick Basin play, the cost of this project being written off in Q3, 2007; and

2. entered into an arrangement with two private US companies to acquire a 10% BPO (7.5% APO) working interest in 1,477 acres located on the Armstrong Ranch in Kenedy County, Texas. The Company will be participating in the drilling of a 10,000 foot Frio well on the lands, which is anticipated to be spud in the next thirty days and which will take approximately 25 days to drill. This well will offset a well that was drilled in 1955 by Humble Oil the logs of which indicate that the Frio could be gas bearing. The Company also acquired an interest in 64 square miles of 3D seismic and a right of first refusal on the acquisition of an additional 3,000 acres. The total cost of this acquisition and the drilling of this first well is approximately $210,000 to the Company.

Cypress Hills is a junior oil and gas company focused on drilling multi-zone crude oil and natural gas prospects in central Alberta and Texas.

Additional information on the Company and its projects can be viewed at www.sedar.com or www.cypresshillsresource.com.

CAUTIONARY STATEMENT:

No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein. This news release includes certain "forward-looking statements". All statements other than statements of historical fact included in this news release, including, without limitation, statements regarding reserves, present value of future cash flow, exploration results, and future plans and objectives of Cypress, are forward looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Cypress' expectations are exploration risks, production risks and pricing risks detailed herein and from time to time in other filings made by Cypress with securities regulators.

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

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