Daylight Resources Trust
TSX : DAY.UN
TSX : DAY.DB

Daylight Resources Trust

August 22, 2007 22:56 ET

Daylight Resources Trust Announces Credit Facility Extension and Reconfirms Cash Distributions for Third Quarter 2007

CALGARY, ALBERTA--(Marketwire - Aug. 22, 2007) - Daylight Resources Trust ("Daylight")(TSX:DAY.UN) is pleased to announce that our $380 million combined credit facilities have been extended to November 30, 2007. These credit facilities are held with a syndicate of banks, all of whom have agreed to participate in the extension. These credit facilities include $310 million available under a revolving term credit facility and $70 million available under a bridge credit facility. This credit extension will allow Daylight to continue to assess our many options for increasing our financial flexibility, as discussed in our second quarter release dated August 7, 2007, and focus on opportunities that are in the long term best interests of our current unitholders. Our bridge credit facility was accessed during December 2006 in conjunction with the financing of our $33 million light oil property acquisition in the Cecil area of the Peace River Arch and this facility has an extended maturity date of November 30, 2007. Our $310 million revolving term credit facility is subject to a standard semi-annual review by our banking syndicate with the next scheduled review to occur by November 30, 2007. Our banks have been and continue to be very supportive of Daylight as demonstrated by the extension of the maturity date for our credit facilities to the end of November 2007, which is approximately 12 months since the establishment of the facilities.

Daylight has a very positive outlook for the future with a revised capital expenditure program and distribution level that is targeted for balance to funds from operations. Our $75 million capital expenditure program for 2007 is expected to deliver 20,500 to 21,000 boe/d of average production volumes for 2007. In the current forward strip natural gas pricing environment, we believe that deferral of natural gas projects is economically appropriate and significant efforts continue to be put forth by our high end technical team to continue to expand our inventory of natural gas opportunities and ensure our best opportunities are readily available for execution in an improved natural gas price environment. We are very pleased with the progress of our increasing field activities which are bringing on-stream production volumes from our very successful to date 2007 drilling and recompletion programs. We are also experiencing positive results from our accelerated oil optimization and drilling program which includes activities at our previously mentioned Cecil property, Sturgeon Lake and Pembina.

Daylight has adopted a prudent $0.10 per unit per month distribution for the remainder of the third quarter which is expected to provide a significant improvement for our future payout ratio. Daylight's funds from operations, generated by our production volumes and actual commodity prices, are targeted to fully fund our capital expenditure program and cash distributions on a go forward basis and favorably positions Daylight to pursue our attractive depth of inventory in an improved future commodity price environment.

Cash Distributions

Daylight also reconfirms our cash distributions for unitholders to the end of the third quarter of 2007 at $0.10 per unit per month, as originally announced on August 7, 2007 in conjunction with our second quarter 2007 financial and operating results.



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Distribution Distribution
Record Date Ex-Distribution Date Payment Date Per Unit
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August 31, 2007 August 29, 2007 September 17, 2007 $0.10
September 28, 2007 September 26, 2007 October 15, 2007 $0.10
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Daylight expects to make monthly cash distributions of $0.10 per trust unit for the remainder of 2007, based on forward strip commodity prices, production guidance, our capital expenditure program and other operational expectations.

Daylight Resources Trust is a Calgary-based, open-ended, unincorporated investment trust with a high quality balanced natural gas and crude oil property base, extensive prospect inventory and large undeveloped land base that is managed by a team of highly skilled technical professionals. Daylight's properties include focused high potential assets in the Peace River Arch and West Central Alberta complemented by stable production and repeatable opportunities in Southern and Eastern Alberta. Daylight's prospect inventory is balanced across natural gas and crude oil with near, medium, long-term and high impact opportunities. Daylight's large undeveloped land base provides additional prospects to create value through our highly skilled technical teams as well as through selective farm outs to targeted industry partners. Daylight has approximately 77 million trust units currently outstanding and the Daylight trust units trade on the TSX under the symbol DAY.UN and Daylight convertible debentures trade under the symbol DAY.DB.

ADVISORY:

Forward Looking Statements: This press release contains forward-looking statements as to the internal projections, expectations, estimates or beliefs relating to future events or future performance of Daylight Resources Trust ("Daylight"), including Daylight's guidance for 2007 and the amount and type of 2007 budgeted capital expenditures set forth herein. In some cases, forward-looking statements can be identified by terminology such as "may", "will", "should", "believes", "expects", "intends", "projects", "plans", "anticipates", "estimates" or "contains" or similar words or the negative thereof. These statements represent management's expectations or beliefs concerning, among other things, future capital expenditures and future operating results and various components thereof or the economic performance of Daylight and include, without limitation, statements with respect to the future financial position, business strategy, budgets, projected costs and plans, objectives of or involving Daylight or any of its respective affiliates; amounts to be retained by Daylight for growth; the amount and timing of the payment of distributions of Daylight; payout ratios; access to credit facilities; capital taxes; income taxes; commodity prices; administration costs; commodity price risk management activities; expectation of future production rates and components of cash flow and earnings. Actual events or results may differ materially. The projections, estimates and beliefs contained in such forward-looking statements are based on management's estimates, opinions and assumptions at the time the statements were made including assumptions relating to the production performance of Daylight's oil and gas assets, the cost and competition for services throughout the oil and gas industry in 2006 and 2007 and the continuation of the current regulatory and tax regime in Canada, and necessarily involve known and unknown risks and uncertainties which may cause actual performance and financial results in future periods to differ materially from any projections of future performance or results expressed or implied by such forward-looking statements. Accordingly, readers are cautioned that events or circumstances could cause results to differ materially from those predicted. Daylight does not undertake to update any forward-looking information contained in this press release whether as to new information, future events or otherwise except as required by securities rules and regulations.

Barrels of Oil Equivalency: Barrels of oil equivalent (BOE's) may be misleading, particularly if used in isolation. In accordance with NI 51-101, a BOE conversion ratio for natural gas of 6 Mcf:1bbl has been used, which is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.

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