Desmarais Energy Corporation

June 17, 2009 17:21 ET

Desmarais Provides Operations Update

CALGARY, ALBERTA--(Marketwire - June 17, 2009) - Desmarais Energy Corporation (TSX VENTURE:DES) ("Desmarais") is pleased to provide the following update with respect to a new well drilled in the Barrhead area of Alberta by Desmarais in early May 2009. The well has been drilled to a total depth of 1,220 meters and has been cased for production. Test data and pressure data has been collected and is being evaluated by our 3rd party reservoir engineering consultants, with details of the results to follow when available. Desmarais has a 50% working interest in the well and a 100% working interest in nine (9) offsetting sections of undeveloped land. Desmarais plans to drill an additional well on this prospect shortly, and a location has been selected with the use of our proprietary 3D seismic control.

At Bigoray, Alberta two (2) gas wells (Desmarais 50% working interest) have been put on stream, and are producing sweet, liquids-rich natural gas. Production rates have not yet stabilized and as such Desmarais will provide further guidance when it can more accurately assess the production characteristics of these two (2) wells.

Desmarais is a Calgary based oil and gas exploration, development and production company operating in two core areas: southeast Alberta and west central Alberta. The Company operates 71% of its production base, which consists of varying interests, averaging 35% in 28 gas wells. Desmarais has high working interests, facilities ownership, and operatorship in core areas; and a large undeveloped land base in contiguous blocks, with seismic control.


Certain statements regarding Desmarais include management's assessments of future plans and operations, may constitute forward-looking statements under applicable securities laws and necessarily involve known and unknown risks and uncertainties, most of which are beyond Desmarais' control. These risks may cause actual financial and operating results, performance, levels of activity and achievements to differ materially from those expressed in, or implied by, such forward-looking statements.

Such factors include, but are not limited to: the impact of general economic conditions in Canada and the United States; industry conditions including changes in laws and regulations including adoption of new environmental laws and regulations, and changes in how they are interpreted and enforced; competition; the lack of availability of qualified personnel; fluctuations in commodity prices; the results of exploration and development drilling and related activities; imprecision in reserve estimates; the production and growth potential of Desmarais' various assets; fluctuations in foreign exchange or interest rates; the ability to access sufficient capital from internal and external sources; and obtaining required approvals of regulatory authorities.

Accordingly, Desmarais gives no assurance nor makes any representations or warranty that the expectations conveyed by the forward-looking statements will prove to be correct and actual results may differ materially from those anticipated in the forward looking statements. Desmarais undertakes no obligation to publicly update or revise any forward-looking statements.

Neither 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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