ERA Carbon Offsets Ltd.
TSX VENTURE : ESR

ERA Carbon Offsets Ltd.

August 27, 2009 09:15 ET

ERA Carbon Offsets Ltd. Announces Receipt of First $750,000 Payment From $4,000,000 Sales Agreement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 27, 2009) - ERA Carbon Offsets Ltd. (TSX VENTURE:ESR) the Company, through its wholly owned subsidiary, ERA Ecosystem Restoration Associates ("ERA"), is pleased to announce that it has received the first $750,000 USD payment specified under a previously announced Verified Emissions Reductions Sales Agreement (the "VERSA").

The payment is the first of five bi-monthly payments specified under the VERSA in which ERA is required to deliver 300,000 tonnes of validated and verified emission reductions ("VERs") in the third and fourth quarter of 2009, and 200,000 tonnes of VERs in the first quarter of 2010, at an average price of $8.00 USD per tonne.

The VERs sold will be validated and verified to the ISO 14064-2 and Climate, Community and Biodiversity Alliance ("CCBA") standards. ISO 14064-2 is the proposed requirement for verification under the Canadian Federal Offset System for Greenhouse Gases (as published on June 10, 2009). CCBA is the leading voluntary international standard for projects that simultaneously minimize climate change, support sustainable development and conserve biodiversity.

The VERs sold, are generated through ERA's Community Ecosystem Restoration Program ("CERP") which has been operational in the Lower Fraser Valley of British Columbia since September 2005. CERP is a large scale urban forest restoration program that began in the District of Maple Ridge in 2006, which now includes projects in the District of Mission, the City and Township of Langley, and within Metro Vancouver. The CERP program is supported by the sale of VERs generated through ERA's ecosystem restoration and reforestation endeavors in degraded riparian areas. The VER's will be registered on Markit Environmental Registry, an international carbon offsets registry which supports transactions in high quality voluntary carbon offsets through a credible, externally audited retirement facility. VERs are utilized by ethical organizations looking to reduce their carbon footprint, support climate mitigation, and advance their sustainability endeavors.

About ERA Carbon Offsets Ltd.

ERA is a Canadian based pioneer in forest-based carbon offset programs and project development. Through its subsidiary, ERA Ecosystem Restoration Associates Inc., ERA produces significant measurable carbon sequestration benefits that are validated and verified to international standards and sold to purchasers interested in offsetting their greenhouse gas footprints as a means of mitigating the effects of climate change. ERA is producing EcoNeutral® offsets from the Company's "Community Ecosystem Restoration Program" (CERP) in the Lower Fraser Valley, near Vancouver, British Columbia. ERA is also developing projects in Africa, South America, and the United States. ERA has generated ISO-validated and verified EcoNeutral® carbon offsets from the CERP project to supply clients and offset users that include Rolling Stone Magazine, Shell Canada Ltd., Air Canada, the Motion Pictures Producers Industry Association, and the Globe Foundation.

Additional information on ERA can be found on the corporate website www.eraecosystems.com or by contacting investor@econeutral.com.

On behalf of the Board of Directors of ERA CARBON OFFSETS LTD.

Robert Falls, Chief Executive Officer

FORWARD LOOKING STATEMENTS: This document includes forward-looking statements as well as historical information. Forward-looking statements include, but are not limited to, the continued advancement of the company's general business development, research development and the company's development of forest-based carbon offsets. When used in this document, the words "anticipate", "believe", "estimate", "expect", "intent", "may", "project", "plan", "should" and similar expressions may identify forward-looking statements. Although ERA Carbon Offsets Ltd. believes that their expectations reflected in these forward looking statements are reasonable, such statements involve risks and uncertainties and no assurance can be given that actual results will be consistent with these forward-looking statements. Important factors that could cause actual results to differ from these forward-looking statements include fluctuations in the marketplace for the sale of carbon credits, the inability to implement corporate strategies, the ability to obtain financing and other risks disclosed in our filings made with Canadian Securities Regulators.

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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