Excelsior Energy Limited

Excelsior Energy Limited

September 21, 2009 07:00 ET

Excelsior Energy Files Patent Application for In-Situ COGD Combustion Process

CALGARY, ALBERTA--(Marketwire - Sept. 21, 2009) - Excelsior Energy Limited (TSX VENTURE:ELE) ("Excelsior" or the "Company") is pleased to announce that it has filed a patent application with the Canadian Intellectual Property Office.

The patent application has been prepared in respect of a process developed by Excelsior in consultation with Hot-Tec Energy Inc. ("Hot-Tec"). Hot-Tec is a private company affiliated with members of the In Situ Combustion Research Group, Department of Chemical and Petroleum Engineering, Schulich School of Engineering, University of Calgary. The In Situ Combustion Research Group is a global leader in the application of in situ combustion recovery processes.

The proprietary process (the "Process") is designed to prepare a viscous oil reservoir for exploitation using combustion overhead gravity drainage (COGD). The Process uses cyclic steam and steam flood techniques to predispose the viscous oil reservoir to form a combustion chamber similar in geometry to the steam chamber in steam assisted gravity drainage (SAGD).

"We look forward to deploying the new technology as part of the Hangingstone Experimental In Situ Combustion project", commented Robert Bailey, COO, Excelsior Energy Limited. "Filing the patent application is an important step in advancing the pilot project."

About Excelsior

Excelsior is an early stage, oil sands company with 58 operated sections on two contiguous blocks in the Hangingstone and West Surmont areas of the Athabasca Oil Sands Region near Fort McMurray, Alberta. The Company has developed a proprietary in situ combustion technology ("Combustion Overhead Gravity Drainage" or "COGD") which has game-changing potential in the development and recovery of heavy oil and bitumen. An application for an experimental pilot project to field demonstrate the COGD technology was submitted at the end of the second quarter of 2009 with a targeted start up in early 2011. In addition, the Company indirectly holds a 100% working interest in UK North Sea Licences P1500 and P1691 covering four part-blocks through its 75% owned subsidiary ENS Energy Ltd. Excelsior's strategy is to capture oil and gas appraisal and development opportunities where we can leverage Management's diverse international operating, heavy oil and field development expertise.

Forward-Looking Statements

In the interest of providing Excelsior's shareholders and potential investors with information regarding Excelsior, certain statements contained in this press release constitute forward-looking statements or information (collectively "forward-looking statements") within the meaning of applicable securities legislation. Forward-looking statements are typically identified by words such as "anticipate", "continue", "estimate", "expect", "forecast", "may", "will", "project", "could", "plan", "intend", "should", "believe", "outlook", "potential", "target" and similar words suggesting future events or future performance. This press release may contain forward-looking statements based on management's expectations, estimates and projections. All statements that address expectations or projections about the future, including statements about the Company's deployment of their COGD technology and expected results from the deployment of such technology are forward-looking statements. These statements are not a guarantee of future performance and involve a number of risks, uncertainties and assumption including that there is no guarantee that the Company's Process can or will successfully prepare a viscous oil reservoir for exploitation using in-situ combustion, and even if the Company's COGD technology can be used as described in this press release, there is no guarantee that such use will result in improved efficiencies compared to other available technologies.

The forward-looking statements contained in this document speak only as of the date of this document. Except as expressly required by applicable securities laws, Excelsior does not undertake any obligation to publicly update or revise any forward looking statements, whether as a result of new information, future events or otherwise. The forward-looking statements contained in this document are expressly qualified by this cautionary statement.

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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