Glamis Resources Ltd.
TSX VENTURE : GLM.A
TSX VENTURE : GLM.B

Glamis Resources Ltd.

January 08, 2007 02:01 ET

Glamis Resources Ltd. Operations Update

CALGARY, ALBERTA--(CCNMatthews - Jan. 8, 2007) -

NOT FOR DISSEMINATION IN THE UNITED STATES OR TO U.S. PERSONS

Glamis Resources Ltd. ("Glamis") (TSX VENTURE:GLM.A) (TSX VENTURE:GLM.B) is pleased to provide an operations update for December 31, 2006.

Glamis' highlights include:

- placed the Conrad 16-22 well on production at approximately 60 bopd

- exited December with production of approximately 240 bopd from our Conrad and Taber oil pools

- drilled and cased 1.0 (0.5 net) exploratory well and 1.0 (1.0 net) development well

- successfully purchased 880 net acres at crown land sales

Central Alberta:

Glamis has begun pipelining the Glamis Hanna 11-18- 30 -14W4M exploratory well which was drilled in the 3rd quarter of 2006. Production from the 11-18 well is expected to commence at approximately 750 mcf/d (450 mcf/d net) in early February, 2007.

Glamis is in the process of licensing its second well in the Hanna area. The Glamis et al Watts 3-35- 30 -15W4M is expected to be drilled in the first quarter of 2007. The 3-35 location will be targeting an anomaly identified on Glamis' previously shot 3D seismic data.

Southern Alberta

The Glamis Conrad 16-22-6-15W4M Sawtooth oil well was brought on stream in mid December, 2006 and is currently producing 60 bopd. A second well, 8-27-6-15W4M, was drilled in November, 2006 but the formation proved to be thin and uneconomic. Glamis' third well, 4-26-6-15W4, was drilled and cased in late December, 2006 and is awaiting completion operations. A fourth well at Conrad is being licensed and is expected to be drilled during the first quarter of 2007. Glamis has 100% working interest in each of these wells.

Glamis Resources Ltd. is a junior oil and gas company formed to generate and develop its own prospects, acquire oil and gas properties and participate with joint venture partners in oil and gas exploration and development in the Western Canadian Sedimentary Basin. The Company's Class A Shares and Class B Shares trade on the TSX Venture exchange under the symbols GLM.A and GLM.B respectively. The company currently has 12,200,000 Class A shares and 922,500 Class B shares outstanding.

FORWARD LOOKING STATEMENTS: Certain information regarding Glamis in this news release including management's assessment of future plans and operations, timing of drilling and tie-in of wells, productive capacity of the new wells and productive capacity from different wells, expected production rates, drilling success rates, dates of commencement of production, may constitute forward looking statements under applicable securities laws and necessarily involve risks including, without limitation, risks associated with oil and gas exploration, development, exploitation, production, marketing and transportation, loss of markets, volatility of commodity prices, currency fluctuations, imprecision of reserve estimates, environmental risks, competition from other producers, inability to retain drilling rigs and other services, unexpected decline rates in wells, wells not performing as expected, delays resulting from or inability to obtain required regulatory approvals and ability to access sufficient capital from internal and external sources. As a consequence, actual results may differ materially from those anticipated in the forward-looking statements. Readers are cautioned that the foregoing list of factors is not exhausted. Additional information on these and other factors that could effect Glamis' operations and financial results are included in reports on file with Canadian securities regulatory authorities and may be accessed through the SEDAR website (www.sedar.com). Furthermore, the forward looking statements contained in this news release are made as at the date of this news release and Glamis does not undertake any obligation to update publicly or to revise any of the included forward looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.

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

Contact Information

  • Glamis Resources Ltd.
    Mr. Brent McKercher
    President & Chief Executive Officer
    (403) 265-7200 ext. 222
    Email: brentm@glamisresources.ca
    or
    Glamis Resources Ltd.
    Mr. Darwin Little
    Vice President, Finance & Chief Financial Officer
    (403) 265-7200 ext. 223
    Email: darwinl@glamisresources.ca