Guildhall Minerals Ltd.

July 08, 2009 09:00 ET

Guildhall Positioned to Benefit From Royalty Break in Current Drilling Program

CALGARY, ALBERTA--(Marketwire - July 8, 2009) - Guildhall Minerals Ltd., Operating as Edge Resources (TSX VENTURE:EDE)(PINK SHEETS:GDMHF) ("Edge Resources"), is pleased to announce that, due to recently announced government royalty relief, the Company anticipate paying only a 5% crown royalty for the first year of production on a portion of its wells to be drilled this July, and subsequently on wells drilled prior to March 31, 2011. This compares to the maximum potential crown royalty of 50%, as announced by the Alberta Government's New Royalty Framework announced October, 2007. The Alberta government's June 25, 2009 announcement of a one year extension of its energy incentive program will have a positive impact on the production economics of the Company's two new wells planned for later this month. Furthermore, the Company expects to capitalize on the announced $200 per-metre-drilled royalty credit on its upcoming drilling program.

The Company's two-well drilling program consists of one well per section, on two sections, to be drilled conventionally and vertically to approximately 1,000 meters, targeting multiple zones in each wellbore. The multiple zone targets are all within the Edmonton Sands Group of formations. Due to extensive well control and multiple zone targets, Edmonton Sands wells have a historically high drilling success rate.

Depending on weather conditions, it is expected that drilling will commence in the middle of July and will take approximately 1 week to complete the entire drilling operation for both wells.

The Company's President & CEO, Brad Nichol, commented, "We are extremely excited about our upcoming drilling program as it signifies our commitment to grow Edge Resources through the drill bit. Just 6 weeks after announcing our first land acquisition, we have begun our drilling operations. Edge is currently working to add additional locations to July's drilling program and will update our shareholders in the coming weeks."

Furthermore, the Company announces that it has granted a total of 300,000 options to purchase capital stock of the Company at a price of $0.31 for a period of five years to a Directors and consultants to the Company.

About the Company:

Edge Resources is a natural gas development company focused on the Edmonton Sands group of formations, a conventional, shallow gas group of reservoirs located in Central Alberta, Canada. The Company's very high success rate is based on the safe, efficient deployment of capital and a proven ability to efficiently execute in shallow gas, specifically the Edmonton Sands, which gives Edge a sustainable competitive advantage.

The Alberta Government estimates that there is 44 trillion cubic feet ("TCF") of non-producing, shallow natural gas in Alberta. Edge Resource's management team has evaluated over 20,000 sections of land and has identified over 200 "five-star" sections. The Company's development program focuses on pursuing only these highly prospective "five-star" Edmonton Sands sections.

Visit the company website for more information:

Brad Nichol, President & CEO

This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, Investors should review the Company's registered filings what are available at

Trading in the securities of Guildhall Minerals Ltd. should be considered highly speculative.

Neither the 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.

Contact Information

  • Guildhall Minerals Ltd.
    Chris Cooper
    (604) 689-8336