International Sovereign Energy Corp.

International Sovereign Energy Corp.

March 23, 2005 12:48 ET

International Sovereign Energy Corp.: Operations Update


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: INTERNATIONAL SOVEREIGN ENERGY CORP.

TSX SYMBOL: ISR

MARCH 23, 2005 - 12:48 ET

International Sovereign Energy Corp.: Operations Update

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 23, 2005) -
International Sovereign Energy Corp. (TSX:ISR) (the "Company") provides
the following update on its operations in Western Canada and
internationally.

Western Canada:

- Medicine River, Alberta; (100% working interest). The Company plans to
drill a second half Devonian test twinning a 1950's well with tested gas
and oil reserves in the Nisku and Leduc formations. A 10 km. sour gas
pipeline will be required to tie-in the new well, as well as a second
approximately 50% interest Leduc well that has tested gas at rates up to
6.0 MMcf/d. The Company expects to produce these liquids rich wells at
1.5 MMcf/d each (375 BOE/d net) and commence production in the fourth
quarter of 2005.

- Ante Creek; (25% working interest) The second well at Ante Creek was
drilled in March, 2004 but could not be completed until the first
quarter of 2005 due to access. A re-completion of the Gething is
pending. The Company drilled its third well in the Ante Creek program at
year-end. The well encountered 10 meters of indicated gas pay on logs
and was cased as a potential Gething gas well. Completion and tie-in are
planned for the second quarter with the well expected to have an initial
production rate of 1,000 to 1,500 Mcf/d.

- Montana, Alberta; (85% working interest). The well, drilled by the
Company during the third quarter, 2004 tested high gas rates but showed
limited, non-commercial reserves on production test from the primary
lower Mannville target. The Company completed a second lower Mannville
zone that flowed 1700 Mcf/d on an extended production test and
sufficient reserves were indicated to justify a tie-in. Initial
production rates are expected to net the Company approximately 1000
Mcf/d. A basal Belly River sand will then be completed in which the
company has a 50% working interest and is expected to have an initial
flow rate of 500 Mcf/d.

- Chigwell; (38.6% working interest). As recently reported, the Company
participated in a second 1,675m Paleozoic test in late December, 2004.
The well was cased for Edmonton formation and coal bed gas potential.
Three minor sand zones were completed in the Edmonton formation yielding
low flow rate gas prior to stimulation.

- Lacombe; (65% revenue interest). The Company's December, 2004 1,800m
Paleozoic test was completed but yielded non-commercial reserves in the
lower Mannville. The well was completed for minor Belly River gas
potential and is currently standing.

The expected potential production addition net to the Company from the
currently drilled wells is approximately 200 BOE/d. Upcoming, the
Company plans for a second well in the Medicine River area that will
twin an existing producer for Colony/Edmonton gas potential. A 50%
re-entry of a currently suspended well in the Knob Hill area of Alberta
is planned for the second quarter as well as the 100% working interest
re-entry of an abandoned well for indicated by-passed pay in the Lower
Mannville in the Wizard Lake area. In addition the Company has generated
several Mannville prospects in the general Wizard Lake area of central
Alberta. Seismic and land acquisition and negotiations are proceeding,
and field activity on these prospects should commence as early as the
second quarter of 2005.

International

As previously reported (News Release dated 5/1/2005) the Company signed
a Memorandum of Agreement ("MOA") with Pakistan's Oil and Gas
Development Company Limited ('OGDCL') for the exploitation of the upper
carbonate zones in the Toot oil field. The Company's technical
consultants were in Islamabad during the month of February to commence
the technical study and the evaluation is ongoing.

In Ecuador, negotiations continue with the production division of the
national oil company regarding reforms to the current work program for
the Charapa concession. The Company has also entered into a joint
venture agreement with a consortium of local Ecuadorian service
providers for the purpose of jointly acquiring additional petroleum
concessions in the countries upcoming bid rounds.

Shares Outstanding 11,323,818

Certain information provided in this press release contains
forward-looking statements that by their nature are subject to numerous
risks and uncertainties and readers are cautioned that actual results
may vary considerably from those forecasted.

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    International Sovereign Energy Corp.
    Omair Choudhry
    Chief Financial Officer
    (604) 684-7372
    (604) 684-2407 (FAX)
    Website: www.isove.com
    The Toronto Stock Exchange has not reviewed and does not accept
    responsibility for the adequacy or accuracy of this release.