ITL Capital Corporation

ITL Capital Corporation

March 31, 2005 08:30 ET

ITL Capital Corporation: Drilling Completed on JB Henry #1 Gas Well, Flow Rates to Follow, McMullen County, Texas


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: ITL CAPITAL CORPORATION

TSX VENTURE SYMBOL: ICL

MARCH 31, 2005 - 08:30 ET

ITL Capital Corporation: Drilling Completed on JB
Henry #1 Gas Well, Flow Rates to Follow, McMullen
County, Texas

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 31, 2005) - ITL
Capital Corporation (TSX VENTURE:ICL) is pleased to report that
reentry-drilling operations have been completed on the JB Henry #1
horizontal gas well located in McMullen County, southeast Texas.
Drilling was stopped after completing 1200 feet of the 1500-foot lateral
portion of the well due to complications in the hole. Despite the
complication, it is anticipated that we should have a successful gas
well as a result of drilling through several cross fractures as
anticipated. The well was drilled laterally along a 160-foot thick
sandstone layer that has been the production zone for the JB Henry #1
vertical gas well up to this date. Management feels hitting these cross
fractures should have the desired effect of greatly increasing the rate
of production for this well, as well as increasing the average reserve
recovery.

The drilling rig has rigged down and was released on March 29th. Flow
testing commenced March 29th and the well was shut in. The production
tree is now in place and the pipeline is hooked up. Production sales of
natural gas are expected to commence first week of April. The actual
flow rate will be determined once production is set and flow rates level
out.

ITL Capital Corporation has the opportunity to participate, on the same
basis as the JB Henry #1 well (3.8% working, 2.8% net revenue), in a
total of 4 wells in the Henry Dome Field. The JB Henry #1 and the EM
Henry #2 are proposed for re-entry as horizontal well completions in the
Edwards formation. The 2 wells are currently producing in the Edwards
formation as vertical wells. In addition, there are two potential
drilling locations that are also proposed as horizontal wells. The first
of these proposed wells will offset a vertical well that has produced
over 4.3 BCF and the second well will offset on the other side of the
same vertical well.

For further information on ITL Capital Corporation visit the Company's
web site at www.itlcapitalcorp.com.

ITL Capital Corporation is a natural resource exploration company
actively involved with the development of a natural gas project in
McMullen County, Texas, and a gold property in the Red Lake Mining
District of Northwestern Ontario, Canada.

ON BEHALF OF THE BOARD OF DIRECTORS

"Jim Pettit"

JAMES PETTIT

President

This news release contains certain "Forward-Looking Statements" within
the meaning of Section 21E of the United States Securities Exchange Act
of 1934, as amended. All statements, other than statements of historical
fact, included herein are forward-looking statements that involve
various risks and uncertainties. There can be no assurance that such
statements will prove to be accurate, and actual results and future
events could differ materially from those anticipated in such
statements. Important factors that could cause actual results to differ
materially from the Company's expectations are disclosed in the
Company's documents filed from time to time with the British Columbia
Securities Commission and the United States Securities & Exchange
Commission.

-30-

Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    ITL Capital Corporation
    Jim Pettit
    President
    (604) 687-3376 or Toll Free: 800-567-8181
    or
    ITL Capital Corporation
    Don Myers
    Corporate Communications
    (604) 687-3376 or Toll Free: 800-567-8181
    (604) 687-3119 (FAX)
    Email: info@itlcapitalcorp.com
    Website: www.itlcapitalcorp.com
    The TSX Venture Exchange has not reviewed and does not accept
    responsibility for the adequacy or accuracy of the content of this news
    release.