Montello Resources Ltd.

Montello Resources Ltd.

May 08, 2008 09:00 ET

Montello Announces Completion Plans For The Morgan Highpoint Project

CALGARY, ALBERTA--(Marketwire - May 8, 2008) - Montello Resources Ltd. (TSX VENTURE:MEO) ("Montello"), as Operator of the Morgan Highpoint Project, is pleased to announce that after resolving a number of common operational start-up issues, have conducted an extended production test on the Morgan Highpoint #3 Well. In less than 10 full days of production Montello has recovered in excess of 800 barrels of light sweet high gravity oil from its 6.25 inch well bore. After analyzing the logs, including the Weatherford Fracture Imaging Log that was run on the Morgan Highpoint #5 Well, as well as the geological data recently obtained from its 5 wells and the extended production test, Montello has now confirmed the presence of an extensive fracture network which explains why the daily production rate in the Morgan Highpoint #3 Well has sharply declined to approximately 15 barrels of oil per day which mirrors the decline rates recorded on other wells drilled to a similar depth in the southern portion of the Appalachians. Montello after conferring with a number of service companies specializing in unique completion techniques has obtained approval from its partners to proceed with a completion program that has been designed with the goal to exponentially increase daily production rates as well as significantly improve the ultimate recovery rates that are typically achieved from wells in the area. For competitive reasons Montello and its partners will not be disclosing how the wells will be completed. Logistics are being finalized to mobilize specialized equipment from Canada and the United States to perform the contemplated completion programs which are anticipated to commence within the next four to six weeks.

Montello is further pleased to announce that plans are underway to finalize the surface location from which the Morgan Highpoint #6 Well will be drilled. Montello and its partners now have approximately 1,500 acres of land tied up. Without acquiring any additional mineral leases, if the scheduled completion programs are as successful as contemplated, Montello and its partners are positioned to conduct a multi-well drilling program consisting of over 20 shallow oil wells and 2 additional deep gas wells. Based on the knowledge and understanding that Montello now has of both the shallow oil play and the deep gas play recently identified in the John Bowen #2 Well, Montello and its partners are now aggressively pursuing acquiring additional mineral leases and drilling / re-completion opportunities in Morgan County, Tennessee.

About Montello Resources Ltd.

Montello Resources Ltd. (TSX VENTURE:MEO), is an emerging, publicly traded company listed on the TSX Venture Exchange in Canada. Montello is pursuing shallow oil and gas opportunities in Northern Alberta, engaged in deep high impact drill projects in southern Alberta, as well as high impact oil and gas exploration in the Tennessee Appalachians.


William R. (Bill) Cawker, President-CEO

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Reader Advisory: This news release contains certain forward-looking statements, including management's operations and capital expenditures and the timing thereof, that involve substantial known and unknown risks and uncertainties, certain of which are beyond the Corporation's control. The Corporation's actual results, performance or achievements could differ materially from those expressed in, or implied. Investors are cautioned that forward-looking statements are inherently uncertain and involve risks and uncertainties that could cause actual results to differ materially. There can be no assurances that future developments affecting Montello will be those anticipated by management. Furthermore any forward-looking statements contained in this news release are made as at the date of this news release and the Corporation does not undertake any obligation to update publicly or to revise them whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws. We Seek Safe Harbor.

"BOEs may be misleading, particularly if used in isolation. A BOE conversion ratio of 6 Mcf: 1bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead."

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

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