Montello Resources Ltd.
TSX VENTURE : MEO

Montello Resources Ltd.

October 19, 2007 17:13 ET

Montello Closes Financing

CALGARY, ALBERTA--(Marketwire - Oct. 19, 2007) - Montello Resources Ltd. ("Montello") (TSX VENTURE:MEO) is pleased to announce that it has closed its previously announced private placement of 8,202,166 units (the "Units") at $0.18 per Unit for gross proceeds of $1,476,390.

Each Unit consists of one common share issued and one warrant (the "Warrant"), with each Warrant exercisable into one Common Share at a price of $0.30 for a period of 12 months from the date of issuance. The common shares issued pursuant to the private placement will be subject to a four-month hold period expiring February 20, 2007. Montello paid a commission to certain introducing parties by the issuance of a 8% cash commission and broker warrants consisting of Units equivalent to 10% of the number of Units sold by such introducing parties.

The proceeds from the Private Placement will be used for general working capital.

About Montello Resources Ltd.

Montello Resources Ltd. (TSX VENTURE:MEO), www.montello.com, is an emerging, publicly traded company listed on the TSX Venture Exchange in Canada. Montello is engaged in high impact oil and gas exploration in the Tennessee Appalachians as to a 55% earned interest, Austin Developments Corp., as to a 40% earned interest (TSX VENTURE:AUL) and Great Northern Oilsands Inc., as to a 5% earned interest (PINK SHEETS:GNNS). Montello commenced drilling The John Bowen #2 Test Well on August 15th, 2007. Montello is also active in Alberta at Pincher Creek an active gas producing area. The Pincher Creek Field has been one of the most prolific fields in Alberta having produced some 600 BCF of gas and over 1 million barrels of associated liquids.

ON BEHALF OF THE BOARD OF DIRECTORS

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. We Seek Safe Harbor.

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

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