Mooncor Oil & Gas Corp.

Mooncor Oil & Gas Corp.

December 19, 2007 11:28 ET

Mooncor Continues Focus on Oil With Property Acquisition; Will Drill Heavy Oil Well at White Hill Lakes; Commences Light Oil Operations at Bashaw

CALGARY, ALBERTA--(Marketwire - Dec. 19, 2007) - Darrell Brown, President and CEO of Mooncor Oil & Gas Corp. (the "Corporation") (TSX VENTURE:MOO), is pleased to report that the Corporation has signed an agreement with PanTerra Resource Corporation, acquiring PanTerra's 50% interest in the previously jointly-owned White Hill Lakes heavy oil and shale gas property. This acquisition allows Mooncor to focus on the heavy oil potential of the White Hill Lakes property and gives Mooncor operatorship and a 100% ownership interest at White Hill Lakes.

Mooncor will drill a sixth well at White Hill Lakes, targeting the Waseca and McLaren formations of the Mannville group, which are traditional heavy oil zones in the area. Mooncor has drilled five wells targeting shale gas at White Hill Lakes. Management will now evaluate the reports and well information on these five wells. Mooncor will defer further work on these wells until after the Corporation drills this deeper sixth well. In addition to targeting heavy oil, this well will be cored in the shale zones and will be independently analyzed.

The logs of several deeper wells drilled at White Hill Lakes in the 1960s intersected heavy oil and one well drill stem tested 340 feet of clean oil. Additionally, further to PanTerra's news release, dated August 8, 2007, concerning the farm out of a seismic shoot at White Hill Lakes, Mooncor will evaluate this $500,000 seismic shoot before drilling the next well. Mooncor now owns 100% of 77.6 sections (49,664 net acres) of land at White Hill Lakes, which is situated near North Battleford, Saskatchewan, adjacent to significant heavy oil reserves. Due to the record high oil prices, heavy oil reserves have soared in value. Mooncor's management is quite excited about the potential for a significant heavy oil play at White Hill Lakes.

Mooncor will revisit its White Hill Lakes shale gas play after a full evaluation of the reports generated on the logs and sampling at the first five test wells and, after reviewing the cores that will be taken from the sixth well. A proactive stimulation program will commence when natural gas prices recover and this evaluation is completed.

Mooncor has also commenced operations on the first phase of the Corporation's exploitation program on its recently announced oil farm in (see November 6, 2007 news release) at Bashaw, Alberta.

Mooncor Oil & Gas Corp is a junior oil and gas exploration and development company that has recently changed its short term focus to oil. The Corporation will concentrate on exploiting its three light oil prospects at Bashaw, Lonestar and Woodbend, its heavy oil exploration play at White Hill Lakes and other oil projects under evaluation. Mooncor owns 263,511 gross acres (151,457 net acres) of oil and gas leases in Alberta and Saskatchewan.

The information in this news release includes certain information and statements about management's view of future events, expectations, plans and prospects that constitute forward looking statements. These statements are based upon assumptions that are subject to significant risks and uncertainties. Because of these risks and uncertainties and as a result of a variety of factors, the actual results, expectations, achievements or performance may differ materially from those anticipated and indicated by these forward looking statements. Although the Corporation believes that the expectations reflected in forward looking statements are reasonable, it can give no assurances that the expectations of any forward looking statements will prove to be correct. The Corporation disclaims any intention and assumes no obligation to update or revise any forward looking statements to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting such forward looking statements or otherwise.

Shares Outstanding: 57,061,150

Closing Price - December 18, 2007: $0.14

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

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