Questerre Energy Corporation

Questerre Energy Corporation

April 16, 2007 00:15 ET

Questerre Doubles Beaver River Land Position

CALGARY, ALBERTA--(CCNMatthews - April 16, 2007) - Questerre Energy Corporation ("Questerre" or the "Company") (TSX:QEC) (OSLO:QEC) is pleased to announce that with its partner, Transeuro Energy Corp. ("Transeuro"), it has committed to a work program to assess 23,000 acres of recently acquired exploration licenses in the Beaver River area. The licenses include the rights to all prospective horizons from surface to basement.

Questerre and Transeuro also announced that Transeuro has earned its 50% working interest in the Beaver River Field. With the payment of $10 million to Questerre, Transeuro is deemed to have completed the entire farm-in work program. As a joint venture partner, Transeuro will hold a 50% interest in the newly acquired exploration licenses. Both partners will fund their proportionate share of costs on all future work programs.

Questerre originally held 10,800 acres in the Beaver River area with partial rights to the shallow Mattson and deeper Nahanni formations. The new acreage will give Questerre access to exploration targets in both the Mattson and Nahanni formations at locations offsetting its existing acreage. In addition, the licenses include the rights to the prospective organic-rich Devonian shales as well as fractured carbonates in the Mississippian Prophet formation. The Prophet formation is known to contain high-pressure natural gas responsible for the blowout while drilling the A-1 well in the early 1960's.

The Companies also announced their exploration plans for the new acreage. The parties have committed to a new well, A-8, to be drilled this summer. This well will target a potential new compartment in the Nahanni. It will also assess the prospectivity in the Prophet carbonate and the Devonian shale horizons. The well will be operated by the same joint venture operating committee that successfully drilled the B-3 pace setter well this past winter.

Michael Binnion, President and Chief Executive Officer of Questerre, commented, "This is an exciting step forward for the Beaver River project. As we test the very prolific Nahanni formation we will also be assessing two new exploration plays on a significantly expanded land base. We are very pleased with the work Transeuro performed for us to earn an interest in this project. We are confident of working together with them as our 50/50 partner going forward."

Questerre Energy Corporation is a Calgary-based independent resource company actively engaged in the exploration, development and acquisition of high-impact exploration and development oil and gas projects in Canada.

This news release contains forward-looking information. Implicit in this information are assumptions regarding commodity pricing, production, royalties and expenses, that, although considered reasonable by the Company at the time of preparation, may prove to be incorrect. These forward-looking statements are based on certain assumptions that involve a number of risks and uncertainties and are not guarantees of future performance. Actual results could differ materially as a result of changes in the Company's plans, commodity prices, equipment availability, general economic, market, regulatory and business conditions as well as production, development and operating performance and other risks associated with oil and gas operations. There is no guarantee made by the Company that the actual results achieved will be the same as those forecasted herein.

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