SOURCE: Radial Energy Inc.

May 07, 2007 09:00 ET

Radial Energy's Huaya 100-2X Well Reaches Total Depth -- Prepares for Production Tests

HOUSTON, TX -- (MARKET WIRE) -- May 7, 2007 -- Radial Energy Inc. (OTCBB: RENG) ("Radial" or the "Company) is pleased to announce that the Huaya 100-2X well reached total depth of 305.1 meters (1,001 feet) at 1:00 am on May 3rd. Resistivity and Neutron-Density logs were run from 302.5 to 61.7 meters and Gamma Ray to surface. The target Vivian formation was found at 255.1 meters, 3.7 meters above the oil-water contact established in the Huaya 100-1X and 4X wells.

Based on electric, drilling and mud logs, two hydrocarbon potential horizons were encountered. At the top of the formation, from 255.1 to 258.8 meters, gas during drilling increased to 100-130 ppm with open hole logs indicating average porosity of 30% and Density-Neutron indicating potential oil. A second zone within the Vivian, from 275.0 to 280.0 meters, gas during drilling increased to 100-110 ppm, with very high resistivity, 24-29% porosity and a similar Density-Neutron response to the upper zone. Based on this information 5-1/2 casing was set and cemented to 985 feet. Production testing activities are expected to commence in the coming days once the cement has properly bonded.

According to Radial CEO, Leigh Lyons, "The drilling and completion of the Huaya 100-2X has gone very well. We drilled, logged, set surface casing and cemented the well in one week, which was the timeframe we originally envisioned for each well drilled on this project." Adding, "We look forward to the production tests of this well and to providing an update on that activity later this week."

About Radial Energy Inc. (OTCBB: RENG)

Radial Energy identifies, acquires, and develops low risk oil and natural gas exploration and development opportunities throughout the Americas. The Company's innovative strategy involves targeting overlooked or under-developed reserves that are under the radar of multinational oil companies and out of the reach of small independents.

The Company targets prospective oil and natural gas opportunities in historically productive regions with a focus on identifying previously drilled but undeveloped exploratory wells that, due to factors at the time of initial drilling including the absence of pipeline infrastructure, lack of modern recovery technology, poor geological or engineering interpretation or low oil and gas prices, were not fully exploited.

Radial Energy is led by a highly motivated team of industry veterans with proven expertise in North, Central and South American oil and natural gas development. Bolstered by first-rate management, farsighted acquisitions, the speed and agility to take advantage of changing market conditions, a firm commitment to building value for shareholders and the growing demand for energy worldwide, Radial Energy is taking maximum advantage of a tremendous opportunity to develop overlooked and under-developed oil and gas reserves in North and South America.

Forward-Looking Statements

Except for statements of historical fact, the information presented herein contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking statements include the statements regarding the Company's expectations, hopes or intentions regarding the future. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of the company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include the ability to successfully drill and complete wells such as the Huaya 100-1X well, general economic and business conditions, the ability to acquire and develop specific projects, the ability to fund future operations, and changes in consumer and business consumption habits and other factors over which Radial Energy Inc. has little or no control.

Radial Energy Inc.
G. Leigh Lyons, President

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