Sahara Energy Ltd.
TSX VENTURE : SAH
PINK SHEETS : SAHRF

Sahara Energy Ltd.

February 20, 2008 12:23 ET

Sahara Energy- Announces Sale of Properties

CALGARY, ALBERTA--(Marketwire - Feb. 20, 2008) - Sahara Energy Ltd. ("Sahara" or the "Company") (TSX VENTURE:SAH) (PINK SHEETS:SAHRF) announces that it has closed the sale of its 30% working interest in an oil property located in the Tangent area of Alberta for $806,014.51. The proceeds from the sale where used to pay down Sahara's bank debt. In addition, Sahara has sold a 17% working interest in a section of Nikanassin rights in the Gold Creek area of Alberta for $101,079.95. The proceeds from this sale were used to pay down other existing corporate debt. Sahara expects that it will continue to sell non-core area properties in order to focus on its core areas of Lloydminster and Hayter, Alberta and western Saskatchewan.

Sahara is also pleased to announce that it intends to commence drilling activities on its 50% operated working interest well in the Lloydminster area of Alberta with the proceeds from its recent flow-through financings. This well is expected to spud in the next 2 weeks.

READER ADVISORY

Statements in this press release may contain forward-looking statements including expectations with respect to future events and the actions of third parties. These statements are based on current expectations that involve a number of risks and uncertainties, which could cause actual results to differ materially from those anticipated. These risks include, but are not limited to: the underlying risks of the oil and gas industry (i.e. operational risks in development, exploration and production; potential delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserves estimates; the uncertainty of estimates and projections relating to production, costs and expenses, adequate available financing and health, safety and environmental factors), commodity price and exchange rate fluctuation and uncertainties.

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

Contact Information

  • Sahara Energy Ltd.
    Peter J. Boswell
    President
    (403) 232-1359
    Email: pete@saharaenergy.ca
    or
    Sahara Energy Ltd.
    Quentin Enns
    Vice-President, Exploration
    (403) 232-1359
    Email: quentin@saharaenergy.ca
    or
    Sahara Energy Ltd.
    800, 510 - 5th Street S.W.
    Calgary, Alberta T2P 3S2