Solara Exploration Ltd.

Solara Exploration Ltd.

January 26, 2011 09:15 ET

Solara Exploration Updates Recent and Planned Operational Activities

CALGARY, ALBERTA--(Marketwire - Jan. 26, 2011) - Solara Exploration Ltd. ("Solara" or the "Company") (TSX VENTURE:SAA.A) (TSX VENTURE:SAA.B) announces that it is currently engaged in equipping and tieing-in the two (2) recently completed Cardium horizontal wells located in sections 9 and 17-45-5 W5M in the Pembina (Buck Lake) area of Alberta. The Company anticipates that the wells will be on production within the next two to three weeks.

Solara is also pleased to announce that after consultation with its partners, the joint interest parties will proceed with the drilling of two (2) additional Cardium horizontal wells on joint interest lands directly adjacent to the Company's existing working interest wells prior to the end of the second quarter 2011.

The Company also advises that the Alberta Energy and Resources Conservation Board (ERCB) have approved an amendment to the existing primary depletion plan for its operated Dewberry oil project in north eastern Alberta. As a result of the amendment, the minimum well production spacing has been reduced from 160 acres (64 hectares) down to 20 acres (8 hectares) with respect to the Mannville Oil Sands. The ERCB's approval of the amendment increases the number of potential drilling locations on the Company's 100% working interest lands from 4 to 32 locations for each producing formation based on management's internal technical evaluation of its lands. In total, Solara estimates that it has up to 70 potential drilling locations comprising the Sparky, Dina, Cummings and Rex formations underlying its operated two (2) sections in Dewberry, Alberta. To date, Solara has successfully drilled 14 oil wells on the property with a 100% drilling success.

About Solara Exploration

Solara Exploration is a publicly traded junior oil and gas company focused on the exploration, development and acquisition of oil and natural gas in Western Canada.

75,620,164 Class A Shares

READER ADVISORY Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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