Southern Pacific Resource Corp.

Southern Pacific Resource Corp.

December 06, 2007 08:15 ET

Southern Pacific Announces Commencement of Winter Exploration Program

CALGARY, ALBERTA--(Marketwire - Dec. 6, 2007) - Southern Pacific Resource Corp. (the "Corporation" or "Southern Pacific") (TSX VENTURE:STP) is pleased to announce that it has commenced its winter exploration program. The planned 17 km 3D seismic program at Leismer was started yesterday; this program was the follow up to the Corporation's successful initial drilling which was completed during the prior winter season. The 3D seismic information will help the Corporation identify its drilling locations for this winter, and thereby further delineate future potential SAGD operations.

In addition to the Leismer 3D program the Corporation has begun the 2D seismic program at its Kirby property. It is anticipated that approximately 88 kms of seismic will be completed in December and the interpretation of the seismic will be completed in sufficient time to complete the core drilling program at Kirby this winter.

The core drilling program in the four other areas, being Leismer, Mackay, Hangingstone and Long Lake are set to begin within the next two to three weeks. The 550 km 2D seismic program was completed this fall and has now been interpreted and numerous anomalies have been identified. These anomalies are the basis for drilling locations that have been high graded for the initial core holes. The Corporation has contracted seven coring rigs and has finalized the schedule to ensure all core areas are evaluated this winter.

With the recently completed financing, the Corporation has sufficient working capital to complete its winter exploration program and to continue to pursue additional land positions.

Southern Pacific is also pleased to announce that it has retained McDaniel & Associates Consultants Ltd. ("McDaniel") as its independent engineering firm. McDaniel will prepare an evaluation of the properties held by the Corporation once it has completed it winter exploration program, which includes the 2D and 3D seismic program and its planned 115 core well program.

About Southern Pacific

The Corporation currently holds an 80% working interest in 219 sections in five core areas. The previous evaluation work on the areas has allowed the Corporation to record probable reserves of approximately 92.6 million barrels and possible reserves of approximately 65.8 million barrels and best case contingent resources of 689 million recoverable barrels.

Safe Harbour

Statements in this press release may contain forward-looking information including expectations of future operations, operating costs, commodity prices, administrative costs, commodity price risk management activity, acquisitions and dispositions, capital spending, access to credit facilities, income and oil taxes, regulatory changes and other components of cash flow and earnings. The reader is cautioned that assumptions used in the preparation of such information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the company. These risks include, but are not limited to, the risks associated with the oil and gas industry, commodity prices, exchange rate changes, and tax treatment of the flow-through common shares. Industry related risks could include, but are not limited to, operational risks in exploration, development and production, delays or changes in plans, risks associated to the uncertainty of reserve estimates, competition, volatility of oil and gas prices, health and safety risks and the uncertainty of estimates and projections of production, changes in the royalty regime, environmental regulation, costs and expenses. The reader is cautioned not to place undue reliance on this forward-looking information.

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

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