Thunderbird Energy Corp.
TSX VENTURE : TBD
FRANKFURT : M2Y

Thunderbird Energy Corp.

August 31, 2010 12:38 ET

Thunderbird Energy Corp.: Weston County, Wyoming Oil Project Farm Out Agreement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 31, 2010) -

THIS NEWS RELEASE, REQUIRED BY APPLICABLE CANADIAN LAWS, IS NOT FOR DISTRIBUTION TO U.S. NEWS SERVICES OR FOR DISSEMINATION IN THE UNITED STATES, AND DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES DESCRIBED HEREIN.

Thunderbird Energy Corp. (TSX VENTURE:TBD) (FRANKFURT:M2Y) (the "Company" or "Thunderbird") today announced that it has entered into an agreement with Ascent Exploration, Inc. of Southlake, Texas to farm out roughly one-half of the Company's Weston County, Wyoming oil project acreage.

The Weston County project is located in a prolific oil and gas producing area of the Eastern Powder River Basin. The project has a number of conventional oil and natural gas targets in the Dakota and Minnelusa formations. The Cretaceous Dakota and Permo-Penn Minnelusa are both highly productive sandstone reservoirs when found in trapping positions and have accounted for hundreds of millions of barrels of production in the Powder River Basin. Examples of Dakota and Minnelusa fields in the vicinity of the Weston County Project include the Donkey Creek, Raven Creek, Coyote Creek and Slattery fields, which have cumulative production to date of 100 million barrels of oil and 40 Bcf of natural gas, with reserves of 500,000 barrels per well on 40 acre spacing.

Pursuant to the terms of the farmout agreement, Ascent can earn an 85% working interest down to the Dakota formation in the initial earn in land block of roughly 1300 acres, by paying 100% of the cost to drill and complete an initial Dakota test well. Ascent will not earn any interest in the deeper Minnelusa formation. Upon completion of the initial test well, Ascent has 6 months within which to exercise its option to fund 100% of the cost of a second Dakota test well in order to earn an 85% interest in an additional earn in land block of roughly 1500 acres. The agreement is subject to the completion of legal due diligence within 45 days, following which Ascent will pay Thunderbird a non-refundable Acreage Fee of $30 per acre. The initial test well must be commenced no later than April 1, 2011.

Thunderbird Energy is a Canadian based oil and gas exploration and production Company with interests in the US Rockies and mid-continent regions. Thunderbird's holdings include the Gordon Creek, Utah natural gas field, the Rush County, Kansas light oil project and the light oil exploration project in Weston County Wyoming.

THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS, AND MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES OR TO U.S. PERSONS UNLESS REGISTERED OR EXEMPT THEREFROM.

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