WesternZagros Resources Ltd.

WesternZagros Resources Ltd.

June 23, 2008 09:00 ET

WesternZagros Announces Third Party Participant

CALGARY, ALBERTA--(Marketwire - June 23, 2008) -


WesternZagros Resources Ltd. (TSX VENTURE:WZR) ("WesternZagros") announced today that the Kurdistan Regional Government ("KRG") has nominated a wholly-owned subsidiary of Talisman Energy Inc. ("Talisman") as the Third Party Participant in WesternZagros' block. With this election, the working interests' of the Contractor Group are as follows: WesternZagros (operator) - 40%, Talisman - 40% and the KRG - 20%.

Within 15 days, Talisman is required to pay WesternZagros approximately $50 million in costs incurred to date by the Company. In addition, Talisman will fund its share of costs going forward.

"WesternZagros is pleased to have the participation of Talisman in the Kalar-Bawanoor block and we look forward to advancing our plans in the Kurdistan Region of Iraq," commented Simon Hatfield, President. "Talisman brings extensive experience in the international arena, operational expertise and financial capability."

About WesternZagros Resources Ltd.

WesternZagros is an international natural resources company engaged in acquiring properties and exploring for, developing and producing crude oil and natural gas in Iraq. WesternZagros, through its wholly-owned subsidiaries, holds a Production Sharing Contract with the Kurdistan Regional Government in the Kurdistan Region of Iraq. WesternZagros' shares trade in Canada on the TSX Venture Exchange under the symbol "WZR".

This news release may contain forward-looking information based on assumptions that are subject to a wide range of business risks. WesternZagros' operations are subject to all risks normally incident to the exploration, development and operation of crude oil and natural gas properties and the drilling of crude oil and natural gas wells, including geological risk, encountering unexpected formations or pressures, premature declines of reservoirs, potential environment damage, blow-outs, fires and spills, all of which could result in personal injuries, loss of life and damage to property of WesternZagros and others; environment risks; delay or changes in plans with respect to exploration or development projects or capital expenditures; the ability to attract key personnel; the risk of commodity price and foreign exchange rate fluctuations.

All of WesternZagros' assets are located in Kurdistan. As such, WesternZagros is subject to political, economic, and other uncertainties of that region as well as risks of loss due to civil strife, acts of war, guerrilla activities and insurrections. WesternZagros' operations may be materially adversely affected by changes in government policies and legislation or social instability and other factors which are not within its control. Risks also include the uncertainty involved in the estimation of undiscovered resources. For further information on WesternZagros and the risks associated with its business, please see the Western Oil Sands Inc. Information Circular dated September 14, 2007 which is filed at www.sedar.com.

Forward-looking information typically contains statements with words such as "anticipate", "estimate", "expect", "potential", "could", or similar words suggesting future outcomes. We caution readers and prospective investors of the Company's securities not to place undue reliance on forward-looking information as by its nature, it is based on current expectations regarding future events that involve a number of assumptions, inherent risks and uncertainties, which could cause actual results to differ materially from those anticipated by WesternZagros.

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

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