Yangarra Resources Ltd.
TSX VENTURE : YAN

Yangarra Resources Ltd.

October 19, 2006 10:02 ET

Yangarra Announces Management Appointment & Operations Update

CALGARY, ALBERTA--(CCNMatthews - Oct. 19, 2006) -

Not for distribution in the United States of America

Yangarra Resources Ltd. ("Yangarra" or "the Company") (TSX VENTURE:YAN) is pleased to announce the appointment of Dan Helman, P. Eng. as Vice President, Exploitation. Mr. Helman has over 24 years of experience in various capacities including exploitation, production, facilities, process, and reservoir engineering. He previously held diverse engineering and managerial positions at Petro-Canada, Penn West Petroleum, Barrington/Sunoma, Manhattan Resources, and, most recently, with his private engineering consulting firm. In connection with this position, the Company will grant Mr. Helman options to purchase 250,000 common shares, exercisable at $0.32, vesting over a period of two years.

Yangarra is pleased to report it has entered into farm-in agreements with two industry partners, on a drill to earn basis for a non-convertible GORR, on four sections of land in the Company's core area of Medicine Hat. The drill program consisting of four shallow gas wells will commence immediately. The four key sections are located close to the 5-25-9-6W4 compression facility owned 100% by Yangarra and will assist the company in its goal to have a contiguous block of land in the area. In addition to the farm-in drilling program, Yangarra plans to drill one 100% owned deep gas test well.

Yangarra also reports that it has drilled the third well of a three well program to complete the Company's earning, 31.875% working interest, in 11.5 sections in the Willesden Green/Ferrier area of Alberta. The earning increases the Company's land interest in this highly prospective, liquids rich area to 35.5 sections (average 38% working interest). The final well has been completed and tested at 800 mcf/d, with plans underway to tie the well in by year end. Another prospective zone in the well will be completed and commingled once the lower zone has established a stabilized flow rate by producing the well. Two additional wells will be drilled by year end.

In Jaslan, construction is underway of a 3.0 million cubic feet per day compressor station and gathering system (45% working interest). The project will be complete by the end of October with production expected to commence in November.

Yangarra's current production is 575 boe/d (6-1 conversion) with 200 boe/d behind pipe. Yangarra expects to exit 2006 with 800-1,000 boe/d of production.

Certain information regarding Yangarra set forth in this release, including management's assessment of the Company's future plans, operations and operational results may constitute forward-looking statements under applicable securities law and necessarily involve risks associated with oil and gas exploration, production, marketing, and transportation such as loss of market, volatility of prices, currency fluctuations, imprecision of reserves estimates, environmental risks, competition from other producers and ability to access sufficient capital from internal and external sources. As a consequence, actual results may differ materially from those anticipated in the forward-looking statements.

A boe conversion ratio of 6 mcf: 1 bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.

The TSX Venture Exchange Inc. has not reviewed and does not accept responsibility for the adequacy and accuracy of this release.

Contact Information