January 13, 2010 / Calgary, Alberta
EMBER RESOURCES INC. EXPANDS OPERATIONS AT ACME, ALBERTA AND PROVIDES OPERATIONAL UPDATE
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Highlights
• Ember Resources Inc. (“Ember”) has entered into agreements that will significantly expand drilling and production activities in its core Acme area and reduce its operating and overhead costs.
• CBM drilling at Acme, operated by Ember, could exceed 140 gross wells over the next two years. Production at Acme is expected to grow from 7 mmcf/d ( 4.5 mmcf/d net ) to 20 mmcf/d (11 mmcf/d net)
• Completion of Ember’s $20 million equity issue in Q4 2009 has reduced balance sheet debt and provided additional funds to increase drilling activity.
• Ember has increased its hedging program to 50% of first quarter production at an average price of $5.51/mcf and 20% of April to December 2010 production with a floor price of $4.73/mcf and a ceiling price of $6.92/mcf.
• The Q4 2009 and Q1 2010 drilling programs are expected to grow production from an average of 23.5 mmcf/d in Q4 to an average of 25 mmcf/d in Q1.
FORWARD-LOOKING STATEMENTS
This press release may contain forward-looking statements including expectations of future production, cash flow and earnings. These statements are based on current expectations that involve a number of risks and uncertainties, which could cause actual results to differ from those anticipated. These risks include, but are not limited to: the risks associated with the oil and gas industry (e.g., operational risks in development, exploration and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty of estimates and projections relating to production, costs and expenses, and health, safety and environmental risks), commodity price and exchange rate fluctuation and uncertainties resulting from potential delays or changes in plans with respect to exploration or development projects or capital expenditures. Additional information on these and other factors that could affect the Company’s operations or financial results are included in the Company’s reports on file with Canadian securities regulatory authorities.
Ember Resources Inc. is a resource company specializing in coal bed methane (CBM) with extensive land and resource holdings in Alberta, Canada. Ember’s shares are traded on the Toronto Stock Exchange under the trading symbol “EBR”.
FOR FURTHER INFORMATION PLEASE CONTACT
Mr. Douglas A. Dafoe
President & C.E.O.
Ember Resources Inc.
Telephone: 403 270-0803
Facsimile: 403 270-2850
Mr. Terry S. Meek
Executive Vice President & C.O.O.
Ember Resources Inc.
Telephone: 403 270-0803
Facsimile: 403 270-2850
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