Bellamont Exploration Ltd. announces $12.8 million 2008 budget and guidance



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    THE UNITED STATES. ANY FAILURE TO COMPLY WITH THIS RESTRICTION MAY
    CONSTITUTE A VIOLATION OF U.S. SECURITIES LAW./

    CALGARY, Jan. 23 /CNW/ - Bellamont Exploration Ltd. ("Bellamont" or "the
Company") (TSXV:BMX.A) (TSXV:BMX.B) is pleased to announce its board of
directors has approved a 2008 capital budget of $12.8 million. The Company
plans to maintain its strong balance sheet by funding the 2008 capital program
out of its existing working capital and projected cash flow. As of
December 31, 2007, the Company had an estimated working capital surplus of
approximately $7 million.
    Bellamont's 2007 capital program was heavily weighted to exploratory
projects so that the Company could satisfy its flow through renunciation
obligations related to its IPO financing. The Company is pleased to report
that it has met all such obligations. In 2007, the Company drilled 10 (8.3
net) exploratory wells out a total program of 13 wells (11.3 net), which have
resulted in several new pool discoveries. In total, Bellamont has production
tested over 500 boe/d (net to Bellamont) from its 2007 new pool discoveries,
50% of which was light oil.
    Based on field estimates, the Company's current production is
approximately 300 boed (~25% light oil). Bellamont expects to increase its
daily production to approximately 525 boe/d (~36% light oil) by the end of the
2nd quarter of 2008, once it has equipped all of its new pool discoveries and
optimized its existing producing wells. The 2008 drilling program, consisting
of 12.0 wells (9.1 net), will be directed primarily towards drilling lower
risk follow-up wells to the Company's successful 2007 discoveries. Bellamont
expects to exit 2008 with production greater than 700 boe/d.
    The Company has compiled an undeveloped land inventory of 52,056 gross
acres (32,148 net), of which 25,808 gross acres (18,779 net) is located in the
Peace River Arch area of Alberta. In addition, the Company has access to over
279,000 gross acres of land in Southeast Saskatchewan via its previously
announced farmin agreement. The Company has a prospect inventory of 50 gross
locations on Company owned lands plus approximately 12 drilling leads related
to its Southeast Saskatchewan farmin based on the Company's review of
pre-existing seismic. In addition, the Company is currently interpreting the
data from its new 82 square mile 3D seismic program in Southeast Saskatchewan.
    The Company has been, and will be, actively reviewing acquisition
opportunities in 2008. The Company's strong balance sheet and unutilized line
of credit of $3.5 million, places it in a relatively strong position when
compared to many companies in the Canadian junior oil and gas sector. In
pursuing acquisitions, Bellamont intends to maintain its discipline and
concentrate on strategic transactions that are accretive on cash flow,
production and reserves on a per share basis, while maintaining a strong
balance sheet.

    Bellamont is an emerging oil and gas company focused on the acquisition,
exploration, development and production of oil and natural gas in western
Canada and trades on the TSX Venture Exchange under the symbols "BMX.A" and
"BMX.B". The Corporation now has 34,292,449 Class A shares and 1,012,000 Class
B shares outstanding.

    This document contains forward-looking statements. More particularly,
this document contains statements concerning the Corporation's future
production levels and planned exploration, development and acquisition
activities.
    The forward-looking statements are based on certain key expectations and
assumptions made by Bellamont, including expectations and assumptions
concerning prevailing commodity prices and exchange rates, availability and
cost of labour and services, the timing of receipt of regulatory approvals,
the performance of existing wells, the success obtained in drilling new wells,
the performance of new wells and the sufficiency of budgeted capital
expenditures in carrying out the Corporation's planned activities. The
combined test rates of the Company's 2007 new pool discoveries are not
necessarily indicative of the ultimate production rates and will be lower in
commercial development.
    Although Bellamont believes that the expectations and assumptions on
which the forward-looking statements are based are reasonable, undue reliance
should not be placed on the forward-looking statements because Bellamont can
give no assurance that they will prove to be correct. Since forward-looking
statements address future events and conditions, by their very nature they
involve inherent risks and uncertainties. Actual results could differ
materially from those currently anticipated due to a number of factors and
risks. These include, but are not limited to, the risks associated with the
oil and gas industry in general (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 fluctuations and uncertainties resulting
from potential delays or changes in plans with respect to exploration or
development projects or capital expenditures. These risks are set out in more
detail in the Corporation's Annual Information Form which has been filed on
SEDAR and can be accessed at www.sedar.com.
    The forward-looking statements contained in this press release are made
as of the date hereof and Bellamont undertakes no obligation to update
publicly or revise any forward-looking statements or information, whether as a
result of new information, future events or otherwise, unless so required by
applicable securities laws.

    Boe means barrel of oil equivalent on the basis of 1 boe to 6,000 cubic
feet of natural gas. Boe's may be misleading, particularly if used in
isolation. A boe conversion ratio of 1 boe for 6,000 cubic feet of natural gas
is based on an energy equivalent conversion method primarily applicable at the
burner tip and does not represent a value equivalency at the wellhead.

    THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT
    RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

    %SEDAR: 00024373E




For further information:

For further information: Bellamont Exploration Ltd., Suite 200, 1324 -
17th Avenue S.W., Calgary, Alberta, T2T 5S8, Telephone: (403) 802-6840, Fax:
(403) 802-1315, www.bellamont.com, Steve Moran, President and CEO, or Danny
Geremia, Vice President Finance and CFO

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BELLAMONT EXPLORATION LTD.

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