Birch Mountain announces agreement with major oil sands operator and first delivery of reagent limestone



    CALGARY, Dec. 5 /CNW/ - Birch Mountain Resources Ltd. ("Birch Mountain"
or the "Company") (BMD: TSX and AMEX) has signed a 2-year agreement with
Albian Sands Energy Inc. ("Albian") for sales of off-quarry limestone. Albian
operates the Muskeg River Mine approximately 75 kilometres north of Ft.
McMurray, Alberta and is a joint venture between Shell Canada Limited (60%),
Chevron Canada Limited (20%) and Marathon Oil Canada Corporation (20%).
    The off-quarry limestone will be taken from limestone uncovered beneath
the oil sands in the Muskeg River Mine, for use in mining operations as
unprocessed road base and fill material. For Birch Mountain, this is a no-cost
opportunity to increase overall market share.
    Anticipated volumes are one-half to one million tonnes per year.
    Joel Jarding, President and Chief Operating Officer of Birch Mountain
states, "We are very pleased to have signed our second multi-year contract in
six months with a major oil sands operator. These agreements provide a firm
foundation to grow our business as we move into 2008."
    "I am also pleased to report that Birch Mountain has recently delivered
its first order for reagent limestone. Although this order was relatively
small, it is a positive development that confirms interest in our reagent
products and the quality of our limestone," says Joel.

    Forward-Looking Statements:

    This news release contains certain forward-looking statements. All
statements, other than statements of historical fact, included herein,
including without limitation, statements regarding potential mineralization,
resources and reserves, exploration and development plans and results,
anticipated capital expenditures and financing thereof, anticipated outcomes
and timing of regulatory applications and approvals and the future plans and
objectives of Birch Mountain are forward-looking statements that involve
various risks and uncertainties. There can be no assurance that such
statements will prove to be accurate and actual results and future events
could differ materially from those anticipated in such statements. Certain
amounts in the financial statements are based on estimates using the best
currently available information and assumptions of management. Important
factors that could cause actual results to differ materially from Birch
Mountain's expectations are disclosed elsewhere in documents that are
available to the public at www.sedar.com and www.sec.gov.

    %SEDAR: 00003909E




For further information:

For further information: Birch Mountain Resources Ltd., Tel (403)
262-1838, Fax (403) 263-9888, Website: www.birchmountain.com

Organization Profile

BIRCH MOUNTAIN RESOURCES LTD.

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ALBIAN SANDS ENERGY INC.

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