Cirrus Energy Corporation annual financial and reserve documents



    CALGARY, Dec. 28 /CNW/ - Cirrus Energy Corporation (TSXV: CYR) ("Cirrus")
has filed its Consolidated Financial Statements and Notes, Management
Discussion and Analysis, Statement of Reserves Data, Report of Independent
Qualified Reserves Evaluator and the related Report of Management and
Directors with securities regulatory authorities in Canada for the year ended
August 31, 2007. These documents are available on the System for Electronic
Document Analysis and Retrieval at www.sedar.com. The Reserves and Contingent
Resources were evaluated by GLJ Petroleum Consultants Ltd. ("GLJ") effective
August 31, 2007. Select data follows.

    
    Oil and Gas Reserves
    Cirrus Working Interest before Royalties
    Based on Constant Prices and Costs

                          August 31, 2007              August 31, 2006
                          ---------------              ---------------
                       Oil      Gas       BOE       Oil      Gas      BOE
                       ---      ---       ---       ---      ---      ---
                     (Mbbls)   (MMcf)   (Mbbls)   (Mbbls)   (MMcf)   (Mbbls)

    Proved              687         -      687       745         -      745
    Probable          1,117    37,846    7,424     1,009    37,846    7,317
    -------------------------------------------------------------------------
    Total             1,803    37,846    8,111     1,754    37,846    8,061
    -------------------------------------------------------------------------

    The boe conversion ratio of 6 mcf to 1 bbl used throughout this document
is based on an energy equivalency conversion method primarily applicable at
the burner tip and does not represent a value equivalency at the wellhead.


    Net Present Values of Future Net Revenue Discounted at 10% Before Income
    Taxes
    (expressed in thousands of Canadian dollars with previous year
    comparatives expressed in thousand of US dollars)

                         Based on forecast prices   Based on constant prices
                             at August 31,              at August 31,
                             -------------              -------------
                          2007        2006           2007        2006
                          (CDN)       (US)           (CDN)       (US)
                          -----       ----           -----       ----
    Proved                4,250       3,932          6,448        7,331
    Probable             50,302      69,086         87,687      125,582
    -------------------------------------------------------------------------
    Total                54,552      73,018         94,135      132,913
    -------------------------------------------------------------------------
    

    The Future Net Revenue values for 2006 (for both forecast and constant
price cases) included an estimated cash receipt of USD $17.9 million related
to the expected participation of Energie Beheer Nederlands BV ("EBN") in the
development of the M1-A field in The Netherlands and EBN's corresponding
advance of a portion of the historical costs which were incurred on the
license by other parties. Following EBN's election to participate in July,
2007, the actual cash receipt of euro19.0 million (approximately
CDN$25.5 million net to Cirrus after third party charges) was received from
EBN in August, 2007 and has been reported in the working capital position of
the Company at August 31, 2007.

    Contingent Resources

    In addition to the reserves identified in the current report, GLJ have
determined the remaining Best Estimate contingent resource potential in the
Coora Field, onshore Trinidad, to be an additional 3,600 Mbbls of company
working interest oil. This assignment reflects the potential for ultimate
recoveries in excess of the Proved plus Probable volumes, but where detailed
technical and field work has not yet been completed.
    In The Netherlands, GLJ have assigned an additional Best Estimate of the
Company's working interest share of contingent resource potential of 10,600
MMcf to acknowledge the potential of a multi-well development case for the
M1-A field.

    Cirrus Energy Corporation is an international oil and gas company
headquartered in Calgary and currently has 58,267,333 common shares
outstanding (62,997,333 fully diluted).

    Forward-Looking Statements

    This press release may include forward-looking statements including
opinions, assumptions, estimates and expectations of future production, cash
flow and earnings. When used in this document, the words "anticipate,"
"believe," "estimate," "expect," "intent," "may," "project," "plan", "should"
and similar expressions are intended to be among the statements that identify
forward-looking statements. Forward-looking statements are subject to a wide
range of risks and uncertainties, and although the Company believes that the
expectations represented by such forward-looking statements are reasonable,
there can be no assurance that such expectations will be realized. Any number
of important factors could cause actual results to differ materially from
those in the forward-looking statements including, but not limited to, the
volatility of oil and gas prices, the ability to implement corporate
strategies, the state of domestic capital markets, the ability to obtain
financing, changes in oil and gas acquisition and drilling programs, operating
risks, production rates, reserve estimates, changes in general economic
conditions and other factors more fully described from time to time in the
reports and filings made by Cirrus with securities regulatory authorities.

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

    %SEDAR: 00021839E




For further information:

For further information: David Taylor, President and Chief Executive
Officer, Pamela Orr, Vice President, Finance and Chief Financial Officer,
Cirrus Energy Corporation, Suite 350, 926 - 5th Avenue S.W. Calgary, Alberta,
T2P 0N7, Canada, Website: www.cirrusenergy.ca, Telephone: (403) 216-5030,
Facsimile: (403) 265-9530

Organization Profile

CIRRUS ENERGY CORPORATION

More on this organization


Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890