Exxel Energy provides operational update



    (TSX-V Symbol: EXX)

    HOUSTON, TX, March 14 /CNW/ - Exxel Energy Corp. ("Exxel" or the
"Company") (TSX Venture - EXX) announced the following operational update.

    Exxel Energy Corp. Provides Update on Activities in Columbia River Basin

    The Company intends to continue to expand in the Columbia River Basin of
central Washington State, U.S.A. and intends to continue to actively acquire
additional acreage to further consolidate and high-grade its position. Exxel's
current leasehold position in the Columbia River Basin is approximately
340,000 net mineral acres, an increase of approximately 15,000 net mineral
acres since November 2006.
    In order to evaluate its prospects within the Columbia River Basin, the
Company previously acquired and was interpreting Magnetotelluric geophysical
data ("MT") previously shot by third parties. In order to continue its
evaluation, the Company has retained Chinook Geoconsulting, Inc. to begin
conducting additional MT acquisitions and MT interpretation keying on regional
trends in mid-March 2007. The Company intends to continue to examine its
options for the exploration and development of its acreage as it further
delineates its prospects in the Columbia River Basin.
    Cliff Adams, President and CEO, comments, "We are extremely excited about
our progress in the Columbia River Basin as a result of our ongoing technical
evaluation and our ability to high-grade and expand our acreage position
within the basin. We have assembled a world class team of professionals and
consultants to fully analyze our prospect areas. Clearly, the Company is very
well positioned in the Columbia River Basin and we will continue to examine
how best to leverage this position for the benefit of our shareholders."

    Amendment of Piceance Basin Agreement

    Exxel also announced that it has entered into certain agreements to
amend, and to resolve certain commercial disputes related to, its previously
announced contractual arrangements by and between Exxel, Apollo Energy LLC
("Apollo") and ATEC Energy Ventures LLC ("ATEC")(together "Apollo/ATEC") in
the Rifle Creek area of the Piceance Basin, Garfield County, Colorado, U.S.A.
("Rifle Creek"). As part of the amendments, Exxel has agreed to pay
U.S.$775,000 for the purchase of a 1.875% backin working interest within
original Rifle Creek area of mutual interest from Apollo/ATEC and for
Apollo/ATEC's agreement to relinquish their right as exclusive leasing agent
within the area of mutual interest and to eliminate all past and future
drilling requirements. Exxel has also agreed to utilize the services of Apollo
for land services on a month-to-month basis.

    Company Grants Stock Options to Ben Law

    The Company has granted stock options on a total of 300,000 common shares
of the Company to Ben Law for past and ongoing services rendered to the
Company in connection with the strategy and analysis of its Columbia River
Basin project. The options shall vest evenly over three years from the
effective grant date of March 12, 2007. 100,000 options are exercisable at
$4.00 per share, 100,000 options at $5.00 per share and 100,000 at $6.00 per
share. The options will be subject to the Company's 2006 Stock Option Plan
(approved on September 7, 2006). The grant of options is subject to regulatory
approval.
    Ben Law was formerly with the U.S. Geological Survey for 27 years and has
published 170 scientific papers. Ben has spent a large part of his career
focused on basin center gas accumulations, including his study of the Columbia
River Basin.

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

    In the interests of providing Company shareholders and potential
investors with information regarding the Company, including the Company's
assessment of its and its subsidiaries' future plans and operations, certain
statements included in this press release may constitute forward-looking
information or forward-looking statements (collectively, "forward-looking
statements"). All statements contained herein that are not clearly historical
in nature are forward-looking, and the words "anticipate", "believe",
"expect", "estimate" and similar expressions are generally intended to
identify forward-looking statements. Similarly, forward-looking statements in
this press release include, but are not limited to anticipated developments of
the Company's drilling project in and the timing thereof, the Company's
drilling project in and the timing thereof, capital investment levels and the
allocation thereof, pipeline capacity, government royalty rates, reserve and
resources estimates, the level of expenditures for compliance with
environmental regulations, site restoration costs including abandonment and
reclamation costs, exploration plans, acquisition and disposition plans
including farmout plans, net cash flows, geographic expansion and plans for
seismic surveys. In addition, please note that statements relating to
"reserves" or "resources" are deemed to be forward-looking statements, as they
involve the implied assessment, based on certain estimates and assumptions,
that the reserves and resources described can be profitably produced in the
future. Such statements represent the Company's internal projections,
estimates or beliefs concerning, among other things, an outlook on the
estimated amounts and timing of capital expenditures, anticipated future debt
levels and incentive fees or revenues or other expectations, beliefs, plans,
objectives, assumptions, intentions or statements about future events or
performance. These statements are only predictions. Actual events or results
may differ materially. Although the Company believes that the expectations
reflected in the forward-looking statements are reasonable, it cannot
guarantee future results, levels of activity, performance or achievement since
such expectations are inherently subject to significant business, economic,
competitive, political and social uncertainties and contingencies. Many
factors could cause the Company's actual results to differ materially from
those expressed or implied in any forward-looking statements made by, or on
behalf of, the Company and the foregoing list of important factors is not
exhaustive. These forward-looking statements are made as of the date hereof
disclaims any intent or obligation to update publicly any forward-looking
statements, whether as a result of new information, future events or results
or otherwise. Company shareholders and potential investors should carefully
consider the information contained in the Company's filings with Canadian
securities administrators at www.sedar.com before making investment decisions
with regard to the Company.




For further information:

For further information: Brisco Capital Partners Corp., Graeme Dick,
Tel: (403) 313-9663, Email: graeme@briscocapital.com; Victor Barcot, EVP of
Business Development and Investor Relations, Tel: (713) 922-0383, Email:
vbarcot@exxelenergy.com

Organization Profile

EXXEL ENERGY CORP.

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