Saxon Oil Announces Financial Results for Year Ended 2008



    DALLAS, May 1 /CNW/ - Saxon Oil Company Ltd. ("Saxon") (TSX VENTURE: SXN)
(FRANKFURT: OVG) (BERLIN: OVG) announced today its results for the year ended
December 31, 2008 and a summary of reserves, including reserves evaluation.
The reserves and reserve evaluation have been independently assessed by
LaRoche Petroleum Consultants, Ltd. in accordance with the standards specified
by Canadian National Instrument 51-101. Full consolidated Financial
Statements, Management's Discussion and Analysis (MD&A), and 51-101 Statement
of Reserves have been filed at www.sedar.com and on the Company's website
www.saxonoil.com.
    Revenue rose to $5,672,102 for the year ended December 31, 2008, an
increase of $3,271,343 or 136%, compared with the year ended December 31,
2007. The increase in revenue was primarily the result of additional oil and
gas production, transportation of third-party gas through its midstream
operations, and favorable commodity prices. The Company had a net loss for the
year ended December 31, 2008 of $1,249,249, or $0.02 per share, compared to a
net loss for the year ended December 31, 2007 of $2,611,775, or $0.05 per
share.
    Revenue from oil and gas production for the year ended December 31, 2008
was $4,126,251. The Company's midstream gas gathering business, which started
up operations in July 2008, had revenue of $1,487,951 for the last 6 months of
2008.

    
    2008 Operational Highlights
    ---------------------------

    -  Saxon's first exploration well in Lea County, New Mexico, the Eumont
       State No. 1 well, was drilled in 2007 and completed in May 2008.
       Throughout the year, the well flowed oil at stabilized pressures and
       rates exceeding 150 barrels of oil per day (bopd). The Company also
       drilled and completed successful wells in Oklahoma and Kansas in 2008.
    -  Saxon doubled the size of its gas gathering systems to 220 miles
       through the acquisition of the Pawnee and West Wichita lines.
       Subsequently, the Company formed a 50/50 joint venture with American
       Energies to operate more than 400 miles of gas gathering systems in
       Kansas.
    -  Saxon acquired coal mine methane assets covering 239,000 acres in the
       Principality of Asturias, Northern Spain in the 4th quarter 2008. The
       Spanish Company has been granted permits to extract hydrocarbons from
       six large coal mining complexes.
    -  AleAnna Resources LLC, in which Saxon's owns a 20% membership
       interest, commenced 3D seismic shooting in November 2008 in Italy and
       completed the shoot in March 2009. AleAnna is currently reviewing the
       3d data and upon review of the processed data will begin filings for
       drilling permits for its first well.

    About Saxon Oil Company Ltd.
    ----------------------------
    
    Saxon Oil Company is a Tier One Texas-based Canadian company, trading on
the TSX Venture Exchange under the symbol SXN. The Company is an independent
oil and gas company engaged in the acquisition, development and production of
oil and natural gas reserves and has midstream operations to gather and
process natural gas. The Company seeks to deliver strong shareholder returns
through an effective exploration and development program that incorporates
sound business practices with the latest oil field technologies. The goal is
to steadily increase proven reserves of oil and natural gas - which, in turn,
will lead to enhanced cash flows and earnings per share.

    This press release includes certain "Forward-Looking Statements" within
the meaning of section 21E of the United States Securities Exchange Act of
1934, as amended. All statements, other than statements of historical fact,
included herein, including without limitation, statements regarding plans for
completion, production potential, other targeted areas and expansion and
development plans and objectives of Saxon Oil Company Ltd. 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.

    
    The TSX Venture Exchange has not reviewed and does not accept
    responsibility for the adequacy and accuracy of this Release.
    

    %SEDAR: 00005554E




For further information:

For further information: Saxon Oil Company, Patrice Nazareno, Toll Free:
1-866-515-7708

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Saxon Oil Company Ltd.

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