Stealth Ventures Ltd. - CBM and Shale Gas Operations Update and Options Issue



    Trading Symbol: SLV.tsxventure

    CALGARY, March 9 /CNW/ -

    Nova Scotia CBM
    ---------------

    Stealth successfully completed construction of surface water and gas
handling facilities in early December and commenced production testing
operations on all three Cumberland Basin horizontal wells. The initial
production set-up was designed to aggressively dewater the wells from the toe
of the lateral which resulted in coal fines migration into the well bores,
affecting near wellbore permeability. In response Stealth has just completed a
workover program to remove accumulated coal fines and locate the downhole
pumps at the upper portion of the lateral. Although Stealth has not yet
produced sustainable commercial flow rates, management is encouraged by
initial reservoir pressure and water inflow and believes that the workover
program is not uncommon to optimize flow rates from new Coalbed Methane
Basins. Testing will continue with the new pumping configurations.
    The Cumberland basin, where Stealth has a 75% working interest,
represents a gas resource play in Nova Scotia estimated by Sproule Associates
to contain net 887 BCF of "Discovered CBM Resource". Stealth's drilling
program is designed to test the productivity and commerciality of this
resource. Stealth's three test wells are as follows:

    
    -------------------------------------------------------------------------
    Well Name                  Coal Seam                  Horizontal Lateral
    ---------                  ---------                  ------------------
    -------------------------------------------------------------------------
    Coalmine Brook No.3        Number 6                   430  Metres
    -------------------------------------------------------------------------
    Coalmine Brook No.12       Number 2                   738  Metres
    -------------------------------------------------------------------------
    Coalmine Brook No.13       Marker "O"                 1041 Metres
    -------------------------------------------------------------------------
    

    Saskatchewan Shale Gas Update
    -----------------------------

    With the completion of the previously announced five well program at the
Whitehill Lakes property near North Battleford, Stealth has successfully
drilled and cased 39 wells with a working interest of 25% to 50%. Stealth's
four shale gas properties cover over 1.1 million gross acres of exploration
rights in Saskatchewan. Completion and testing programs will be designed and
executed for the Whitehill Lakes once all data has been fully evaluated.
    On Stealth's Special Exploration Permits the cased hole logging program
has been completed and a completion program is currently being designed and
executed to evaluate productivity on all permits. A summary of the
Saskatchewan lands are as follows:

    
    1.  Shell Lake Special Exploratory Permit
        -  196,770 gross, 98,385 net acres (50%WI)
        -  2 wells drilled and cased
        -  1 additional well planned for the 1st quarter

    2.  Foam Lake Special Exploratory Permit
        -  453,520 gross, 226,760 net acres (50%WI)
        -  16 wells drilled and cased

    3.  Moose Jaw Special Exploratory Permit
        -  385,490 gross, 192,745 net acres (50%WI)
        -  16 wells drilled and cased
        -  1 additional well planned for the 1st quarter

    4.  Whitehills Lake Licenses
        -  49,000 gross, 11,520 net acres (25%WI)
        -  5 wells drilled and cased
    

    Alberta Shale Gas Update
    ------------------------

    The initial two exploration wells have been tied-in and are on
production. In light of the results from these two wells, an additional eleven
wells have been drilled on the project; six have been completed to-date, with
tie-ins proceeding upon validation through production testing.
    Stealth has drilled most of the wells on its previously announced Alberta
farm-in, earning a 45% working interest in 48 sections of shallow gas rights.
In addition, Stealth has acquired a fifty percent interest in 12 sections of
crown leases.

    Stealth is a Calgary-based junior oil and gas company whose expertise and
focus is on "unconventional" gas reserves including CBM, shale gas and tight
gas sand reservoirs.

    Options
    -------

    Stealth also announces the issuance of options under its Stock Option
Plan to an Employee entitling him to purchase up to a total of 100,000 shares
at a price of $1.50 per share, exercisable for a period of five years.

    STEALTH VENTURES LTD.

    "W. Robert Bell"

    Per:
    W. ROBERT BELL
    President

    THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT
RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE. THIS NEWS RELEASE
MAY CONTAIN FORWARD-LOOKING INFORMATION. ACTUAL FUTURE RESULTS MAY DIFFER
MATERIALLY FROM THOSE CONTEMPLATED.

    %SEDAR: 00008195E




For further information:

For further information: W. Robert Bell, CEO, Mark J. Roth, CFO, Stealth
Ventures Ltd., Tel.: (403) 514-9998, Fax: (403) 514-9995, Emails:
investorrelations@stealthventures.ca; Richard Cohen, Investor Relations, CLARK
AVENUE COMPANY, Tel.: (905) 882-4422, Fax: (905) 882-4435,
clarkavenue@rogers.com

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STEALTH VENTURES LTD.

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