Verenex Energy Inc. - France - Orca 1 drilling update



    CALGARY, Oct. 1 /CNW/ - Verenex Energy Inc. ("Verenex" or the "Company")
(TSX - VNX) and its joint venture participants, Vermilion Energy Trust
("Vermilion") and Bordeaux Energy Inc. ("Bordeaux"), announce the Orca 1 well
on the Aquitaine Maritime Permit in the Bay of Biscay, offshore France has
been abandoned. Although the well encountered a thick sandstone formation as
indicated by seismic, no hydrocarbons were discovered. Evaluation of the data
gathered from this well, together with further seismic evaluation should
provide a better understanding of any potential of the remaining structures on
the Aquitaine Maritime Permit.
    Vermilion Exploration SAS ("VEX"), a wholly owned subsidiary of Verenex,
holds a 22.5% interest in the Aquitaine Maritime Permit following the drilling
of the Orca 1 well. Under a farmout deal negotiated with Vermilion and
Bordeaux in the fourth quarter of 2006, VEX was carried on its share of
drilling costs (up to a maximum of US $17 million (net)) for the first
exploratory well on the Permit. VEX's capital exposure is estimated to be
approximately Cdn. $5.2 million, based on an expected gross well cost of
US $55 million.
    Although the well was not successful, the farmout deal enabled Verenex to
test a high potential exploration opportunity at a manageable cost. The result
will not impact the Company's core exploration program in Libya which
continues to show excellent results.

    Verenex is a Canada-based, international oil and gas exploration and
production company with a world-class exploration portfolio in the Ghadames
Basin in Libya and the Bay of Biscay offshore France.

    This press release contains forward-looking statements, including but not
limited to operational information, future exploration and development plans
and anticipated future production. These statements are based on current
expectations and are subject to a number of risks and uncertainties that could
materially affect the results. These risks include, but are not limited to:
financing risks; geological risks; drilling risks; risks associated with
obtaining regulatory approvals; oil and gas industry operational risks in
development, exploration and production; delays or changes in plans with
respect to exploration or development projects or capital expenditures; the
ability to attract and retain key personnel; the risk of commodity price and
foreign exchange rate fluctuations; the uncertainty associated with
negotiating with foreign governments; and the risk associated with
international activity. Due to the risks, uncertainties and assumptions
inherent in forward-looking statements, prospective investors in the company's
securities should not place undue reliance on these forward-looking
statements.

    %SEDAR: 00020996E




For further information:

For further information: please contact: Jim McFarland, President & CEO,
Verenex Energy Inc., Telephone: (403) 536-8009 or Ken Hillier, Chief Financial
Officer, Verenex Energy Inc., Telephone: (403) 536-8005,
www.verenexenergy.com

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VERENEX ENERGY INC.

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