Chinook Successfully Drills, Completes Doig Discovery

Chinook Energy Inc. announced today the results from the drilling and initial commercial completion operation from its Doig oil and natural gas discovery drilled at 15-1-86-22W6M in the Red Creek area of northeastern British Columbia.

The well was drilled to a total depth of 2,880 metres, including a 1,000 metre horizontal section, and rig released on May 9, 2011. The 10-stage completion was flowed back over an eight day period in early June. Average production rates for the last three days, after recovery of volumes pumped with the frac, were 450 barrels of oil per day and 4.2 mmcf per day of natural gas. Liquids recoverable from the natural gas are expected to average approximately 16 bbls/mmcf and the H2S concentration of the natural gas is approximately 10%. Chinook has a 74.55% operated working interest in the well and holds 12,800 acres gross (9,600 net) on the prospect.

Facility construction is underway and the well is expected to commence production prior to September 1, 2011. Drilling plans for the balance of 2011 and winter 2012 are currently underway.

About Chinook Energy Inc.

Chinook is a Calgary-based public oil and natural gas exploration and development company that combines high quality gas and liquids balanced assets in Western Canada with an exciting high growth oil business onshore and offshore Tunisia in North Africa.


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