Corridor Reports Initial McCully M-66 Test Results

Corridor Resources Inc. announced Friday that well stimulation (fraccing), initial testing and well clean-up operations have been completed at the McCully M-66 well in the McCully natural gas field located near Sussex, New Brunswick.

The M-66 well flowed gas from the "A" and "B" sands at a measured rate of 5.86 million standard cubic feet per day (mmscf/d) and a flowing wellhead pressure of 2067 pounds per square inch (psi) at the end of a 62.5 hour flow period. The well was flowed through a 7.7 millimeter choke and was still cleaning up after recovering 35% of injected completion fluids during the test period.

Fraccing and testing operations are planned to be conducted in a total of seven wells during August and September, and Corridor intends to continue to provide updates on the results of these activities as they proceed. Corridor considers the initial three wells (M-66, K-66 and J-66) to be the most productive of the seven wells to be stimulated and tested this summer, based on log evaluations and sidewall core analyses.

Potash Corporation of Saskatchewan and Corridor are joint participants in the M-66 well. Corridor also reported on recent re-test results for the four McCully wells (C-67, G-67, O-66 and K-57) that were fracced and initially tested late last fall. The re-test results showed significant improvement relative to the rates reported in December, 2005. The following table re-states the test results for the four wells reported last December as well as a productivity index which allows the wells to be compared on an equivalent basis.

                         Flow  Choke             Wellhead      psi(2)
               Sands   Period   Size   Flow Rate Pressure      after
Well         Fracced   (hours)   (mm)   (mmscf/d)    (psi)    4 days)

C-67             A,B       67   7.94         3.2     1410      0.440

G-67             A,B       40   5.56         0.9      978      0.109

O-66         A,B,C,D       92   12.7         5.7      955      0.807

K-57               B       61   7.14         0.9      634      0.093

The following table presents the flow performances for the retesting of these wells undertaken in July. Also shown are the percentage increases in the well productivity indexes after 4 days of measured (or projected) flows. It is important to note that these initial productivity indexes will continue to decline somewhat until steady state flow is achieved, which could take a year or more of continuous production for these relatively low permeability reservoirs.

                  Flow Choke            Wellhead      psi(2)
         Sands  Period  Size  Flow Rate Pressure      after   Percent
Well   Fracced  (hours)  (mm)  (mmscf/d)    (psi)    4 days) Increase
C-67       A,B      96  5.56        2.6     2143      0.528        20
G-67       A,B      94  6.35        1.3      932      0.142        30
O-66   A,B,C,D      95  6.35        3.6     1498      0.989        23
K-57         B      72  7.14        0.9      559      0.095         2

Corridor is a junior oil and gas exploration and production company, headquartered in Halifax, Nova Scotia, with interests onshore in New Brunswick, Prince Edward Island and Quebec, and offshore in the Gulf of St. Lawrence.


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