Royale Energy Commences Drilling in Utah

Royale Energy, Inc. has begun drilling operations on the V-Canyon 20-2 well in the Northern edge of the Company's natural gas field in Utah. The objective depth is 12,000 ft. to the Entrada formation. The Company expects it will encounter multiple potentially productive zones including the Mesa Verde, Sego, Castlegate, Mancos shale, Dakota, Brushy Basin and the Wingate.

The V-Canyon 20-2 is believed to be a high impact, low risk well to drill with a significant upside potential in terms of both long life production and total reserves of natural gas.

The V-Canyon 20-2 is being drilled directionally to the north from the V-Canyon 20-1 pad. Using the V-Canyon 20-1 pad reflects Royale's commitment to reduce the environmental impact of drilling in a wilderness area.

Royale's acreage position for the V-Canyon 20-2 offsets a well that recently began production at over 5,000,000 cubic ft per day in the Flat Rock field.

Drilling will be completed by November and the pipeline infrastructure is in place, allowing production to be sold and transported.

 In 2007, Royale's focus was to test its 20,000 acre block in the Uintah basin to determine the prospectivity of multiple potentially productive formations within its entire acreage block and building the infrastructure to transport its natural gas production to the markets.

In 2008, after the completion of multiple discoveries and the diversity in productive formations in Utah, Royale has increased the prospects of additional locations on the remaining 20,000 acre block.

The Moon Canyon-2 has established production in the Morrison and Dakota formations and the Ten Mile Canyon to the south has now been fraced and tested in the Dakota. Additional Mancos potential remains behind pipe.

Once the V-Canyon 20-2 is completed, the drilling rig will be moved to drill another Dakota/Buckhorn well in the Company's Moon Canyon field to complete the drilling of its initial four well test project, wrapping up this year's Utah drilling schedule.

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