Vaquero and Highpine Announce Pembina Nisku Discovery

Vaquero Energy Ltd. and Highpine Oil & Gas have discovered a new Nisku pool in the Pembina area of west central Alberta. Preliminary results from the confidential well (Vaquero 40% / Highpine 60%) indicate a significant column of hydrocarbons in the Nisku formation.

The well was drilled based upon the companies' interpretation of a 3D seismic program shot over the subject lands. Completion and testing of the well is planned for later in 2004. Future development of the pool will be determined upon evaluation of the test results.