Canoro Hires Rig for Work Program in India

Canoro Resources has contracted a rig for its work programs in Assam, India. The rig has been working in India for a number of years. The rig is suitable for both drilling and well workover operations. The rig is presently in Rajasthan and will be mobilized to Assam in the very near future. It is contracted for a six-month period with a provision to extend the contract for an additional eighteen months.

Les Kondratoff, President and CEO, stated that, "Contracting of this rig is a major milestone in Canoro's path towards the realization of its potential in India. The first half of 2005 will be an exciting period for the company."

Canoro is the operator of two blocks in North East India where it is developing three types of plays. In the Amguri development block, the plan is to rehabilitate production from three existing wells. In the AA-ON/7 exploration block, the plan is to perform a long term deliverability test on the Dergaon # 1 gas discovery well and drill Canoro's first exploration well.