Premium Says Seismic Study Reveals Two Drill Targets at Boyne Lake

Premium Petroleum reports positive results from a recent seismic study on its Boyne Lake Gas Prospect. According to the company's geophysical consultant's interpretation of the seismic, two drill target anomalies exist on the property. Seismic evidence collaborates our original geologic assumptions indicating the presence of three zones in one drill target and two in the other. The zones are referred to as: Upper Grand Rapids A sand, Upper Grand Rapids B sand, and the Viking sand.

The well-respected consulting firm of Petrel Robertson Consulting Ltd. was engaged by Premium for processing and interpreting the seismic program. The objective of the seismic program was to create a picture of the geologic structure, which will assist in determining the optimum drill location(s).

Furthermore, the seismic result has indicated which adjacent lands the company should undertake to acquire in order to expand the play.

The next steps are to survey in the first drill location and obtain approvals.

The seismic program was comprised of three seismic lines for a total of 8.6 km. The lines tie in the neighbor's successfully tested well (3.4 mmcf/day AOF - absolute open flow) three quarters of a mile NW of our property and in addition also incorporate parts of two neighboring sections along with the Company owned section.

Bruce A. Thomson, B.A.Sc.; President & CEO states, "The seismic program has achieved its objective which was to collaborate our geologic assumptions by showing the geologic structure thus increasing the probability of drilling success from an estimated 35% to an estimated 70%; and in addition, guide us as to what land to target for acquisition in order to expand the play."

Premium is set to exploit petroleum and natural gas reserves in an environment of unprecedented commodity prices and under the guidance of a highly qualified management and technical team.

Premium is an emerging junior oil and gas company financially well connected, coupled with a strong management and technical team focused on exploiting oil and gas reserves in the Western Canadian Sedimentary basin to 6000 feet in depth. Management intends to pursue a growth strategy through Land Assembly, Joint Ventures (Farmin/Farmout), and Acquisitions. The Company has assembled a seasoned team of managers and technical professionals in the areas of geology, engineering, and legal. With the depth of the management and technical team Premium has assembled, Premium is poised for aggressive asset growth and development.