Daybreak Completes Well in Louisiana

Washington-based Daybreak Oil and Gas, Inc. has successfully completed the Tensas Farms et al F-3 well in Tensas Parish, La. The F-3 is the second of three wells drilled in the Basal Tuscaloosa Formation by Daybreak. This well has been connected to a gas sales pipeline. Initial flow rates and pressures are very encouraging.

Daybreak is currently drilling a well at the Krotz Springs Project in St. Landry Parish, La. The Company is anticipating being at the target depth of 10,900 measured feet within the next several days. Significant, probably commercial hydrocarbon shows have already been encountered in drilling of this well known as the Haas-Hirsch # 1. Similar shows in wells in the area have ultimately produced large volumes of gas and condensate.

Daybreak is the operator of both the Tuscaloosa and Krotz Springs projects.