Grey Wolf Exploration Increases Position in Petitot Area of NW Alberta

Grey Wolf Exploration says that at the September 5th Government of Alberta Crown Land Sale, it was successful in acquiring 74 sections (47,360 acres) of land in the Petitot area, located in Northwest Alberta, at an average price of $41.80 per acre (includes bonus fee and rent).

This area, in which GWE has had significant shut-in gas reserves for a number of years, contains development targets and also provides the opportunity to launch an exploratory program during this winter's drilling season. As a result of last year's seismic program, multiple high impact locations have been observed on the acquired acreage, aimed at a variety of primary reservoirs.

Bob Watson, Chairman and Chief Executive Officer of Grey Wolf said "We are very pleased to have been successful at the land sale. This provides us with an exciting opportunity to build a new core area through full cycle exploration."

In other news, since the end of Spring Breakup, our drilling program, consisting of 5 gross (3.9 net) wells has been 100% successful, with one well currently on production and the others awaiting completion and/or tie-in. Elsewhere, a high impact exploratory well (GWE 100 percent) has been licensed and is expected to commence drilling this week.

Grey Wolf is an Alberta-based oil and natural gas company involved in the development and production of natural gas and crude oil in the Western Canadian Sedimentary Basin. Its common shares trade on the Toronto Stock Exchange under the symbol "GWE".