Birchcliff Acheives Production Levels of 10,500 boe/d

Birchcliff Energy Ltd. is pleased to announce that it achieved its exit production of 10,500 boe/day in mid December 2007. Current production is approximately 10,000 boe/day.

Birchcliff Energy reported that it successfully drilled, completed and tied in its first two 100% working interest Montney/Doig horizontal natural gas wells in North and South Pouce Coupe. Each well cost approximately $4.5 million to drill, complete, tie-in and bring on production. The first well commenced production at approximately 4 mmcf/day (666 boe/day) and is currently producing 2 mmcf/day (333 boe/day) which is within Birchcliff's projected production profile for this well. The second 100% working interest horizontal natural gas well commenced production at approximately 7 mmcf/day (1166 boe/d) and is currently producing in excess of 5 mmcf/day (833 boe/day), well ahead of Birchcliff's projected production profile.