Buffalo Resources Sells Killam Oil Property

Buffalo Resources Corp. ("Buffalo" or the "Company")(TSX VENTURE:BFR) wishes to
announce that it has entered into a letter of intent for the sale of the
Company's Killam property in East Central Alberta for proceeds to Buffalo of
$21.75 million plus a 5% non convertible override on the production of certain
natural gas rights, subject to adjustment from the effective date (June 1, 2008)
to the closing date. The property produces approximately 290 bbls of oil and 580
Mcf of natural gas per day and based on this production level, the transaction
will be completed at approximately $56,000 per flowing barrel.


This transaction is an integral part of Buffalo's strategy to rationalize its
asset base and will allow the Company to better focus its technical and capital
resources on its core producing properties at Frog Lake and Pincher Creek. It
will bring the value of non-core assets sold since the August 2007 merger with
Choice Resources to approximately $25 million. 


Completion of the transaction is subject to financial and environmental due
diligence by the purchaser, receipt of all regulatory approvals, the resolution
of rights of first refusal and other consents and completion of formal
documentation. The transaction is expected to close on or about June 30, 2008. 


Bill Trickett the Company's CEO commented, "In today's environment of record
high heavy oil pricing, Buffalo is now well positioned with a strong balance
sheet and the capital resources to accelerate development drilling programs at
Frog Lake in eastern Alberta." 

 
Buffalo is an emerging Canadian junior oil and gas company engaged in the
exploration, development and production of oil and gas reserves in the provinces
of Alberta and Saskatchewan.


Certain information set forth in this press release contains forward looking
statements. Readers are cautioned that the assumptions used in the preparation
of such information, although considered reasonable at the time of preparation,
may prove to be imprecise and, as such, reliance should not be placed on
forward-looking statements. Buffalo's actual results, performance or
achievements could differ materially from those expressed in, or implied by,
these forward-looking statements and accordingly, no assurance can be given that
any of the events anticipated by the forward-looking statements will transpire
or occur, or if any of them do so, what benefits Buffalo will derive therefrom.
Buffalo disclaims any intention or obligation to update or revise any
forward-looking statements, whether as a result of new information, future
events or otherwise.