Ivory Energy Inc.: Operations Update

Ivory Energy Inc. (TSX VENTURE:IV) announces it has achieved a milestone of
producing at rates greater than 1,000 boepd. Recent increases in production are
the result of drilling successes at Obed, Alberta and Silverdale and Furness,
Saskatchewan as well as a positive response from the Silverdale waterflood and
various recompletions and workovers of certain wells. Oil and gas sales for
September 2008 were approximately 690 boepd with an estimated wellhead price of
$79.75 per barrel for oil.


Production from our Saskatchewan oil properties is approaching 900 boepd. This
production combined with the addition of the first Obed gas well, is
approximately 1,050 boepd. Based on additional wells in Saskatchewan and the
second successful Obed gas well coming on stream, Ivory is confident that it
will achieve its previously announced guidance of 1,200 to 1,400 boepd sales by
volume for the month of December 2008. The new wells at Obed, Silverdale and
Furness not only increased production but also added significant new reserves to
the Company.


More specifically:

- The Obed discovery gas well is currently producing approximately 7.5 MMcf/day
plus condensate. Testing of the Obed development gas well is underway.
Production from this development well is expected to come onstream during
November.


- Ivory has cased the first five wells of its development program and placed
three of these wells on production. Two oil wells are awaiting completion and
equipping.


- Ivory has identified a potential new oil pool beneath the waterflooded zone at
Silverdale and Ivory is presently testing this zone for commercial production.
Ivory's 3D seismic survey over this part of the pool indicates significant
aerial extent to this new pool. Ivory drilled an oil well at Furness that had
initial production in excess of 200 boepd. The oil well has a high fluid level
and is presently producing at 175 bblpd with no water. Based on 3D seismic,
Ivory has delineated 3 development well locations offsetting this initial well.
Additional development wells are likely following additional seismic
interpretation and field development.


- The expanded Silverdale waterflood has demonstrated positive results and
production declines have been significantly curtailed. Additional enhancement
measures are being taken to increase daily production and recovery factors in
this waterflood during the next several months.


As a result of the recent commodity price declines, Ivory has postponed its
planned drilling program in Saskatchewan. Ivory believes this is a prudent
approach given the uncertainty of today's oil price. Ivory will continue to
monitor the wellhead oil price and is ready to continue drilling should the
commodity prices improve. Routine field operations, including minor workovers,
will continue as Ivory maintains its production with good production practices.