NuLoch Resources Reports Record Production in 2010 Q2

   NuLoch Resources Inc. (TSX VENTURE: NLR.A) (TSX VENTURE: NLR.B) (OTCQX: NULCF) advises that it has filed its unaudited interim consolidated financial statements as at June 30, 2010 and for the quarter then ended along with the associated Management Discussion and Analysis at www.sedar.com and on the Company's website at www.nuloch.ca.

Q2 Accomplishments

- Completed 11 (3.4 net) Williston Basin oil wells in the quarter with a 100% success rate;

- De-risked 14% of acreage in North Dakota and 20% in Saskatchewan through successful drilling;

- Average production increased to 925 boe/d from 837 boe/d in Q1 2010 and from 507 boe/d in Q2 2009;

- Invested $13.0 million in its Q2 capital program and $28.0 million for the year-to-date period; and

- Exited Q2 with an undrawn line of credit in the amount of $14.0 million.

Despite time lost to inclement weather this spring, NuLoch made steady progress throughout the second quarter as it drilled and de-risked its extensive cross-border acreage position in North Dakota and Saskatchewan. Every completed well is producing light crude oil from the Middle Bakken or Three Forks Sanish formations. Average production in Q2 has increased by 82% to a Company record 925 boe/d compared to 507 boe/d in Q2 2009. Current production is 1,025 boe/d and seventy percent is light oil and NGL's. There are seven recently rig-released or completed wells (2.0 net) that have not yet contributed to this production rate. Based on our historical results, those wells are expected to move production to 1,250 boe/d over the next 60 days.

HIGHLIGHTS
----------------------------------------------------------------------------
                                              Periods ended June 30,
                                       -------------------------------------
                                         Three months           Six months
                                       ---------------       ---------------
                                         2010    2009          2010    2009
                                       ------- -------       ------- -------
OPERATING
----------------------------------------------------------------------------
Production - daily average
  Oil and NGL              (bbls/d)       649     161           573     160
  Natural gas              (Mcf/d)      1,659   2,074         1,852   2,107
  Combined                 (boe/d)(1)     925     507           881     511
Average sales prices
  Oil and NGL              ($/bbl)      73.72   60.89         75.21   53.55
  Natural gas              ($/Mcf)       3.84    3.94          4.47    4.51
  Combined                 ($/boe)      58.58   35.50         58.26   35.35


FINANCIAL
($ thousands except per share amounts)
----------------------------------------------------------------------------
Petroleum and natural gas revenue       4,931   1,638         9,291   3,270

Funds flow from operations(2)           1,739     556         3,509   1,025
  Per share - basic                      0.02    0.01          0.04    0.03
  Per share - diluted                    0.02    0.01          0.04    0.03

Net earnings (loss)                      (722)   (520)       (1,002) (1,134)
  Per share - basic                     (0.01)  (0.01)        (0.01)  (0.03)
  Per share - diluted                   (0.01)  (0.01)        (0.01)  (0.03)

Working capital deficiency             (1,915) (4,368)       (1,915) (4,368)
Line of credit available               14,000   5,700        14,000   5,700

Capital expenditures                   12,997     454        27,985     979


COMMON SHARES
(thousands)
----------------------------------------------------------------------------
Class A, end of period                 95,499  32,180        95,499  32,180
Class B, end of period                    653     653           653     653
Options, end of period                  9,498   3,143         9,498   3,143
Basic, weighted average combined      100,212  38,028        94,372  37,668
Diluted, weighted average             100,212  38,028        94,372  37,668
----------------------------------------------------------------------------

(1) Six Mcf of natural gas is considered equivalent to 1 barrel of oil.
   (see Advisories)
(2) Cash flow from operations before changes in non-cash operating working
    capital. (see Advisories)

Capital Investment Activity

The pace of development continues to accelerate. There are currently four rigs drilling wells on a continuous basis on NuLoch's North Dakota lands with plans to add a fifth rig in September. This will result in 0.5 net horizontal Three Forks Sanish/Middle Bakken wells drilled per month. This high activity level is driven by the positive results obtained to date. Land, acquisitions and seismic expenditures totalled $6.8 million in the first half of 2010 while $4.4 million was directed to drilling and equipping wells. A second half 2010 capital budget of $18.0 million has been allocated to support this North Dakota program.

In Saskatchewan, first half 2010 drilling and equipping costs were $15.2 million while land and seismic totalled $0.4 million. NuLoch, as operator, has contracted a drilling rig with plans for up to 6 (4.0 net) horizontal Three Forks Sanish wells in the last half of 2010 with a capital budget of $16.0 million.

NuLoch's capital expenditures in areas other than the Williston Basin, and including capitalized G&A, were $1.2 million in the first half of 2010 with a similar amount expected over the balance of the year.

North Dakota Results

Since acquiring its position in North Dakota in 2009 and up to the end of Q2 2010, the Company has participated in 14 (1.2 net) Three Forks Sanish wells drilled by three operators. Well completions were water-based, multi-stage fracture stimulations with sand proppant. Since the end of Q2 2010, NuLoch has participated in a further 7 wells (0.8 net) in which completion operations have commenced or are scheduled. Two of these wells (0.3 net) are on 1280 acre spacings drilled in the Middle Bakken and the other 5 wells (0.5 net) are on 640 acre spacings in the Three Forks Sanish. A total of 35 wells (3.5 net) are expected to be completed in North Dakota during 2010.

Glenn Dawson, President and CEO of NuLoch, stated, "We are pleased with the pace of drilling on our US properties. In North Dakota, we have a deeper, higher pressure producing interval for Three Forks Sanish and greater resource potential in the Middle Bakken formation than is found on our Saskatchewan lands. Even though only half of our Williston Basin net acreage is in North Dakota, ultimately it may provide over three-quarters of the potential reserves and production arising from our cross-border position."

Recent NuLoch North Dakota Completions - Gross Well Production and Rates
(bopd)(1)(2)
                                                                 Cumulative
                       Zone                     IP30 IP60 Current  bbls oil
Well Name                (3) DSU   WI% IP Date  bopd bopd    bopd        (4)
---------------------- ---- ---- ---- --------  ---- ----- ------- ---------
Goldal 16-10-161-98    TFS   640 10.0% 2009-08   334  282      80    41,823
Moe 9-162-98           TFS   640 10.0% 2009-09   188  152      40    22,009
Vassen 27-163-99       TFS   640 10.0% 2009-11   453  396     167    54,197
Fuhrman 36-162-99      TFS   640 10.0% 2009-12   106  108      63    11,253
Torgeson 3- 30-163-99  TFS  1280  0.6% 2010-01   312  304     210    35,302
Torgeson 14-19-163-99  TFS  1280  1.2% 2010-01   394  459     350    37,649
Sparks 8-162-98-2      TFS   640 10.0% 2010-02   447  348     150    33,482
Jacobsen 15-161-98     TFS   640 10.0% 2010-04   168  148     102    11,990
Ness 29-32-163-98      TFS  1280 10.0% 2010-05   413  399     370    25,358
Enerson 4-29-163-99    TFS  1280  4.5% 2010-05   175  177     180    11,446
Meyers 2-162-99        TFS   640 10.0% 2010-04   306    -     278    10,984
Radenic 14-20-163-99   TFS  1280  0.6% 2010-06   416    -     650    12,541
Hansen 13-162-99       TFS   640 10.0% 2010-06     -    -     265     3,335
Hall 3-161-98          TFS   640 10.0% 2010-06     -    -     227     4,950

(1) See Advisories - Initial Production (IP) Rates
(2) All rates are barrels of oil per day and do not include solution natural
    gas
(3) TFS is the Three Forks Sanish formation
(4) Cumulative to July 31, 2010

Also in North Dakota, NuLoch has participated in a further 7 wells (0.8 net) on which completion operations will occur in the second half of 2010.

Outlook for NuLoch North Dakota Completions in Q3 2010
Well Name                 Zone                  DSU     WI%    Status
----------------------     ------------------   ----   -----   ------------
Antonson 1-12-163-95      Middle Bakken        1280   10.0%    Fractured
Sorenson 14-162-99        Three Forks Sanish    640   10.0%    Rig Released
Lindsey 4-161-98H         Three Forks Sanish    640   10.0%    Rig Released
Gustafson 29-32-161-92    Middle Bakken        1280   18.7%    Rig Released
Grundstad 5-162-99H       Three Forks Sanish    640   10.0%    Rig Released
Hanson 17-20-163-98       Three Forks Sanish   1280   10.0%    Drilling
Hauganoe 15-162-99H       Three Forks Sanish    640   10.0%    Drilling

Move to Higher-Effort Fracture Stimulations in Canada

In Canada, NuLoch has been extending the Sanish play into shallower producing intervals northward from the border but has taken a more conservative approach to the fracture completions. Stimulations in Canada were more closely spaced with up to 30 stages per mile compared to, typically, 15 stages on our North Dakota wells. Each stage in Canada received only 15%-20% of the hydraulic fracturing volumes compared to those pumped per stage in North Dakota. Consequently, in Canada, sand concentrations per linear foot of wellbore where much smaller. The average initial productivity (IP) results in Canada have been less than those obtained south of the border and may be a result of a number of variables including depth, pressure, thermal maturity and stimulation techniques. NuLoch will embark on a round of higher-effort fracture stimulations patterned from its North Dakota experience as it completes wells in its second half of 2010 drilling program. With the baseline established, the goals are to achieve higher IP rates and enhanced economic returns. NuLoch has contracted a drilling rig with plans for up to 6 wells (4.0 net) in Tableland during the last half of 2010.

Recent Saskatchewan Completions - Gross Well Production and Rates (bopd)
(1)(2)
                                                                 Cumulative
                  Zone                        IP30  IP60 Current   bbls oil
Well Name           (3)  DSU   WI%   IP Date  bopd  bopd    bopd         (4)
------------------ ---  ----  ----  --------  ---- ----- ------- ----------
91/05-02-001-10W2  TFS   640  100%   2009-12   205   147      48     16,184
91/12-12-001-10W2  TFS   640   70%   2010-04   186   148      44     12,299
91/16-06-001-09W2  TFS   640   70%   2010-05    72    67      44      4,919
91/01-22-001-10W2  TFS   640   70%   2010-05   204   166      80     10,571
91/08-24-001-10W2  TFS   640   70%   2010-05    44     -      13      1,711
91/11-02-001-09W2   MB   640   70%   2010-06     -     -      31        465

(1) See Advisories - Initial Production (IP) Rates
(2) All rates are barrels of oil per day and do not include solution natural
    gas
(3) TFS is the Three Forks Sanish formation and MB is the Middle Bakken
    formation
(4) Cumulative to July 31, 2010

Also in Saskatchewan, NuLoch has drilled a further 2 wells (1.4 net) in which completion operations have commenced or are scheduled for the third quarter.

Outlook for Saskatchewan Completions in Q3 2010
Well                       Zone                   DSU    WI%   Status
----------------------    ------------------    -----  ----   ------------
91/08-04-001-09W2          Three Forks Sanish     640    70%   Fractured
91/04-10-001-10W2          Three Forks Sanish     640    70%   Rig Released

2010 Production Guidance

NuLoch is focusing its capital activity in the Williston Basin and, therefore, its non-Williston production is expected to decline from 550 boe/d to 450 boe/d by year end. The Company has accumulated a year of operational history since commencing its program in the Williston Basin. Current production is 205 boe/d in Saskatchewan and 270 boe/d in North Dakota. Drilling and completion plans are expected to increase those rates to 550 boe/d and 650 boe/d, respectively, and by the end of 2010, NuLoch targets a corporate exit rate of 1,650 boe/d with 82% derived from light and medium crude oil. Achieving these targets is highly dependent upon the pace of drilling and repeatability of results to date.

Advisories

Use of Barrels of Oil Equivalent (boe)

Disclosure provided herein in respect of boe units may be misleading, particularly if used in isolation. A boe conversion ratio of 6 Mcf of natural gas to 1 bbl of crude oil is based on an energy equivalency conversion method primarily applicable at the burner tip and may not represent a value equivalency at the wellhead.

Non-GAAP Measurement - Funds Flow

Funds flow from operations, calculated as cash flow from operating activities before changes in non-cash working capital, is used by the Company as a key measure of performance. Funds flow from operations does not have a standardized meaning prescribed by Canadian GAAP and therefore may not be comparable with the calculation of similar measures for other companies. Funds flow from operations as presented is not intended to represent operating profits for the period, nor should it be viewed as an alternative to cash provided by operating activities, net earnings or other measures of financial performance calculated in accordance with GAAP. Many of the Company's peers in the oil and natural gas industry use the same definition and, therefore, disclosure herein enhances comparability with those peers. Funds flow from operations per share is calculated using the same share bases which are used in the determination of earnings per share.

Initial Production (IP) Rates

Initial production rates of oil and natural gas from a well, calculated as averages for 30 days (IP30) and 60 days (IP60), can provide indications of future well performance and is an important diagnostic tool when making business and capital allocation decisions. However, such IP's are only limited predictors of ultimate recoveries of hydrocarbons and early stage or longer term decline rates from a well.

Forward-Looking Statements

Certain statements in this document or incorporated herein by reference constitute "forward-looking statements". These forward-looking statements can generally be identified as such because of the context of the statements, including words indicating that the Company "believes", "anticipates", "expects", "plans" or words of a similar nature. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, the following: general economic and business conditions which will, among other things, impact demand for and market prices of the Company's products; industry capacity; the ability of the Company to implement its business strategy, including exploration and development activities; the ability of the Company to complete its capital programs; successful negotiations with bankers and other third parties; the success of exploration and development activities; production levels; government regulations and the expenditures required to comply with them (especially safety and environmental laws and regulations); asset retirement obligations; and other circumstances affecting revenues and expenses.

Common Shares Outstanding

Class A : 96,126,038

Class B : 652,500

Contacts: NuLoch Resources Inc. R. Glenn Dawson President and CEO [phone] [phone] (FAX) [e-mail] NuLoch Resources Inc. 2200, 444 - 5th Avenue SW