Redcliffe Announces Operational Update and Initial 2009 Capital Budget

THIS NEWS RELEASE IS NOT FOR DISSEMINATION IN THE UNITED STATES OR TO U.S. PERSONS.

Redcliffe Exploration Inc. ("Redcliffe" or the "Company") (TSX VENTURE:RXP.A)
(TSX VENTURE:RXP.B) is pleased to provide the following operational update and
initial capital program for 2009.


For the two most recent weeks ended January 2nd and January 9th, Redcliffe
averaged production of approximately 1,330 and 1,320 boepd, respectively,
consisting of approximately 5,700 mcfpd of natural gas and 380 and 370 bpd,
respectively, of oil and natural gas liquids. This increase is a result of two
new gas wells being brought on production in the Gold Creek area during late
December 2008, as well as a third new gas well which was brought on production
in the same area last week. Approximately 140 boepd of production was down for
the week ended January 9th due to minor facilities repairs, which are expected
to be completed this week. Upon the return of this production, Redcliffe's
production is estimated to be approximately 1,450 boepd. A fourth gas well was
drilled in late December 2008 and completion operations are scheduled to
commence later this month. Additional production capacity of approximately 250
boepd remains shut-in at Gold Creek due to gas processing issues associated with
high natural gas liquid content in the produced gas. Redcliffe proposes, with
its partners in the area, to build a new 12.5 kilometer pipeline this summer
with liquid-handling facilities that will allow this production to come
on-stream by Q4 2008. In addition, this pipeline may allow the drilling of 2-3
development wells in the area, subject to available gas processing capacities in
third-party facilities.


During 2008, Redcliffe drilled a total of 7 (4.2 net) wells, resulting in 6 (3.2
net) gas wells and 1 (1.0 net) oil well. Three of the gas wells have been placed
on production in the Gold Creek area while a fourth awaits completion. The two
remaining gas wells - one each in Valhalla and Pembina - tested at marginal
economic rates in the target formations and are being evaluated by the Company
for potential up-hole zones. The oil well was brought on production in the
summer of 2008 and has produced at a stabilized rate of approximately 70 boepd.
Redcliffe has identified three development wells to be drilled as a result of
this oil discovery.


Due to the pull back in oil and gas prices as well as the effect of the new
Alberta royalty program that commenced January 1, 2009, Redcliffe has reduced
its base capital budget for 2009 to approximately $10.0 million. We plan to
drill 6-7 wells under this budget, two of which are expected to be drilled in Q1
2009. Also included within this budget is the proposed new Gold Creek pipeline,
continued undeveloped land acquisitions, and 3D seismic acquisitions over the
significant new undeveloped acreage acquired in our focused Peace River Arch
area. Redcliffe more than doubled its net acreage in this area during 2008, and
company-wide now controls a total of approximately 105,800 gross acres (71,700
net acres) at an average working interest of 68%, which includes option lands
held by a land fund. Net undeveloped acreage is split approximately 50/50%
between the Peace River Arch and Greater Pembina.


As we progress through 2009, Redcliffe will be exploring alternatives towards
increasing its 2009 capital program once the direction of financial markets and
energy prices clarify themselves. The Company enjoys a 2-3 year inventory of
exploration and development drilling opportunities. We remain restricted in our
major growth objectives by capital constraints resulting from the withdrawal of
the capital markets out of the junior resource industry. However, even with the
reduced capital program, we believe Redcliffe will continue to experience
meaningful production growth in 2009 over average rates achieved in 2008.


Redcliffe remains focused on liquid-rich natural gas exploration in the Peace
River Arch and Greater Pembina areas of Alberta. The Company's production is
currently split approximately 70/30% between natural gas and oil and natural gas
liquids. Our 2009 drilling program is currently focused on natural gas in the
Peace River Arch area, where we anticipate replicating the success enjoyed to
date in the Gold Creek core producing area. These exploration programs will set
up potential significant production increases in 2010. The application of
horizontal drilling and completion techniques, in combination with deeper and
larger exploration targets, is expected to provide Redcliffe and its
shareholders exposure to significant value appreciation over the next twelve
months.


Reader Advisories

Forward-Looking Statements: This news release contains certain forward-looking
statements, including management's assessment of future plans and operations,
and capital expenditures and the timing thereof, that involve substantial known
and unknown risks and uncertainties, certain of which are beyond the Company's
control. Such risks and uncertainties include, without limitation, risks
associated with oil and gas exploration, development, exploitation, production,
marketing, processing and transportation, loss of markets, volatility of
commodity prices, currency fluctuations, imprecision of reserve estimates,
environmental risks, competition from other producers, inability to retain
drilling rigs and other services, delays resulting from or inability to obtain
required regulatory approvals and ability to access sufficient capital from
internal and external sources, the impact of general economic conditions in
Canada, the United States and overseas, industry conditions, changes in laws and
regulations (including the adoption of new environmental laws and regulations)
and changes in how they are interpreted and enforced, increased competition, the
lack of availability of qualified personnel or management, fluctuations in
foreign exchange or interest rates, stock market volatility and market
valuations of companies with respect to announced transactions and the final
valuations thereof, and obtaining required approvals of regulatory authorities.
The Company's actual results, performance or achievements could differ
materially from those expressed in, or implied by, these forward-looking
statements and, accordingly, no assurances 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, including the amount of proceeds, that the Company
will derive there from. Readers are cautioned that the foregoing list of factors
is not exhaustive. Additional information on these and other factors that could
affect the Company's operations and financial results are included in reports on
file with Canadian securities regulatory authorities and may be accessed through
the SEDAR website (www.sedar.com). All subsequent forward-looking statements,
whether written or oral, attributable to the Company or persons acting on its
behalf are expressly qualified in their entirety by these cautionary statements.
Furthermore, the forward-looking statements contained in this news release are
made as at the date of this news release and the Company does not undertake any
obligation to update publicly or to revise any of the included forward-looking
statements, whether as a result of new information, future events or otherwise,
except as may be required by applicable securities laws.


BOE may be misleading, particularly if used in isolation. A BOE conversion of 6
Mcf: 1 bbl is based on an energy equivalency conversion method primarily
applicable at the burner tip and does not represent a value equivalency at the
wellhead.