County Line Energy Corp Signs Letter of Intent on Significant Montana Drilling Program

  
    
  
  
    
      Harry Bygdnes, President of County Line Energy (Pink Sheets:CYLC), 
      announces that the company has signed a letter of intent with Energy 
      Dynamics Corporation (EDC) on two significant oil properties in Dawson 
      County in east Montana. The company will conduct a 45 day due diligence 
      program.
    
    
      
        
          The properties in question consist of the following:
        
      
      
        
           
        
      
      
        
          
            #1 ROTH WELL 160 acre lease parcel at a 74% revenue 
            interest to EDC
          
        
      
      
        
          Drilled to production in 1994
        
      
      
        
          Tested successfully at 200 BOPD (barrels of oil per day)
        
      
      
        
          Shut in due to high concentration of H2S (hydrogen sulphide gas)
        
      
      
        
          
            Excellent re-entry target due to currently available wellhead 
            equipment (Amine Unit) to separate and process H2S.
          
        
      
      
        
           
        
      
      
        
          
            #1 TITAN STATE WELL 640 acre lease parcel at 74% revenue 
            interest to EDC
          
        
      
      
        
          Drilled to production in 1984
        
      
      
        
          Tested successfully in excess of 200 BOPD (barrels of oil per day)
        
      
      
        
          Shut in due to high concentrations of H2S gas
        
      
      
        
          Excellent re-entry target due to availability of Amine Unit
        
      
    
    
      In addition there are three offset well sites on the Titan Lease (new 
      drills) which may be required to have locations determined by a small 
      seismic program.
    
    
      The wells have been drilled to a depth of 10,000 feet and produced from 
      a zone referred to as the Duperow Formation.
    
    
      The estimated work over cost for each well is $ 1,100,000.
    
    
      Estimated recoverable reserves for each well are 700,000 barrels of oil 
      over a ten year life span.
    
    
      It is the intention of County Line Energy to provide 100% of the working 
      capital to initiate the re-entry of the #1 Roth and #1 Titan wells.
    
    
      The company will earn an 85% payback of revenue until fully paid back 
      reverting to a 43% net working interest after payout.
    
    
      The drilling cost and timing for the offset wells will be determined 
      after more comprehensive geological and geophysical study.
    
    
      Signed on behalf of the Board of Directors
    
    
      CORPORATE WEBSITE www.countylineenergy.com
    
    
      Note: This News Release may contain certain "forward-looking statements" 
      within the meaning of the United States Securities Exchange act of 1934, 
      as amended. All statements, other than statements of historical fact, 
      included in this release, including, without limitation, statements 
      regarding potential oil or gas production and reserves, exploration 
      results, and future plans and objectives of County Line Energy Corp., 
      are forward-looking statements that involve various risks and 
      uncertainties. There can be no assurance that such statements will prove 
      to be accurate, and actual results and future could differ materially 
      form those anticipated in such statements. Important factors that could 
      cause actual results to differ materially from the Company's expectation 
      are disclosed under the heading "Risk Factors" and elsewhere in 
      documents filed from time to time with the United States Securities and 
      Exchange Commission and other regulatory authorities.