CALGARY, ALBERTA--(Marketwire - Dec. 4, 2007) - Red Rock Energy Inc. (TSX VENTURE:RRK) announced today that its Uranium City-based diamond drill and geological crews will be furloughed on or about Dec 15, 2007, for the Christmas break. Red Rock intends to remobilize the drilling and geological crews to commence a winter drilling program by February 1, 2008. Drilling activities remain focused on testing selected zones of interest on the properties' which have been identified from geological compilation work of historical operators and Red Rock's own air and ground geological and geophysical programs. In particular, the program is focused on targets in the Red Block 1 area, where drill and assay results continue to either meet or exceed expectations.
Split core from the Fall, 2007 campaign is currently being processed by Loring Laboratories of Calgary and Red Rock anticipates preliminary results will be received and ready for release prior to December 15. In reviewing the developments to date, Red Rock President and CEO Sandy Loutitt commented: "We are pleased that our enhanced logistics allow us to run a full time winter campaign which in turn helps us drive towards achieving resource definition in a shorter period. This, coupled with the Company's on-hand cash position of $5 million dollars at the end of the current quarter, leaves us well funded to complete the entire 2008 campaign planned to run from February to December 2008."
Statements in this press release may contain forward-looking information including expectations of future production, operating costs, commodity prices, administrative costs, commodity price risk management activity, acquisitions and dispositions, capital spending, access to credit facilities, income taxes, regulatory changes, and other components of cash flow and earnings. The reader is cautioned that assumptions used in the preparation of such information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of the company. These risks include, but are not limited to, the risks associated with the mining industry, commodity prices and exchange rate changes. Industry related risks could include, but are not limited to, operational risks in exploration, development and production, delays or changes in plans, risks associated to the uncertainty of reserve estimates, health and safety risks and the uncertainty of estimates and projections of production, costs and expenses. The reader is cautioned not to place undue reliance on this forward-looking information.
The reader is further cautioned that the preparation of financial statements in accordance with generally accepted accounting principles requires management to make certain judgements and estimates that affect the reported amounts of assets, liabilities, revenues and expenses. Estimating reserves is also critical to several accounting estimates and requires judgments and decisions based upon available geological, geophysical, engineering and economic data. These estimates may change, having either a negative or positive effect on net earnings as further information becomes available, and as the economic environment changes.
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Red Rock Energy Inc.
Red Rock Energy Inc.