Cambrex Corp. (CBM)

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Admiral Bay Reports Record Production for First Quarter 2009
Mon Jan 5, 10:52 AM

http://ca.news.finance.yahoo.com/s/05012009/28/link-f-ccnmatthews-admiral-bay-reports-record-production-first-quarter-2009.html

CENTENNIAL, COLORADO--(Marketwire - Jan. 5, 2009) - Admiral Bay Resources Inc. (TSX VENTURE: ADB.V) Admiral Bay Resources Inc. ("Admiral Bay" or the "Company") is pleased to report record production for the first quarter ended October 31st , 2008. Average daily production (before royalty) was 3,185 MCFGPD, a 60% increase over 1st quarter of 2008 and 10% increase over the 4th quarter of 2008. Revenues (before royalties) were $1.5 million, an increase of 49% from the prior period driven by a 60% increase in production, offset by lower commodity prices. Production costs were $ 2.50/mcf, a decrease of 78% when compared to Q1 2008 and G&A expense was $ 1.58/mcf, a decrease of 36% from Q1 2008. Earnings for the quarter were a loss of ($ 0.5 million) versus ($ 3.6 million) in the prior period due to increased revenues and lower expenses and to improvements in the non-cash change in the mark-to-market of the Company's natural gas hedges as well as lower amortization costs.

President and CEO Steven Tedesco commented "The record production results highlight the progress we are making in all of our project areas while decreasing production costs and G&A expense per unit. Production increased in all of our Kansas project areas and continues with record production for November and December as new wells are put online in the Mound Valley and Devon project areas. Additionally, the full impact of the new electric compressors has yet to be achieved at the Shiloh project. At the Revloc Project in Pennsylvania the three wells have achieved flow rates of as high as 28 MCFGPD which would be considered to be economic. The Company considers this to be significant considering these wells are dewatering a large area by themselves. The wells are currently shut-in while right of way for a 12 mile sales pipeline is finalized".

Admiral Bay will be presenting at the FIG Partners LLC Investment Conference at 3:00 pm on January 8th, in New York at the Sofitel Hotel. The conference includes several mid-size and small cap exploration and production and oil service companies. A copy of its presentation will be available on its website www.admiralbay.com.

Admiral Bay Resources Inc. ( www.admiralbay.com) is an emerging unconventional gas production company focused on the development of projects in the Cherokee Basin in southeast Kansas and the Appalachian Basin in Pennsylvania. Admiral Bay is listed on the TSX Venture Exchange under the symbol ADB.

Statements in this release that are not historical facts are "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Readers are cautioned that any such statements are not guarantees of future performance and that actual developments or results may vary materially from those in these "forward-looking statements".

The TSX Venture Exchange does not accept responsibility for the adequacy of this release

Contacts

Steven Tedesco
Admiral Bay Resources Inc.
President & C.E.O.
[phone]
[phone] (FAX)
Email: [e-mail]

Robert Carington
Admiral Bay Resources Inc.
CFO
[phone]
[phone] (FAX)
Email: [e-mail]
Website: www.admiralbay.com