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[Bobwins]

cheap canadian junior CZE on Toronto or czekf.pk.

Nice increase in production, below 10 p/e and a very low 3 times cashflow. Increased reserves to 12 in primarily ngas. They should benefit from North American ngas tight supplies over the next couple of years. These are Canadian $ in earnings report but still very cheap compared to Canadian stocks and cheaper still against American energy stocks. Bobwins

Choice Announces February 28, 2005 Year End Financials
Tuesday June 28, 7:12 pm ET


CALGARY, ALBERTA--(CCNMatthews - June 28, 2005) - Choice Resources Corp. (TSX VENTURE:CZE - News):
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The progress of the Corporation in the last year was excellent. The goals and accomplishments are significant over the past year. Net income was 7 cents per share and cash flow was 21 cents per share. Reserves growth was also substantial as previously press released.

For the year ended Feb 28th;

- Net income was $2.9 million or 7 cents per share compared to a loss for the previous period.

- Production is up 11% averaging 1,336 boe/d.

- Assets were rationalized with the sale of a minor property in December and the purchase of a new area for exploration and development in the Snipe Lake area of Alberta.

- Cash flow from operations is up over 120% at $8.8 million or 21 cents per share.

- G&A is reduced by 15% for the year after the addition of significant exploration efforts.

- Net debt is reduced by 37% and this was further reduced subsequent to year end.

- Several new exploration plays were added to the portfolio.

- Reserves are up over 30% after production and production was replaced by over 3 times.

- Reserves value is up 35% and will be reflected in our net asset value.

- A Coal Bed Methane play is being exploited.

- Interest expense has been reduced over 80% on a year-to-year basis.

Continuous improvement in the Corporation is ongoing and showing results. As previously mentioned, the management team has reduced debt, reduced G&A, added several high quality exploration plays, acquired seismic over our key operating areas and identified a high impact exploitation opportunity at Pincher Creek with a resource base of between 30 and 80 Bcf potential. The Corporation is now finalizing terms for a horizontal well at Pincher Creek.

Several exploration wells are being completed and tested to determine the ultimate reserves. The Corporation is starting to realize the results of a significant exploration effort. Reserves are up 30% after taking account the current years production and the value of the reserves is increased 35%.

For the fourth quarter production was reduced due to significant downtime related to weather, a process interruption at Pincher Creek and the sale of a 65 boe/d property. Last years fourth quarter by comparison included significant flush production from a 25 well drilling program done in the fall of last year.

Cash flow at 21 cents per share is on target with internal projections. The quarterly cash flow was 6 cents per share.

Our exploration play inventory continues to grow. Land was purchased in our key exploration areas subsequent to year end and several exploration wells were drilled at Kaybob, Ponoka and Snipe Lake at or subsequent to year end. All these wells were cased. Choice Resources Corp. and Vecta, a private corporation have shot 2 seismic programs in the Chalmers and Gilby areas and will be deciding on a well after final processing and analysis. This program covers 13 section of land with a moderate depth target of less than 2200 meters.

Net debt continues to be reduced as the Corporation rationalized 2 minor properties for $2.4 million. Subsequent to year end the Corporation completed an equity offering for $7.5 million. Net Debt currently sits at approximately $10 million.

Management is very pleased with the results to date and looks forward to some significant reporting during the year as our exploration and development program for 2005 is implemented. The comparison below highlights the financial and operating results of the three month periods and annual periods between 2004 and 2005. Enclosed are the financial statements themselves and a management discussion and analysis. Please refer to the filings on Sedar for the notes to the financials.