Choice Resources (fka CZEKF)

[Bobwins]

Choice Announces Activity Update and Increase in Capital Program for the February 2007 Fiscal Year

CALGARY, ALBERTA, Feb 16, 2006 (CCNMatthews via COMTEX) --
Choice Resources Corp. (TSX VENTURE:CZE): Gord Harris, President and CEO, reports that the Corporation is nearing completion of its previously announced winter drilling program. Choice currently has three drilling rigs operating in Viking, Snipe Lake and Brewster.

The Corporation has budgeted to spend $33 million in the next fiscal year comprised of approximately 25% towards exploration. This program will be comprised of 40 gross and 35 net wells, land acquisition and seismic. The program will be funded from internal cash flow and working capital.

At Viking the Corporation has drilled and cased 5 wells and expects to complete and tie-in 7 wells before the end of February. Further, as a result of the 3D seismic program shot this past fall and with planned seismic to be shot in the next fiscal year the Corporation expects to drill a total of 25 new wells with an average working interest of 85%. The seven wells drilled to the end of February will tied-in to existing facilities and on production by the end of February or early March.

At Wallace/Snipe Lake 5 wells have been drilled and cased. These wells are being completed for testing and two more wells will be drilled before the end of February. Average working interest is approximately 50%.

At Brewster one well is being drilled at 25% working interest and is expected to be at total depth at the end of February. After testing, the rig will move to Kakwa where the company has a 40% interest in one well which will be drilled in March through April.

At Pincher Creek plans are underway to shoot a 3D seismic program in late spring. Other operations for the next fiscal year include the drilling of one well and the re-entry of two other wells. The re-entries will be done in late spring or early summer while the drilling of the third well will be in late summer or early fall. Choice working interest is 75%.

The drilling program is on target with the utilization of three drilling rigs. The exploration inventory continues to grow and the Corporation is adding exploration acreage in several new areas. There are over 18 drillable prospects in inventory and the Corporation has a drilling inventory of over 80 gross wells. In this inventory approximately 20% is exploration. On the exploitation side of the business, with the current wells being put on stream, it is expected that production will be between 1600 and 1700 boe/d by the end of February or in early March.