Royale Energy Establishes Natural Gas Production in the Dakota Formation at Its Field in Utah

Royale Energy Establishes Natural Gas Production in the Dakota Formation at Its Field in Utah

Wednesday, August 27th 2008

Royale Energy Inc, has successfully fraced and tested a new producing horizon in its Moon Canyon #2 well in the Uintah Basin, Utah.

The new zone is a Dakota B sand that flowed dry natural gas at rates up to 2,000,000 cubic ft. per day from this interval. The well will be hooked up to the pipeline for immediate sales at 1,000,000 cubic per day. This is the second producing horizon in this well. The first zone completed was the Morrison Brushy Basin sand that is currently behind a temporary plug and will be added later. Additional potential in the Moon Canyon #2 well remains in the untested Mancos shale.

The completion rig is being moved to the Tenmile Canyon #22-1 well to carryout completion operations and subsequently to other previously drilled Utah wells.

In California’s Sacramento Basin, Royale Energy and partners discovered natural gas in their Caroline 2-12 well. It flowed from perforations in the Forbes formation at a rate of 512,000 cubic ft. per day. The well is being hooked up to the sales pipeline.

Royale Energy anticipates starting their operated drilling program in California’s Sacramento Basin and Utah by early October.

Headquartered in San Diego, Royale Energy, Inc. is an independent energy company. The company is focused on development, acquisition, exploration, and production of natural gas and oil in California, Texas and the Rocky Mountains. It has been a leading independent producer of oil and natural gas for over 20 years. The company’s strength is continually reaffirmed by investors who participate in funding over 50% of the company’s new projects. Additional information about Royale Energy, Inc. is available on its web site at www.royl.com.

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