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News Release

FOR IMMEDIATE RELEASE

EUB ORDERS SUSPENSION AND ABANDONMENT OF ALL CONDOR RESOURCES INC. OIL AND GAS WELLS, FACILITIES AND PIPELINES

Calgary, Alberta (February 12, 2003) The Alberta Energy and Utilities Board (EUB) has ordered the suspension and abandonment of all oil and gas operations belonging to Calgary and Drayton Valley based Condor Resources Inc. The EUB initiated this action due to specific concerns related to environmental and public safety at Condors properties, its failure to address EUB directions, and for not providing adequate care and maintenance of its oil and gas properties.

Condor Resources is the licensee of 40 wells, five facilities and 11 pipeline licences, all in the Pembina Field near Drayton Valley. As of February 3, 2003, all of Condors 40 wells were subject to EUB Closure Orders for various reasons. Seven of the wells had been ordered abandoned by the EUB after termination of surface leases (due to Condors failure to pay surface lease payments). All five battery facilities are subject to EUB Closure Orders for failure of Condor to correct unsatisfactory conditions identified during EUB field inspections.

Inspections of Condor properties by EUB field staff revealed a number of environmental and public safety concerns. Some of the environmental concerns required urgent attention. Condor has failed to address these and has further indicated an inability and unwillingness to do so. It has become evident to the EUB that Condor is not providing adequate care of its properties, giving rise to concern as to the internal state of its wells, and concern that Condor would not respond as necessary in the event of an emergency at any of its properties.

The EUB has already taken temporary steps to address the most urgent concerns. The issuance of the Suspension and Abandonment Orders will set into motion the process for ultimate abandonment. This process may also facilitate other parties assuming responsibility for those properties that still have economic value.

The EUBs mandate is to ensure that the discovery, development and delivery of Albertas resources take place in a manner that is fair, responsible and in the public interest.

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This news release is also available on the EUB Website at http://www.ercb.ca

For further information please contact:
Greg Gilbertson, Section Leader
EUB Communications
Phone (403) 297-3648