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Brinx Resource's Powell #1 Well Produces Oil and High BTU Gas

Posted on: Wednesday, 8 February 2006, 09:01 CST

Brinx Resources Ltd. (OTC BB: BNXR) (the "Company") is pleased to announce the completion of the Powell #1 as a producing oil and gas well. Once the completion unit started swabbing back frac fluid the well quickly started flowing under its own pressure. Within the first 24 hours the well flowed 1022 barrels of fluid containing approximately 10% oil (approximately 100 barrels of oil).

The flow also contained high BTU natural gas. Initial test results produced by the Pipeline Company metered natural gas rates of 173,000 to 218,000 cubic feet per day. Brinx anticipates that it will be as little as two weeks for the pipeline to the well to be completed and subsequently ready to carry Brinx's gas. In the meantime, the well has been choked back to a 16/64 inch choke to avoid venting excessive gas before sales can start. This will allow for the continuation of some oil to be produced and sold.

"These positive results are very exciting," says Leroy Halterman, President of Brinx Resources, and "based on Powell results the Company could potentially complete up to 20 additional wells within this and other pay zones on the Owl Creek property, and thereby significantly advance the company's operations.""In other words," says Halterman, "with Brinx holding a 70% interest Owl Creek Prospect, the success of Powell #1 provides the company with a great opportunity to develop a potentially large field at Owl Creek."

In addition to the developed pay zone in the Powell #1 it is believed that future development wells have the potential for additional pay zones that lay both above and below the one that is producing in the Powell #1. These zones could add significant additional reserves and drill locations to the project. Plans are to start development drilling of the field as soon as possible.

The Johnson #1 located a mile south of the Powell #1 will likely serve as an effective and much needed water disposal well for the Powell #1 and subsequent offset wells as the field is being developed. The Johnson #1 has been tested and is considered non-commercial.

In addition to the Owl Creek Project, Brinx Resources also holds a 40% working interest in two wells and 880 acres in the Three Sands Project that are currently producing and selling oil and high BTU natural gas. The rates of production at Three Sands are expected to continue to increase over the next several months.

By way of modern technology, combined with historical data, Brinx expects a substantial economic opportunity exists to locate new fields as well as to recover additional oil and gas reserves. The Company is also investigating additional energy-related opportunities including shale gas and frontier plays on an ongoing basis.

 Mr. Leroy Halterman, President 

The Company has no official gas or oil reserves at this time and may not have sufficient funding to thoroughly explore, drill or develop its properties. Statements which are not historical facts are forward-looking statements. The Company makes forward-looking public statements concerning its expected future operations, performance and other developments. Such forward-looking statements are necessarily estimates reflecting the Company's best judgment based upon current information and involve a number of risks and uncertainties, and there can be no assurance that other factors will not affect the accuracy of such forward-looking statements. It is impossible to identify all such factors but they include and are not limited to the existence of underground deposits of commercial quantities of oil and gas; cessation or delays in exploration because of mechanical, operating, financial or other problems; capital expenditures that are higher than anticipated; or exploration opportunities being fewer than currently anticipated. Factors which could cause actual results to differ materially from those estimated by the Company include, but are not limited to, government regulation, managing and maintaining growth, the effect of adverse publicity, litigation, competition and other factors which may be identified from time to time in the Company's public announcements and filings.

 Contact: Tydewell Consulting 1-888-32-BRINX (27469) WWW.BRINXRESOURCES.COM

SOURCE: Brinx Resources Ltd.

Source: MARKET WIRE

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