Result Energy provides exploration update

CALGARY, Aug. 18 /CNW/ - Result Energy Inc. is pleased to provide the
following update on its 2005 exploration and development program:

-   At Dodsland, Saskatchewan, four gross Viking gas development wells
    (2.0 net) were drilled in May and brought on production in mid-July.
    On Result's new East Dodsland project, the Company drilled two Viking
    wells (1.0 net) and successfully tested both as potential gas
    producers. Follow-up drilling plans include four wells (2.0 net) at
    Dodsland and two wells (1.0 net) at East Dodsland prior to year-end.

-   In the Central Alberta Winfield-Pembina core area, mineral rights
    have been acquired on three exploration prospects identified within
    Result's 85 square mile 3-D seismic data set. The first prospect was
    drilled in early Q3 and has been cased as a potential Viking gas
    producer. Completion, testing, and additional 3-D seismic acquisition
    are scheduled for late Q3. Result also expects to drill the two other
    exploration prospects prior to year-end, subject to regulatory
    approval and equipment availability. The Company continues to
    identify other exploration opportunities within the Winfield 3-D
    program, and is actively pursuing mineral rights on these targets for
    its 2006 drilling program.

-   At Clear Hills, Alberta, within the Peace River Arch core area,
    Result recently cased one new dual-zone Charlie Lake and Bluesky
    development gas well and has another development well currently
    drilling. Subject to completion success, the Company will ultimately
    hold interests in four wells within the Clear Hills Charlie Lake
    pool. Based on Result's internal estimates, this pool could cover
    approximately 10 sections and may contain in excess of 15 billion
    cubic feet of initial gas in place. The Company's current net
    productive capability from Clear Hills is 900 Mcfpd (150 boed) and
    these volumes are expected to noticeably increase when the two new
    wells are brought on stream. At this time, Result's Clear Hills
    production is shut-in due to third party pipeline and facility
    constraints. The Company is evaluating other options including the
    construction of our own facility.

-   At Worsley, Alberta, also within the Peace River Arch core area, the
    Company has successfully drilled two wells (0.72 net) targeting high-
    deliverability Devonian gas prospects. The first well has been
    completed and tested at stabilized rates exceeding two million cubic
    feet per day at less than 3% effective reservoir drawdown. Production
    testing on the second well should be completed by the end of August,
    and a third well is scheduled for drilling in September. The Worsley
    project partners have initiated the permitting and construction of a
    gas pipeline to serve these new discoveries.

-   To date, Result and partners have acquired approximately 23 square
    miles of 3-D seismic within the Worsley Devonian project area. The
    Company continues to evaluate this data and procure strategic mineral
    rights. At Clear Hills West, Result has already acquired four gross
    sections of mineral rights targeting a westerly expansion of the
    Charlie Lake gas trend. The company is also in the process of
    acquiring new 2-D and 3-D seismic date at Eureka, South Charlie,
    Worsley West, and Clear Hills West to provide additional Triassic and
    Devonian drilling inventory for 2006.

-   Elsewhere on the Peace River Arch, Result has completed the drilling
    and testing of two gross (0.85 net) wells on a new shallow gas
    project. The Company has experienced mixed results on this play, with
    two zones testing wet, one zone testing commercial gas with
    significant water cuts, and one zone waiting on future completion.
    Result has assembled 10 gross sections of land on this shallow gas
    project and is currently evaluating the new well information before
    finalizing its 2006 plans for this play.

-   For 2005 year-to-date, the Company has participated in 19 wells
    (9.4 net), resulting in 17 (8.3 net) gas or potential gas producers,
    one (0.6 net) oil producer and one (0.5 net) dry and abandoned well.
    For the balance of 2005, the Company expects to drill a further 10 to
    15 gross wells.

-   As at August 15, 2005, the Company's working interest production
    volumes (before deduction of royalty interests) totaled 490 boed
    (field estimate), 97% weighted to natural gas. An additional 350 boed
    is currently shut-in or tested "behind pipe", and a further estimated
    310 boed is expected to be confirmed by production testing before the
    end of Q3. These figures do not incorporate any potential volumes
    from the Company's impact gas discovery at Pembina.

Result continues to work diligently towards the permanent tie-in and
production of the shut-in and "behind pipe" volumes. Such efforts require
timely access to third party processing capacity, partner agreements,
equipment availability, and favorable weather conditions. The Company's 2005
exit production target of 1,000 boed is firmly within our sights subject to
facilities work proceeding as planned.

About Result Energy Inc.

Result Energy Inc. is a publicly traded Canadian energy company involved
in the exploration and development of oil and gas properties in western
Canada. Result trades on the TSX Venture Exchange under the symbol "RTE".

(x)The TSX Venture Exchange does not accept responsibility for the
adequacy and accuracy of this release. The statements contained herein which
are not historical fact are forward-looking statements that are based on
assumptions and are subject to risks and uncertainties, some of which are
beyond the Corporation's control, that could cause actual results, performance
or achievement to differ materially from those expressed in, or implied by,
these forward-looking statements. Accordingly, no assurance can be given that
any events anticipated by the forward-looking statements will transpire or
occur. The risks and uncertainties faced by the Corporation include the impact
of general economic conditions, reserve estimates, commodity prices,
competition from other industry participants, ability to retain key personnel
and the ability to access sufficient capital. The Corporation assumes no
responsibility for the accuracy and completeness of the forward-looking
statements contained herein and is under no duty to update any of such
statements to conform them to actual results.

The term barrels of oil equivalent ("boe") may be misleading,
particularly if used in isolation. A boe conversion ratio of six thousand
cubic feet per barrel (6mcf/bbl) of natural gas to barrels of oil equivalence
is based on an energy equivalency conversion method primarily applicable at
the burner tip and does not represent a value equivalency at the wellhead. All
boe conversions in the report are derived from converting gas to oil in the
ratio mix of six thousand cubic feet of gas to one barrel of oil.
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