Bellamont Exploration Ltd. announced that it has entered into an agreement to acquire assets located in the Corporation's Peace River Arch core area. The Corporation announced that it has entered into a $10 million bought deal financing and a $2 million private placement financing.

Bellamont Exploration Ltd. announced earnings results for the second quarter and six months ended June 30, 2009. For the quarter, the company reported petroleum and natural gas sales of $2.3 million against $2.7 million a year ago. Funds generated from operations were $0.394 million or $0.01 per basic and diluted share against $1.2 million or $0.03 per basic and diluted share a year ago. Net loss and comprehensive loss was $1.5 million or $0.03 per basic and diluted share against net income and comprehensive income of $0.119 million a year ago. Cash flow from operating activities was $1.1 million against $1.7 million a year ago. Capital expenditures were $1.7 million against $6.6 million a year ago. For the six months, the company reported petroleum and natural gas sales of $4.6 million against $4.7 million a year ago. Funds generated from operations were $0.753 million or $0.01 per basic and diluted share against $2.0 million or $0.05 per basic and diluted share a year ago. Net loss and comprehensive loss was $2.9 million or $0.05 per basic and diluted share against $0.165 million a year ago. Cash flow from operating activities was $1.3 million against $2.4 million a year ago. Capital expenditures were $4.4 million against $11.5 million a year ago.

Bellamont Exploration Ltd. announced successful extension of its Grimshaw Montney Oil Discovery, Strategic Peace River Arch Farmin located at 4-29-83-23W5M (the '4-29'). The 4-29 production tested at 400 bbl/d of 30 degree API oil over the last 24 hours of a 56 hour continuous swab test. The corporation expects to place the well on production in fourth quarter at an initial rate of 150 bbl/d. The 4-29 was vertically drilled at a surface location at 14-29-83-23W5M to a depth of 905, metres, logged, then plugged back and drilled out 928 metres horizontally. Open hole logs from the vertical portion of the well encountered 14 metres of gross pay in the montney, which is virtually identical to the company's discovery well located approximately one mile away at 7-30-83-23W5M. The horizontal leg of the well encountered the Montney sand throughout the entire 928 metre length. These results have further reinforced Bellamont's interpretation of an oil pool covering multiple sections of lands, all of which are owned and operated by Bellamont. Bellamont owns an average 76.0% working interest in 10 contiguous sections (6400 acres) of lands in the Grimshaw area. The Grimshaw area offers Bellamont significant oil upside at excellent economics. Bellamont lands have the potential for drilling an additional 20 gross (15.2 net) horizontal wells, based on 4 wells per section. The company expects the cost to drill, complete and equips horizontal multi staged fraced development wells will average approximately $1.800 million, which will result in finding and development costs below $10.00/boe, on stream costs of $12,000 boe/d and a recycle ratio in excess of 3 times. These metrics will be further enhanced by taking into account the drilling royalty credit announced by the Alberta Government, which provides for a corporate royalty credit equivalent to $200/metre drilled, for all wells drilled before April 1, 2011. Such wells will also qualify for the Alberta Governments royalty reduction program, which provides for a 5.0% maximum royalty for the first 12 months of production, or 50,000 barrels of oil production, whichever is reached first. In the future, Bellamont should be able to realize capital efficiencies by utilizing centralized drilling pads and facilities, further enhancing the economics of the play. The company announced the appointment of Mr. Greg Bay to its board of directors. Mr. Bay is a founding partner, President and CEO of Cypress Capital Management Ltd.