Mr. Dave Schofield, acting US Operations Field Manager for Montello Resources Ltd. USA, is scheduled to join Drilling Manager Mr. Phil Emrich starting August 1st for ramp-up at the John Bowen #2 well site located in the Morgan Highpoint area of north-eastern Tennessee.

Mr. Schofield has just completed a review of the existing shallow well and asset inventory, outside of the Morgan Highpoint area which is shared 50-50 with Austin Developments Ltd. As the Company's strategic focus has totally shifted to partnered drilling of high-impact, deep wells in the Southern Appalachian Basin and Alberta, a planned asset divestiture of Montello's 50% working interest, including its 50% interest in all "tied in" assets (i.e. wells, pump jacks, etc.) outside Highpoint , is currently being negotiated.

All assets which are not "tied in" will be transported to a facilities and equipment yard, the location of which will be finalized shortly. Mr. Schofield will oversee the logistics regarding the transport of all non-tied-in assets to the new location, which will be proximal to the John Bowen #2 well site.

Montello benefits greatly from Mr. Schofield's solid working knowledge, inclusive of all aspects of the day-to-day operations of oil and gas wells, his many years of first-hand experience on drilling rigs, in plant operations, through to production optimization. The Company is extremely pleased that he can join Mr. Emrich at month end on such short notice in order to play an integral role at Highpoint.

About Mr. Schofield

Dave Schofield is the President of Sundance Ventures Ltd., an oilfield service company. He has worked for over 25 years in the Peace River Arch, Northwestern Alberta. He has a long-standing working relationship with a number of Montello's present management team.

He has extensive training in the operation of down-hole equipment, perforating procedures and the testing of different geological formations. Further, he has a solid understanding of requirements for well quality control and safety procedures, both as an operator and as a subcontractor. Mr. Schofield's experience includes high and low pressure oil and gas wells, supervising service rigs, swab rigs, wire-line crews, maintenance crews, road and lease construction, pipelines and facility construction, Ammine Systems, Acid Gas Compression, Acid Gas Re-injection Refrigeration Equipment and Water Injection Facilities. This has allowed him to make a seamless transition, applying his extensive skill set in Tennessee.

Mr. Schofield is well versed with His accreditations and licenses include: H2S Certificate, St. John Ambulance Certificate, Transportation of Dangerous Goods Certificate, W.H.M.I.S. and Well Service B.O.P. ticket.

About Montello

Montello Resources Ltd. (TSX-V: MEO), a publicly traded company listed on the TSX Venture Exchange, is engaged in oil and gas exploration, with a view to production in Northern Tennessee and Alberta. The Company's goal is to conduct a multi well high impact drilling program this summer and fall utilizing the latest in modern techniques on its Morgan County, Tennessee leases, in a part of the state where a limited number of deep tests have been drilled from the late 1960's through to the early 1980's.

ON BEHALF OF THE BOARD OF DIRECTORS

"William R. Cawker"
William R. (Bill) Cawker
President-CEO-Chairman

For further information please contact: Larry Myles at lmyles@montello.com weekdays at 604-408-7600 from 7: 00 am PST until 3:00 pm PST. Please refer to our web site www.montello.com and have your name included on our mailing list. Please also cc your email to Larry Myles to bcawker@montello.com re questions.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.