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Msg  15 of 24  at  7/26/2011 1:10:09 PM  by

com.manager


NR - Gale Force Petroleum provides operations update - Starts Production at Wells Ranch Property

Gale Force Petroleum provides operations update - Starts Production at Wells Ranch Property


MONTREAL, Jul 26, 2011, 2011 -- Gale Force Petroleum Inc. (TSXV: GFP) ("Gale Force" or the "Company") today provided an operations update to report interim results from its planned US$2,000,000 development program (the "Development Program"), and announced that it has started production at its Wells Ranch property. Updates and details on the Wells Ranch property are available for viewing at: www.GaleForcePetroleum.com/WellsRanch.

"The start of production at Wells Ranch is the attainment of a major milestone for Gale Force Petroleum as the Company now has production on all of its seven properties", said Michael McLellan, Chairman and CEO. "We look forward to further production improvements as we work with our experienced technical team to complete the initial Development Program."

Gale Force Petroleum's technical team is led by its Chief Operating Officer, Emery Johnson, who is one of the Company's largest shareholders and has over 40 years experience, including having spent the last 10 years successfully building an oil production company in East Texas. Other members of the technical team are provided by IROMAD, a specialized oil and gas consultancy under a one-year mandate with the Company. A description of the services provided by IROMAD can be found below.

DEVELOPMENT PROGRAM DETAILS

The primary objective of the US$2,000,000 Development Program is to increase total oil production for the Company to over 250 bbls per day, by achieving production increases of between 100 and 150 bbls per days resulting from workovers and facilities construction on six of the Company's properties, as summarized in the following table:

_______________________________________________________________
|Property | Owns|Plan Summary |Potential |Cost Estimate*|
| | | |Production| |
| | | |Increase* | |
|___________|_____|___________________|__________|______________|
|Wells Ranch|100% |Re-establish prior | 65 bbls| $1,100,000|
| | |production by | | |
| | |re-activating 5 | | |
| | |wells, 2 salt water| | |
| | |disposal wells and | | |
| | |build separation | | |
| | |facilities | | |
|___________|_____|___________________|__________|______________|
|Pine Mills |75.4%|Re-work 4 wells, | 28 bbls| $350,000|
| | |create reliable | | |
| | |salt-water disposal| | |
| | |well | | |
|___________|_____|___________________|__________|______________|
|Gulftex |100% |Re-work 3 wells | 20 bbls| $25,000|
|___________|_____|___________________|__________|______________|
|Colgate |100% |Re-work 4 wells | 15 bbls| $200,000|
|___________|_____|___________________|__________|______________|
|Energytec |100% |Re-fit and re-work | 15 bbls| $75,000|
| | |4 wells | | |
|___________|_____|___________________|__________|______________|
|Central OK |100% |Re-activate 1 well,| 15 bbls| $310,000|
| | |new salt water | | |
| | |disposal well | | |
|___________|_____|___________________|__________|______________|
|TOTALS | |Increase Oil | 158 bbls| $2,000,000|
| | |Production from | | |
| | |Existing Properties| | |
|___________|_____|___________________|__________|______________|



*Note: The Company has a high level of confidence in total potential production increases of between 100 and 150 bbls resulting from the Development Program, as all proposed operations are to reactivate previous production at these levels. However, estimated production increases are not guaranteed, nor are the costs of the operations, as there are engineering, operational, business and other risks that may hamper these development plans.

Given the maturity of the Company's existing properties, once the production is re-established, the Company expects annual production decline rates of only 5% to 10%.

Secondary objectives of the Development Program include new leasing and performing field-wide studies of the Company's existing properties to locate additional Proved Undeveloped drilling locations, the goal being to build out the Company's reserves.

The Company now expects the Development Program to be completed in October, 2011.

ABOUT GALE FORCE PETROLEUM INC. − www.GaleForcePetroleum.com Gale Force Petroleum is a public corporation focused on acquiring and exploiting undervalued oil and gas reserves in mature basins, bringing operational expertise and capital to lower-risk, development-type projects. The Company currently owns producing oil and gas properties in Texas, Oklahoma and Tennessee.

ABOUT IROMAD LLC Iromad was formed through the convergence of veteran oil and gas professionals, innovative technologists, leading entrepreneurs, and experienced investment professionals. Iromad's vision is to facilitate the delivery of technologies for the enhanced development of mature oil and gas assets and unconventional hydrocarbons, providing cutting-edge solutions to issues faced by national oil companies and independent petroleum producers. Iromad focuses on solutions that will increase recoverable reserves, enhance production, and reduce lifting costs. This demands a long-term perspective, breadth and depth of expertise, and solid project management in order to outlast the cyclic nature of oil and gas commodity markets.

Forward looking statements: Statements included herein, including those that express management's expectations or estimates of our future performance, constitute "forward-looking statements" within the meaning of applicable securities laws. Forward-looking statements are based on assumptions and estimates that are subject to various risks and uncertainties, including the risks disclosed under the heading "Risks and Uncertainties" in the Company's periodic filings on SEDAR, for example, in its Management Discussion and Analysis for the year ended June 30, 2010. Such information contained herein represents management's best judgment as of the date hereof based on information currently available. The Company does not assume the obligation to update any forward-looking statements, except as required under applicable law.

"Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release."

To view this news release in HTML formatting, please use the following URL: http://www.cnw.ca/en/releases/archive/July2011/26/c7437.html

SOURCE: GALE FORCE PETROLEUM INC.

please contact:Michael McLellan, CFA, Chairman & CEO, +1.514.221.2030 Copyright (C) 2011 CNW Group. All rights reserved.


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