Challenger Energy Corp. Calgary, Alberta TSX.V, AMEX Symbol: CHQ; is a Canada based oil and gas exploration company which is currently focusing on "high impact" oil and gas offshore Trinidad and Tobago.

Currently the Company is involved in exploration and developments offshore Trinidad & Tobago with Canadian Superior Energy Inc. ("SNG") and BG International Limited, a wholly owned subsidiary of the BG Group plc (LSE: BG.L).

HIGH-IMPACT EXPLORATION SUCCESS:

• Three for Three – Achievements to date have substantially reduced the overall risk-profile.
• Victory well tested from 2 zones; estimated combined capability of producing 150 mmcf/d of natural gas and 3,000 BOE/d of condensate.
• Bounty well is estimated to initially produce at approximately 200 mmcf/d of natural gas.
• Endeavour well has encountered same reservoir sands as Bounty and potentially adds significant resources to Block 5 (c).
• SIGNIFICANT RESOURCE –Block 5(c) is yielding a resource base that justifies economic development.
• ESTABLISHED POSTION IN TRINIDAD – Significant barriers to entry given large established players in the region such as BG, British Petroleum, Chevron, Petro-Canada, EOG, BHP, &Talisman.
• STRONG PARTNERSHIP – Partners are BG & Canadian Superior. BG to take over operatorship upon completion of 3 well commitment. BG’s partnership positions Challenger for further opportunities.

Trinidad and Tobago Block 5(c)

Challenger Energy Corp. began activities in the Republic of Trinidad and Tobago with the execution of a participation agreement with Canadian Superior Energy Inc. in November 2004. The participation agreement provides the Company with the opportunity to earn a 25% interest in a production sharing contract covering Block 5(c) offshore Trinidad by participating for 1/3 of the cost of an exploration program consisting of three wells. Block 5(c) is approximately 80,000 acres in size and located approximately 60 miles off the east coast of Trinidad. The initial exploration program wells on Block 5(c) have been named 'Victory', 'Bounty', and 'Endeavour' respectively and are operated by Canadian Superior Energy Inc., with the locations selected from the interpretation of a 760 square kilometer 3-D seismic data set covering the Block and offsetting producing fields.

The Kan Tan IV semi-submersible drilling rig has been contracted to drill the initial three exploration wells and after some initial challenges experienced during the drilling of the 'Victory' well, the rig has performed as expected.

The 'Victory' well has been drilled to a total depth of 16,150 feet, logged, cased and flow tested from two separate zones. The first zone tested in the 'Victory' well flowed natural gas at rates averaging between 40 and 45 mmcf/day on a restricted flow basis with a flowing well head pressure of 4,830 psi. along with 30 barrels of condensate per mmcf produced. The second zone tested in the 'Victory' well flowed at rates averaging 30 mmcf/day on a restricted flow basis at a well head pressure of 2,950 psi.

After operations on the ‘Victory’ well were complete, the Kan Tan IV rig was towed 2.2 miles east to the ‘Bounty’ well location and the ‘Bounty’ well was spud on February 20, 2008.

The Bounty well was drilled to a total depth of 17,360 feet, logged, cased and flow testing has been completed. The main targeted zone encountered approximately 200 feet of gross pay. During testing equipment capacity was maximized resulting in flow testing being restricted to a stabilized rate of 60 mmcf/d of natural gas with a flowing bottom hole pressure of 7,186 psi. Initial test results indicate that the Bounty well has estimated capability of initially producing at a rate of 200 mmccf/d from this high pressure zone.

Resource estimate: based on well testing interpretations of extensive 3-D seismic data and other data indicate a natural gas resource potential of up to 2.6 TCF of natural gas.

The Endeavor well spudded on August 28, 2008 and is expected to reach a planned total depth of 18,000 feet subsea in late 2008. The primary target in the Endeavor well is the same zone tested in the Bounty well.

Challenger Energy Corp. has estimated the possible natural gas resources discovered and undiscovered on

Block 5(c) to be over 4 tcf based on the interpretation of our seismic data, wells on the Block and offsetting producing fields such as the BG operated Dolphin and Dolphin Deep producing fields. Recent estimates of the Dolphin field’s reserves are that it contains 3.6 tcf ofrecoverable reserves and that Dolphin Deep contains 1 tcf of recoverable reserves.

The Dolphin production platform was visible from the Kan Tan IV rig at the ‘Bounty’ location as the production platform is approximately 5 miles from ‘Bounty’ and is 2.2 miles from the ‘Victory’ well. The 'Endeavor' location is located approximately 5.2 miles from 'Bounty'.

Our geological prognosis suggests that the productive reservoir sands in the Dolphin and Dolphin Deep fields extend into Block 5(c) and they are our main targets in the initial three well program.