) is pleased to announce flow test

results from the b-17-

/94-B-1 lower Montney horizontal well at Farrell Creek, British Columbia.

The b-17 well, in which CSRI holds a 35% working interest, was fracture stimulated in five

stages over a short horizontal leg, and flow tested intermittently over a two week period. Initial

production was in excess of 3.5 million cubic feet per day (MMcf/d) and stabilized at

approximately 2.5 MMcf/d.

This second successful test of the lower Montney Formation (see News Release dated

September 27, 2010) exceeded the Corporation’s expectations and confirms the Corporation’s

conviction that the lower Montney zones can add significantly to the total productivity and

reserve potential of the Montney Formation as a whole.

The b-17 well

(see the Montney Project Joint Venture Map in CSRI’s current Corporate

Presentation at

www.csri.ca)

will be tied into the Farrell Creek gas processing facility which is

currently under construction and will have an initial capacity of 10 MMcf/d. This facility, scalable

up to 50 MMcf/d, is expected to be completed and fully operational in January 2011.

“We are pleased with the b-17 results” stated Don Gardner, CEO. “This represents another

important step in demonstrating the productive capability of the Montney Formation, considered

one of the most economic unconventional plays in the Western Canadian Sedimentary Basin”.

During the first quarter of 2011, Canbriam Energy BC Partnership, the operator (“Canbriam”),

plans to fracture stimulate and flow test two previously drilled upper Montney horizontal wells at

c-A18-

/94-B-1. Canbriam also intends to submit several applications for

drilling locations forming part of the 2011 drilling program planned for the Farrell Creek joint

venture lands.

The Corporation holds interests in 51 gross sections of strategically located joint venture lands

and a 100% interest in approximately