CALGARY, Aug. 27 /PRNewswire-FirstCall/ - Compton Petroleum Corporation (TSX - CMT, NYSE - CMZ) previously announced a process to seek a buyer for all of the outstanding shares of the Company. In conjunction with this process, the Company has completed an update to its December 31, 2007 Reserve Report as at August 1, 2008 (Reserve Update). The parameters applied to the preparation of this Reserve Update as well as the summaries thereof are presented in this News Release. Additionally, this News Release includes June 30, 2008 proforma debt information reflecting certain transactions since that date and a review of recent field activities.

Concurrent with this News Release, marketing efforts to conclude a corporate sale will commence. Interested parties are currently being invited to enter into a confidentiality agreement with the Company prior to accessing the Data Room which will open on September 8, 2008.

The Company believes the information contained herein to be of material interest to investors in the context of the corporate sale process.

AUGUST 1, 2008 RESERVE UPDATE

The August 1, 2008 Reserve Update is based upon the December 31, 2007 Reserve Report and was mechanically updated to August 1, 2008. The mechanical update incorporated the production forecasts and operating costs used in the December 31, 2007 Reserve Report giving effect to price forecasts in effect as of April 1, 2008 and the proposed new Alberta Crown Royalty regime. The mechanical update was then edited for the following:

    -   reserves assigned to wells drilled or recompleted to August 1, 2008
    -   drilling locations offsetting newly drilled or recompleted wells were
        reclassified from possible and probable reserves to proved reserves
        or from possible to probable reserves based upon production or test
        data, most particularly for the impact of projected horizontal well
        locations and multi-stage fracs in lieu of projected vertical well
        locations; the production forecast was adjusted in some cases
    -   reserves associated with new lands added through acquisitions, farm-
        ins, Crown or freehold purchases
    -   production for the first seven months of 2008
    -   reserves associated with the four properties sold in the third
        quarter of 2008 (as more fully described below)
    -   reserves associated with any land expiries over the first seven
        months of 2008
    -   the forecasted on-stream dates of projected 2008 wells in the
        December 31, 2007 Reserve Report were revised to the actual dates or
        delayed to the currently anticipated on-stream dates; the production
        forecasts were not changed
    -   the timing of some of the drilling locations and well tie-ins were
        updated together with estimated future development costs; the
        production forecasts were not changed
    -   working interests and burdens were altered where appropriate
    -   inconsistencies in gas-oil ratios and NGL yields were corrected where
        necessary

The August 1, 2008 Reserve Update has been prepared by the Company's professional staff (supervised by a Qualified Reserves Evaluator) using the same methodology used by the Company's independent and internal evaluators in the preparation of the December 31, 2007 Reserve Report. The August 1, 2008 Reserve Update has been prepared in accordance with the regulatory standards set out in National Instrument 51-101 with the exception that the Company has not undertaken a detailed review of all of the properties included in the December 31, 2007 Reserve Report nor adjusted the estimates for actual 2008 performance and updated production costs. The Company has reviewed the 2008 year to date performance of such properties and production costs in the aggregate and believes that there are no material revisions required other than to the extent set out in the summary.

    Updated Summary of Estimated Reserve Volumes - Forecast Prices and
    Costs(1)

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    As at August 1,    Crude Oil          Natural Gas             NGLs
     2008           Gross      Net      Gross      Net      Gross      Net
                    (Mbbl)    (Mbbl)    (Bcf)     (Bcf)     (Mbbl)   (Mbbl)
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    Proved
      Developed
       producing     4,376     3,465       488       414     9,081     6,035
      Developed
       non-producing   242       193        67        56     1,131       737

      Undeveloped      576       411       212       178     2,407     1,543
    -------------------------------------------------------------------------
    Total proved     5,195     4,070       767       648    12,619     8,315
    Probable         4,207     3,052       628       517    10,452     6,699
    -------------------------------------------------------------------------
    Total proved
     plus probable   9,402     7,122     1,395     1,165    23,071    15,013
    -------------------------------------------------------------------------

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    2007 total
     proved plus
     probable       17,427    16,042     1,369     1,120    22,182    15,558
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    -----------------------------------------------------
    As at August 1,     Sulphur              Total
     2008           Gross      Net      Gross      Net
                    (Mlt)     (Mlt)     (Mboe)    (Mboe)
    -----------------------------------------------------
    Proved
      Developed
       producing     1,930     1,766    96,788    80,248
      Developed
       non-producing    65        54    12,547    10,319

      Undeveloped      149       137    38,475    31,717
    -----------------------------------------------------
    Total proved     2,145     1,957   147,810   122,286
    Probable           819       766   120,190    96,748
    -----------------------------------------------------
    Total proved
     plus probable   2,964     2,723   268,000   219,035
    -----------------------------------------------------

    -----------------------------------------------------
    2007 total
     proved plus
     probable        3,022     2,563   270,819   220,864
    -----------------------------------------------------
    (1) Numbers may not add due to rounding.



    Updated Net Present Value of Reserves - Forecast Prices and Costs

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                                           Future net revenue before income
                                           taxes(1) discounted at a rate of
                                        -------------------------------------
    As at August 1, 2008                     0%          8%           10%
    -------------------------------------------------------------------------
    ($000s)
    Proved
      Producing                         $3,295,341   $1,589,571   $1,419,057
      Non-producing                        498,589      237,575      208,667
      Undeveloped                        1,198,713      519,822      439,409
    -------------------------------------------------------------------------
    Total proved                         4,992,643    2,346,968    2,067,132
    Probable                             4,250,176    1,627,341    1,360,018
    -------------------------------------------------------------------------
    Total proved plus probable          $9,242,819   $3,974,310   $3,427,150
    -------------------------------------------------------------------------

    -------------------------------------------------------------------------
    December 31, 2007 proved plus
     probable                           $8,074,691   $3,406,461   $2,918,833
    -------------------------------------------------------------------------
    (1) The Company does not represent that the values shown in the foregoing
        table are representative of fair market value.

    Pricing assumptions reflected in the Net Present Value of Reserves are
based upon the average of the April 1, 2008 commodity price forecasts of four
major Canadian oil and gas reserve evaluation firms and are summarized below.

    Summary of Forecast Pricing

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    Year(1)            Edmonton Par Price $/bbl          AECO-C Spot $/MMbtu
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    2008                        $97.39                           $8.31
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    2009                        $93.67                           $8.39
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    2010                        $91.70                           $8.28
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    2011                        $88.41                           $8.18
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    2012                        $88.02                           $8.24
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    2013                        $88.68                           $8.44
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    2014                        $89.34                           $8.61
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    2015                        $91.00                           $8.80
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    2016                        $92.80                           $8.98
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    2017                        $94.02                           $9.16
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    (1) Pricing is escalated at 2% per annum post 2017.

Property Sales

The Company previously announced the sale of four non-core asset packages. Purchase and sale agreements were executed during June and July and three of the four sales transactions have closed; the fourth is scheduled to close on September 8, 2008. Net proceeds, after closing adjustments, are expected to be approximately $210 million and will be applied to reduce syndicated bank debt. Reserves related to these properties are not included in the August 1, 2008 Reserve Update.

Production associated with these four sales is approximately 3,700 boe/d. Excluding these sales, August month end production is expected to be approximately 27,000 boe/d. With the Company's ongoing active field program, as outlined in the Operations section of this News Release, production is expected to increase appreciably over the next few months.

During the past 12 months, Compton has sold the majority of its predominantly oil weighted, non-core properties. These sales represented approximately 7,700 boe/d of production, and gross proceeds received were approximately $488 million. As a result of these sales, Compton's activities are now focused entirely in central Alberta and the Rock Creek / Ellerslie play at Niton / Caroline and in southern Alberta, including the Basal Quartz play at Hooker, the Plains Belly River play, and the thrusted Belly River play in the Foothills.

CORPORATE DEBT

Subsequent to June 30, 2008, the estimated $210 million of proceeds from the property sales and a realized $31 million gain on the recent termination of the foreign exchange contracts related to the US$ denominated Senior Term Notes will have been applied to reduce the Company's syndicated bank debt and are reflected in the following proforma debt schedule.

    Long Term Debt ($000s)

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                                             Proforma Adjustments
    -------------------------------------------------------------------------
                                                                    Proforma
                                   June 30,   Property       FX     June 30,
                                     2008      Sales       Sales      2008
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    Senior Term Notes              $458,370                         $458,370
    Associated unrealized risk
     management gain                (21,915)               21,915          -
    -------------------------------------------------------------------------
                                   $436,455                21,915   $458,370
    Syndicated bank debt            470,000   (210,253)   (31,080)   228,667
    -------------------------------------------------------------------------
    Long term debt                 $906,455                         $687,037
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OPERATIONS

With much improved field conditions during the third quarter of 2008, field activity has increased substantially over Q2 levels. During the first 50 days of the quarter, Compton has drilled a total of 61 wells (47.4 net) as compared to the 34 wells (33 net) drilled during all of the second quarter. The Company has continued the focus of applying horizontal drilling combined with multi-stage frac completions to its Deep Basin and Foothills gas plays with good success. Six horizontal wells have been drilled since June 30, 2008 and an additional five horizontal and five vertical wells are currently drilling. Activities on an area by area basis are discussed below.

Central Alberta

Niton/Caroline - Rock Creek natural gas play

------------------------------------...

Compton continues to be very active at Niton and Caroline in central Alberta. Since June 30, 2008, a total of eight wells have been drilled: six at Niton, four of which were horizontal, and two vertical wells at Caroline. To date, the Company has drilled or participated in 21 wells at Niton - two of these wells are oil wells; fourteen are producing natural gas wells, three additional natural gas wells are being tied-in, and two more are currently drilling.

A Rock Creek horizontal well at 4-28-52-17W5 was rig released in July and placed on continuous production on August 14, 2008. The well is currently restricted by available compression to 5 mmcf/d. Initial test rates exceeded 8 mmcf/d. The Company currently has six horizontal and one vertical Rock Creek wells producing to the compressor at 5-26-52-17W5 and a second compressor is being installed to increase capacity from 10 mmcf/d to 20 mmcf/d. Two horizontal wells are currently drilling on sections adjacent to the 4-28 well.

In Township 53-15W5M, Compton has very recently completed a 70% WI well at 16-24. The well is currently flowing approximately 3.3 mmcf/d. Also in Township 53-15W5M, a vertical Rock Creek step-out well has been cased at 4-23 and the Company is proceeding to license two additional horizontal wells in sections 23 and 24.

Also in the Niton area, Compton has spudded its first horizontal well targeting the Ellerslie formation at 12-19-54-13W5 and plans a second Ellerslie horizontal well at 1-21-53-14W5M.

Southern Alberta

Hooker - Basal Quartz gas play

------------------------------

At Hooker, the Company has drilled four horizontal wells during 2008, with a fifth currently drilling. All wells have or will be completed using multi-stage frac technology.

The first two wells, 9-17-17-29-W4 and 02/10-30-16-29W4, were placed on production March 10 and April 28, 2008 respectively. Initial production rates were 4.2 mmcf/d in the case of 9-17 and 2.2 mmcf/d in the case of 10-30. Both wells are currently producing approximately 1 mmcf/d and are following the expected production profile typical of natural gas wells drilled into tight reservoirs. These two wells targeted the tighter reservoir on the eastern periphery of the Hooker play where offsetting vertical wells have proven to be marginal producers.

The third horizontal well at 13-34-18-29W4, drilled in the center of the Hooker Basal Quartz channel, was rig released on August 4, 2008, a multi-stage frac is scheduled for late August 2008, and will be tested in line to the Mazeppa gas plant. A fourth well has been drilled during August at 1-18-17-29W4, also on the western edge of the channel, and will be completed in September and a fifth well targeting the eastern edge of the channel is currently drilling.

The applicability of multi-stage frac technology, as demonstrated by the success of these wells, improves the probability of substantially increasing the recoverability of the 1.0 TCF of gas in place in the Hooker Basal Quartz reservoir.

Callum/Cowley - Thrusted Belly River gas play

------------------------------------...

The Foothills horizontal well, 14-5-7-1W5 at Cowley was brought on-stream on August 9, 2008. This was the first well in the area drilled on 3D seismic and completed using multi-stage frac technology. The well is being tested inline to the Cowley gas plant and is currently equipment restricted to approximately 3 mmcf/d. The Company is very encouraged by the results of this well and is currently licensing four additional wells adjacent to 14-5.

Belly River - shallow gas play

------------------------------

Since June 30, 2008, Compton has continued to actively develop its Belly River gas play in southern Alberta. To date in the third quarter of 2008, the Company has drilled a total of 43 Belly River wells including nine wells in the Ghost Pine area. The majority of these wells are down-space locations near existing infrastructure.