Company Update

January 25, 2007 Calgary, Alberta, (TSX.V:PBT, FSE :P5W)  Pemberton Energy Ltd (“Pemberton”)  is pleased to announce that it  has entered into 2 letters of intent for the negotiation on the lease of subsurface mineral rights in the Montney Zone, a depth of 1095 to 1313 meters, totaling 100% undivided interest on a 160 acre parcel in the Peace River Arch area. This quarter section has been added to the Company’s upcoming 3D program.

Pemberton Energy Ltd. will retain 75% beneficial interest over a term of 2 years.  The Company will assume 100 % of the drilling and completion costs of the well, inclusive of all operating, processing, transportation and production costs, crown royalties and any other costs associated with development pertaining to the well.  

This 160 acre land parcel, with mineral rights in the Montney Zone, will add to Pemberton’s current Gage land holding position. In the Gage area Pemberton currently holds 720 acres with 100% undivided interest and 507 acres with 50% undivided interest, with mineral rights from surface to basement.  Pemberton currently holds a total of 1600 acres in the Peace River Arch.

Tusk Energy Corporation (TSX: TSK)  is the immediate neighbor, on the NW quarter of the section, of which Pemberton signed 2 letters of intent for the NE quarter section,  and according to a recent Tusk Presentation http://www.tusk-energy.com/slideshow2/?next=20 have calculated reserves on the Gage Montney formation at estimated  2,500,000 million barrels of oil-in-place. Tusk is currently infill drilling the location and looking to increase production on their property.

Pemberton is also pleased to announce that it has currently entered into discussions with a rig operator about purchasing a percentage of a drill rig for up to 50% ownership.   Management believes that acquiring percentage of a drill rig will be a key component that will allow the Company to drill selected targets at a deeply discounted price and give the Company constant rig availability.

President, Richard Saxon states, “Once again Pemberton has negotiated a very advantageous deal for Pemberton and the Landowners on an extremely lucrative property in a very active area in the Peace River Arch. By entering into negations on a joint purchase of a drilling rig, Pemberton is creating a beneficial position that can significantly reduce oilfield service costs and potentially create an additional source of revenue”.

The Letter of Intent is subject to TSX approval and Pemberton will issue further news upon signing a binding land lease agreement.

Pemberton Energy’s principal business is the acquisition, exploration and development of petroleum properties. The company continues to focus on its primary corporate objective: the creation of value for shareholders by identifying oil and gas accumulations with relatively low geological risk but with substantial reserve potential.

For further information on Pemberton Energy Ltd. please contact 604-269-9801.

We seek safe harbor.

On Behalf of Pemberton Energy Ltd.

“Miroslava Antoniouk”
___________________________
Ms. Miroslava Antoniouk, Director

For additional information please contact the Company at 604-269-9801 or info@pembertonenergy.ca

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