CEN Claren Energy Corp

THIS NEWS RELEASE IS NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH
UNITED STATES NEWSWIRE SERVICES


Coastal Energy Company ("the Company") (TSX VENTURE:CEN)(AIM:CEO), an
independent exploration and production company with assets in Southeast Asia,
announces an update on its operations offshore Thailand.


The Company's wholly owned subsidiary, NuCoastal (Thailand) Limited, has
finalized its previously announced contract with Deep Drilling 7 Pte. Ltd. for a
charter of the "Deep Driller 7". The contract is for an initial term of three
months and is extendable up to an additional three months. The rig is expected
to begin mobilizing to the Songkhla location in mid-September 2008.


Randy Bartley, Chief Executive Officer of Coastal Energy commented: "The Company
has government approval for extended production testing while drilling at our
Songkhla field development. We expect to be drilling by late September, with
completion and testing of the first Songkhla well by mid-October. We will
continue to test and produce our first well to test facilities while continuing
simultaneous drilling operations. This early extended testing and production
will allow the Company to establish production and cash flow from offshore
properties ahead of final Environmental Impact Assessment approval and platform
and facilities installation."


Notes to Editors

- Coastal Energy is an oil and gas exploration, development and production
company, with core assets onshore and offshore Thailand


- The Company specialises in identifying and developing under-exploited or
"orphaned" assets. Management has proven experience at identifying and unlocking
value from overlooked, abandoned, low risk assets with proven hydrocarbon
potential


- This strategy has enabled the Company to assemble an asset base in Thailand
that includes production of approximately 11.5 mmcf/d of gas under long term
contract and offshore oil fields currently under development


- Production growth over the next 12 -18 months is expected to grow
exponentially and proven, probable and possible reserves are 45.5 million
barrels oil equivalent(i)


- The Company's current assets include:

-- Offshore Thailand

--- 100% of block G5/43 - two oil fields currently under development with
several other appraisal and exploration opportunities. Production is expected to
commence Q4 2008


--- 100% of block G5/50 - within the boundaries of block G5/43 in the Ko Kra basin

-- Onshore Thailand

--- 12.6% net interest in blocks EU1 and E5N which include the Phu Horm gas
field, which was producing in excess of 100 mmcf/d at the end of the second
quarter 2008.


--- 36.1% net interest in block L15/43 surrounding the Phu Horm field

--- 36.1% net interest in block L27/43 - containing the undeveloped Dong Mun gas
field


--- 21.7% net interest in block L13/48 located adjacent to blocks L15/43 and
L27/43, contains Si That discovery


Additional information, including the Company's complete competent person's may
be found on the Company's website, www.CoastalEnergy.com or may be found in
documents filed on SEDAR, www.sedar.com.


This statement contains 'forward-looking statements' as defined by the
applicable securities legislation. Statements relating to current and future
drilling results, existence and recoverability of potential hydrocarbon
reserves, production amounts or revenues, forward capital expenditures,
operation costs, oil and gas price forecasts and similar matters are based on
current data and information and should be viewed as forward-looking statements.
Such statements are not guarantees of future results and are subject to risks
and uncertainties beyond Coastal Energy's control. Actual results may differ
substantially from the forward-looking statements.


(i) Per barrel of oil equivalent ("boe") amounts have been calculated using a
conversion rate of six thousand cubic feet of natural gas to one barrel of oil
equivalent (6:1). The term boe may be misleading, particularly if used in
isolation. A boe conversion ratio of 6mcf to 1bbl of oil is based upon an energy
equivalency conversion method primarily applicable at the burner tip and does
not represent a value equivalency at the wellhead.


These securities have not been registered under United States Securities Act of
1933 (the "US Securities Act") or the securities laws of any state and may not
be offered or sold in the United States or to US persons (as defined in
Regulation S under the US Securities Act) unless an exemption from registration
is available.

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