MEO Montello Resources Ltd (Tier2)

Montello Resources Ltd. ("Montello") (TSX VENTURE:MEO) is pleased to announce
that our Pincher Creek re-completion is underway. A rig moved onto the Pennine
Pincher Creek 01-004-29 W4M location (otherwise known as 1-11-4-29 W4M wellbore)
on Friday afternoon, August 31, 2007 on schedule as per our news releases of
August 23rd - 24th. The Company will be perforating the Brown Sand and, if
prudent, the Manville Sand within the next week. The total activity will take
approximately 15 days to complete. Pennine Petroleum Corp. WI 37.5% is the
Operator, with Montello 25%, Paramount Resources 25%, and a Private Company
12.5% as the Joint Venture Partners. This "Upper Zones Play" represents an
opportunity to undertake immediate operations to obtain production and prove up
additional target wells for revenue enhancement. This prospect has similar
characteristics to a Chamealo well producing 125 BOPD and 3 MMCFD re-completed
in 2006 in the Lookout Butte field, approximately 15 kilometres to the south of
this location. The concept for this uphole zone play is simply to follow sand
development across the Pincher Creek structure and access these
hydrocarbon-bearing sands via existing wellbores - possibly leading to drilling
development.


Montello has the right of Option, to be exercised within 45 days of
notification, to participate as to a minimum of 25% of Pennine's interest in the
drilling, completion, or abandonment of any proposed well on the lands held by
Pennine within the area of Township 3 and 4 Range 28 to 29 W4M. These lands are
approx. 175 kilometres south of the City of Calgary, and consist of both Crown
leases and Freehold leases representing 10,560 gross acres (approx. 4,851.2 net
acres to Pennine). Montello is very enthusiastic about the opportunity here and
is looking forward to a close JV Relationship with Pennine.


Montello further announces that Mr. Eric M. Leslie of Calgary, Alberta has
agreed to provide consultancy advisory services to Bill Cawker, President and
CEO of Montello. Mr. Leslie began working in the oil and gas industry in 1978 as
a negotiating Landman for PanCanadian Petroleum Ltd. (now Encana Corporation).
Over the years he worked and consulted to both major and small independent oil
and gas companies and in 1991 he founded Merchant Equities Capital Corp. and
then in 1995 co-founded Merchant Equities Investments Inc., a private company
that provided venture capital financing, financial workouts and restructuring
consulting management services primarily to early stage companies. Merchant
Equities led a variety of transactions including reverse takeovers, initial
prospectus offerings, takeover bids and the sale of assets and vend-ins. Mr.
Leslie has extensive public company experience serving on the board of directors
of a dozen publicly traded companies. Mr. Leslie is the C.E.O. of Vanguard
Exploration Corp., a private company that is exploring for high impact oil & gas
targets predominantly in Central Alberta. Bill Cawker states, "Mr. Leslie brings
to Montello extensive knowledge and expertise garnered from his 29 years of
experience in the oil and gas and small cap venture capital arenas." In
conjunction with the appointment, subject to all regulatory approval, Montello
will grant Mr. Leslie a total of 200,000 options with a 5 year term and an
exercise price of $0.14 for his services.


The Company subject to approval of the TSX Venture Exchange, has engaged KCrew
Communications Inc., of Vancouver, B.C., to provide the company with investor
relations services. KCrew will initiate and maintain contact with shareholders
and the financial community and will assist the Company in gaining increased
exposure to investors through the dissemination of corporate information to a
network of online venues, brokerage firms and private investors. In addition,
KCrew will assist management with strategizing, formulating and implementing the
company's communications programs, and it will be instrumental in introducing
the Company to relevant industry analysts, institutional and retail investors
throughout North America and Europe. KCrew has been engaged pursuant to a 6
month service agreement effective Wednesday September 5th, 2007, which may be
renewed or terminated by either party with 30 days advance notice. KCrew will be
paid $7,500 per month (plus GST).


The "Company" also announces the granting of a total of 2,900,000 incentive
stock options to directors, officers, employees and consultants at an exercise
price of $0.14 per share until September 5, 2012, subject to the approval of the
TSX Venture Exchange.


About Montello Resources Ltd.

Montello Resources Ltd. (TSX VENTURE:MEO) is an emerging, publicly traded
company listed on the TSX Venture Exchange in Canada. Montello is engaged in
high impact oil and gas exploration "hunting for elephants" in the Tennessee
Appalachians. Montello commenced drilling The John Bowen #2 Test Well on August
15th, 2007. The Test Well is expected to take approximately 45 days to drill to
a total depth of between 7,000 to 9,500 feet to tentatively test the Precambrian
formation which lies directly above the Granite - Basement. Montello is and will
be testing and evaluating the various formations while it drills the well
under-balanced. The Morgan Highpoint Project is located in a part of the State
of Tennessee where a limited number of deep tests have been drilled. Nabors
Drilling USA, Strata Energy Services of Red Deer, Alberta and Pason Systems Inc.
of Calgary, Alberta are the current key drilling and service contractors that
have been hired by Montello to drill the John Bowen #2 Test Well.


Montello is also active in Alberta with the re-completion of a Mannville well
first announced on August 23rd, now underway as scheduled. The Company also has
a deep Rundle Test Well scheduled to be drilled prior to year end. These
prospects lie in an active gas producing area and offset some of the largest
producers in the Pincher Creek Field, which has been one of the most prolific
fields in Alberta, having produced some 600 BCF of gas and over 1 million
barrels of associated liquids.


ON BEHALF OF THE BOARD OF DIRECTORS

William R. (Bill) Cawker, President-CEO

Visit www.montello.com for ongoing updates & have your name included on our
mailing list.


Reader Advisory: This news release contains certain forward-looking statements,
including management's operations and capital expenditures and the timing t
hereof, that involve substantial known and unknown risks and uncertainties,
certain of which are beyond the Corporation's control. The Corporation's actual
results, performance or achievements could differ materially from those
expressed in, or implied. Investors are cautioned that forward-looking
statements are inherently uncertain and involve risks and uncertainties that
could cause actual results to differ materially. There can be no assurances that
future developments affecting Montello will be those anticipated by management.
Furthermore any forward-looking statements contained in this news release are
made as at the date of this news release and the Corporation does not undertake
any obligation to update publicly or to revise them whether as a result of new
information, future events or otherwise, except as may be required by applicable
securities laws. We seek Safe Harbor.


"BOEs may be misleading, particularly if used in isolation. A BOE conversion
ratio of 6 Mcf: 1bbl is based on an energy equivalency conversion method
primarily applicable at the burner tip and does not represent a value
equivalency at the wellhead."

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