QEC News Unrisked Target=$41.42:Initial flow back the wells have co-produced burnable gas and frac fluids at varying rates

January 7, 2009

Questerre Updates Their Quebec Yamaska Activities
CALGARY, ALBERTA--(Marketwire - Jan. 7, 2009) -

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Questerre Energy Corporation ("Questerre" or the "Company") (TSX:QEC)(OSLO:QEC) updated operations for the St. Francois du Lac and St. Louis de Richelieu horizontal wells on the Yamaska permits in the St. Lawrence Lowlands, Quebec.

Operated by its partner, both horizontal wells were successfully frac'd. Frac operations went according to plan and on schedule. On initial flow back the wells have co-produced burnable gas and frac fluids at varying rates.

The frac plugs were only just recently drilled out with minor operational delays. Tubing has been run in the hole to complete the well for long term production testing which will also assist in lifting the frac fluids for final clean up of the wells. We anticipate it will take several weeks for final clean up of the wells and determination of a final stabilized production rate equivalent to a '30-day rate'.

Michael Binnion, President and Chief Executive Officer of Questerre, commented, "These are the two first horizontal wells in the Lowlands and are another step in a multi-well pilot program to evaluate the commerciality of the Quebec shale plays. They represent a critical step in our technical understanding of the Quebec shales and we are obviously pleased with how well the frac operations were carried out. "

Cro Insiders Loaded Up In December

- This company has connections to very well funded mining operations through decades of experience. I believe Mr. Tyler when he says they are speaking with 5 strategic partners for completion of there project through joint ventures. Joint venture speculation could drive our sp into a frenzy.

- The drill program which comprised our 253 million dollar property is open at depth and further drilling could significantly increase the resource. Some of our strongest results were on outer edges of the drill zone. De-watering of the 2500 meter mine shaft will allow them to get at these areas. The intersection I speak of is the 7% nickel over 5 meters that intersection comes from the end of the drill core. Further exploration could offer up amazing results. 0 summer 2008 drill results out, any significant finds in mine ready atikocan or kenora/dryden properties will lift stock.

- The company has contractual agreements with Opiwica explorations (OPW) on the TSX.V to mill there major gold and copper find with in close proximity of Canadian Arrows Planned site. Mining could begin on both projects in early 2010. This represents earnings and is a good partnership for a company seeking to be the next significant Nickel Copper producer in Canada.

- Canadian Arrow has the ability to produce nickel in its mine at 3.47 per pound nickel. That kind of number is unheard of in comparison to other mines. With production scheduled for early 2010 (around the same time our economy should be significantly rebounding) what if nickel prices return back to 15 dollars per pound? This site will look like a gem to any investor! (plus the property would be worth about 400mil at 15 dollars per pound nickel.

This is just a few of the key points that I believe make this company look attractive. If my predictions are correct we will see a significant rebound to normal multiples over the course of the next couple of months and with any significant news pertaining to my points and our sp and volume will be sent soaring. JV with cash on the books and abilitiy to help put project into production will send our sp back to .50 if not higher! I am Bull on Canadian Arrow mines.

Source

Review This .pdf 12 page report:

http://www.chfir.com/CRO_Valuation/CRO_ValuationReport.pdf