(Market Wire Via Thomson Dialog NewsEdge) HALIFAX, NOVA SCOTIA, January 14 / MARKET WIRE/ --

Corridor Resources Inc. (TSX: CDH) reported today that under-balanced drilling operations at the McCully E-67 well have been terminated in favour of completing the drilling of the well using a conventional over-balanced drilling fluid. While drilling with an under-balanced drilling fluid, the E-67 well encountered a section of highly fractured and faulted shale in the upper 150 m of the Frederick Brook formation at a depth of approximately 2630 meters. Following two failed attempts to drill through the highly fractured shale section, it was concluded that the instability of the well-bore would prevent further deepening of the well using an under-balanced drilling process. Only minor gas flow was recorded while drilling under-balanced through the fractured Frederick Brook section, indicating that the fractured shale was incapable of significant rates of gas production in this well. Corridor has plugged back the well with cement into the shoe of the 9-5/8" casing and has reverted to an over-balanced mud system in an attempt to drill through the unstable hole section in the upper Frederick Brook shale formation. Corridor's objective is to penetrate and evaluate the deeper dolomitic shale section encountered in the Frederick Brook formation near the bottom of the F-58 well where higher formation pressures and significant gas shows were encountered in early February, 2007. Corridor also plans to drill the E-67 well to a total depth of approximately 4500 meters in an attempt to reach and evaluate the sandstone reservoirs of the Dawson Settlement formation. Results from an evaluation of this deeper section of the E-67 well are expected to be available towards the end of February, 2008. Potash Corporation of Saskatchewan is a joint venture partner with Corridor in the E-67 well.

Other Activities

Corridor is currently drilling the McCully K-48 well (please refer to the map below) and has just set the 9-5/8" intermediate casing at a depth of 1548 m. Corridor plans to drill and evaluate the Hiram Brook formation at this location, with results expected to be available in February, 2008.

The map of "McCully Drilling Program" is available at the following address: http://www.ccnmatthews.com/docs/map_corridor.jpg

Gross McCully natural gas production for the month of December averaged approximately 30 mmcf/day (20 mmcf/day net to Corridor).

An additional update, including frac and flow test results for wells at McCully and New Harmony (PEI), will be provided later this month, as well the 2008 drilling plans, production forecast and operating budget.

Retirement

Corridor also announced today the retirement of Paul J. Hopkins as Vice President and a director of the Corporation, effective January 18, 2008. Paul is one of the founders of the Corporation and has made considerable contributions to its growth and development. The Board of Directors expresses gratitude to Paul for his contributions, and extends best wishes for his retirement.

The strategic hiring of key managers over the past two years has ensured an effective transition of operational management. Larry Huskins will continue to be responsible for the implementation of the Corporation's drilling and well completion operations and Doug Bailey will continue to manage all of the Corporation's field construction and production operations in New Brunswick. Dena Murphy will continue to manage all of the Corporation's matters relating to health, safety and the environment.

Corridor Resources Inc. is a Halifax, Nova Scotia based company focused on exploring and developing natural gas resources in the McCully Field and surrounding areas of southern New Brunswick. The Company has completed construction of a field gathering system, a gas plant, and a pipeline lateral connecting the McCully Field to markets through the Maritimes & Northeast Pipeline (M&NP). The Company initiated natural gas production to M&NP on June 28, 2007 and has a continuous development drilling program underway to add reserves and production capacity as field development expands. Corridor also has a number of potentially high impact exploration projects planned in New Brunswick and elsewhere in eastern Canada.

Forward Looking Statements

This press release contains certain forward looking statements relating to, but not limited to, Corridor's operations, anticipated financial performance, business prospects and strategies, including expectations relating to production levels; capital expenditure programs; the quantity of natural gas reserves; projections of market prices; projections of costs; supply and demand for natural gas; expectations regarding the ability to raise capital and to continually add to reserves through exploration and development; and treatment under governmental regulatory regimes. These statements are based on current expectations that involve numerous assumptions regarding factors and risks that could cause actual results to vary materially, including, without limitation to, the following factors: risks associated with oil and gas exploration, financial risks, substantial capital requirements, bank financing, government regulation, environmental, prices, markets and marketing, dependence on key personnel, dependence on Potash Corporation of Saskatchewan, Inc., availability of drilling equipment and access, risks may not be insurable, management of growth, expiration of licenses and leases, reserves estimates, seasonality, competition, conflicts of interest, issuance of debt, title to properties and hedging. There is no representation by Corridor that actual results achieved will be the same in whole or in part as those set out in the forward looking information. Furthermore, the forward looking statements contained in this press release are made as of the date hereof, and Corridor undertakes no obligation, except as required by applicable securities legislation, to update publicly or to revise any of the included forward looking statements, whether as a result of new information, future events or otherwise.

Contacts:
Corridor Resources Inc
Norman W. Miller, President
902-429-4511
902-429-0209 (FAX)www.corridor.ca

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