News

XEMPLAR REPORTS DRILL PROGRESS FROM WARMBAD URANIUM PROJECT

Vancouver, December 18th, 2007 - Xemplar Energy Corp (TSX-Venture: XE, Frankfurt: E7R, Namibia: XEM) (“Xemplar” or the “Company”) is pleased to provide an update on its activities at its wholly owned uranium project at Warmbad in Namibia. As previously announced the company believes it has effectively discovered a new uranium province in the Warmbad area, with the identification and delineation of over 14 large mineralized alaskitic bodies that outcrop in an area of approximately 40 kilometres by 28 kilometres.

Drilling Progress - Warmbad

The company is currently using three drill rigs on the Warmbad uranium project. One of these rigs is a diamond drill rig and the remaining two are reverse circulation (RC) drilling rigs. This will be increased to five rigs by the middle of January when two more RC drilling rigs will be delivered. The current exploration strategy adopted by the company entails the “grid” drilling of each alaskite body to a depth of 200 metres. This will entail the drilling of between 10 and 15 vertical holes on each body. The company views this drilling program as a preliminary evaluation of each Alaskite. All of the holes will be assayed and logged using a spectral gamma logger. As previously mentioned all samples will be sent to Johannesburg for analysis.

To date, ten RC holes have been drilled and three diamond drill holes. All holes have encountered alaskite and secondary uranium mineralisation. This mineralisation is in the form of uranophane. To date, drilling has been confined to two alaskite bodies, Big Yellow and Gaobis. These are outcropping, uranium-bearing, coarse-grained, white graphic alaskites. Samples from all holes have been dispatched to Set Point Labs in Johannesburg and results are expected shortly. Set Point Laboratories is an ISO 17025-accredited laboratory. Each hole has also been logged using a spectral gamma logger and mineralised zones have been identified. These Mount Sopris Spectral Gamma logging units have been calibrated at the Pelindaba calibration facility near Pretoria in South Africa. This facility contains two borehole test sites of known uranium and thorium content. Having had the units calibrated at Pelindaba will enable the company to report equivalent uranium (eU) and thorium (eTh) grades from its exploratory drill holes.

Equivalent uranium (eU) values have been calculated for the holes drilled to date; however these will only be reported once they have been compared to the first batch of assay values.

The Alaskite body, Big Yellow has a strike length of over 3 kilometres and an outcrop width in excess of 300 metres. The Alaskite Gaobis has a length of approximately 4 kilometres and an outcrop width in excess of 800 metres.

The drilling operations at Warmbad are under the supervision of Ralf Wartha, project geologist. Drilling results obtained to date are shown in the following table:

Table 1 - Warmbad Drill Results

Note: To date only alaskite and biotite gneiss have been intersected in all holes.

Fieldwork

Ground “truthing” and field sampling of airborne radiometric targets will continue in 2008. The company is currently carrying out ground work on the Aluriesfontein Alaskite. The discovery of this body was previously reported in the company press release in Stockwatch dated July 16, 2007. This body was discovered on the farm Aluriesfontein 308 and appears to resemble an uraniferous alaskitic batholith. Originally this body was thought to have a surface area of approximately four square kilometres; however recent field mapping in the area has increased the mineralised surface area of this body to some 16 square kilometres. The rock type at Aluriesfontein is identical to the alaskites found in the southern portion of the licence area. At this point, the depth extent of the Aluriesfontein body remains open.

Financial Position

Xemplar has over $ 9 - million in cash which is invested in short-term deposits. As a result, the company is well positioned to enable it to advance its exploration projects in Namibia.

Granting of Stock Option

Xemplar has granted incentive stock options to certain directors and consultants to purchase 4,000,000 common shares in the capital stock of the company, exercisable for a period of five years at a price of $6.50 per share.

Mike Magrum, P.Eng., a qualified person under National Instrument 43-101, has approved the technical content of this news release.

On behalf of the Board of Directors,
Xemplar Energy Corp

“W.G. McDowall”
President and CEO

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