Eternal Energy Corp. Announces Successful Drilling of a Second Development Well in the Hardy Field (Bakken Formation), Southeast Saskatchewan

LITTLETON, Colo., June 8, 2011 /PRNewswire/ -- Eternal Energy Corp. (OTC Bulletin Board: EERG) ("Eternal Energy" or the "Company") is pleased to announce that it has successfully completed drilling and casing its Hardy S 1A4-16-4B4-9-04-21W2 well (the "Hardy 4-16 well") ahead of schedule.  The Bakken formation well was drilled to a depth of approximately 3,504 meters and extended horizontally for approximately 1,320  meters, and is located approximately one-half mile west of Eternal Energy's current Hardy 7-9 producing well (owned equally with its proposed merger partner, American Eagle Energy Inc.) in southeastern Saskatchewan.  The initial drilling was completed in 18 days instead of 21 days, as originally expected.  The Company expects to complete a 29-stage fracture stimulation of the well later this month.  

Eternal Energy, American Eagle Energy Inc. and Passport Energy Ltd. are working interest partners in the Hardy 4-16 well.  Pursuant to the previously announced farm-out agreement among the three companies, Eternal Energy and American Eagle Energy Inc. will each maintain a 37.5% working interest in the new well, but each will only pay 30.75% of the drilling, completing and equipping costs.  The remaining drilling, completing, and equipping costs will be paid by Passport Energy Ltd., which will earn a 25% working interest in the well.  The Hardy 4-16 well represents the initial earning well for the farm-out agreement among the three companies.  

"We are excited to announce that we have successfully completed the drilling of the Hardy 4-16 well ahead of schedule and under budget," stated Brad Colby, the Company's Chief Executive Officer and President.  "The completion of the first offset well in the Hardy Field is an important milestone in our drilling program and a significant step forward in our plan to increase our revenues through development of our significant Bakken acreage in the Williston Basin."

About Eternal Energy Corp.:

Eternal Energy Corp. is an oil and gas company engaged in the exploration of petroleum and natural gas.  The company was incorporated in Nevada on July 25, 2003 to engage in the acquisition, exploration, and development of natural resource properties.

The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for forward-looking statements.  Certain information included in this press release contains statements that are forward-looking, such as statements relating to the future anticipated direction of the Company, plans for future expansion, various business development activities, planned capital expenditures, future funding sources, anticipated sales growth, potential contracts, and/or aspects of litigation.  Such forward-looking information involves important risks and uncertainties that could significantly affect anticipated results in the future, and, accordingly, such results may differ from those expressed in any forward-looking statements made by, or on behalf of, Eternal Energy Corp.  These risks and uncertainties include, but are not limited to, those relating to development and expansion activities, dependence on existing management, financing activities, and domestic and global economic conditions.  Persons are encouraged to read our Annual Report on Form 10-K for the year ended December 31, 2010, our Quarterly Report on Form 10-Q for the three-month period ended March 31, 2011, and our other documents subsequently filed with the Securities and Exchange Commission for meaningful cautionary language in respect of forward-looking statements in this press release.  Interested persons are able to obtain free copies of filings containing information about the Company at the SEC's internet site (http://www.sec.gov). The Company assumes no obligation to update any of these forward-looking statements.

SOURCE Eternal Energy Corp.