NEWS

June 23, 2008

EERG Sells PNG Acreages

LITTLETON, Colo., June 23 /PRNewswire-FirstCall/ -- Eternal Energy Corp. announced today that it has sold its 50% working interest in 5,950.80 net acres of oil and gas leases on lands in Eastern Utah and Western Colorado to Roadrunner Oil & Gas, Inc. (USA). The acreage was previously acquired during December 2007 and throughout the first quarter of 2008 for the purpose of exploration and development. In connection with the sale, the Company retains an overriding royalty on production from the properties at a rate which is equal to the difference between existing burdens of record at the time of acquisition and 80%. The Company will also receive an overriding royalty, calculated in the same manner, on any additional oil and gas leases acquired by Roadrunner Oil & Gas, Inc. (USA) in an area of mutual interest covering approximately 2,765,000 acres in Eastern Utah and approximately 806,000 acres in Western Colorado. The term of the area of mutual interest is seven years.


Proceeds from the sale of this acreage totalled $1,190,160 (US$), which will be used to bolster the Company's working capital position as well as to fund additional exploration and development activities. The sale is in accordance with the company's overall strategy of increasing shareholder value without dilution.


Additional Override Position Obtained:


The Company also announced that it has acquired a 5% overriding royalty in petroleum and natural gas licenses covering 45,980 gross and net acres located in Southeastern Saskatchewan, Canada, in conjunction with Ryland Oil Corporation. This increases EERG's overriding royalty position on RYD's Canadian holdings to 345,212 acres. Additional drilling activities associated with the existing and newly acquired overriding royalties are expected to commence in July 2008.


Chief Financial Officer Named:


In addition, the Company announced that it has hired Kirk Stingley to serve as the company's Chief Financial Officer, effective June 2, 2008. Mr. Stingley will be responsible for overseeing all of the company's financial reporting, treasury, investor relations and regulatory compliance activities.


Mr. Stingley brings 20 years of diverse financial and accounting leadership experience to the Company. Prior to joining Eternal Energy Corp., Mr. Stingley was employed by Sports Authority, where he served as the Director of Internal Audit and, most recently, as Director of Online Operations. Mr. Stingley began his career with Coopers & Lybrand in Houston, Texas, where he provided auditing and consulting services to a number of private and publicly traded companies whose principle activities involved the exploration, development and operation of oil and gas properties. Mr. Stingley successfully earned his Certified Public Accounting distinction in 1990 and has held licenses in both Texas and Colorado.


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 industry, 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.
Eternal Energy Corp.


CONTACT: Jamie Kelley, Investor Relations of Eternal Energy Corp., +1-604-730-2776