Jan 10, 2010

The TSX has informed the company that the minimum price it can finance at is $0.05. With this being the case the company may be forced to seek a partner or other forms of financing.

Peter Brown, President

ON BEHALF OF THE BOARD OF DIRECTORS


"Peter C. Brown"
Peter C .Brown
President-CEO-Chairman

In other words, we pissed away all the dough you've invested so far............hic

Apr 13, 2010

President's Message

Since the last President's message a number of key events have occurred within Montello. Additionally, the company has been affected by the actions or lack of the same of its partners.

Financial Reporting

I am sure you are all aware that the company is currently cease traded due to the Company's inability to file its annual financials in a timely manner.

The main reason being the decisions by the company to completely overhaul the internal financial recording and reporting process including the change of auditor. During this process the Company has experienced delays from various sources in obtaining certain financial information related to the July 2009 fiscal year. Thankfully, at this time, all material financial information has been obtained and recorded. The Company's auditors are now finalizing their field work and are getting closer to completing the audit.

I can assure you that as much as this must have been and remains frustrating to the majority of you, it is even more so for the board and the company's officers. Needless to say, the decision to overhaul was not taken lightly. If this company was going to be in a position to refinance and to become a viable entity these steps were necessary.

I am pleased to report that we are now in the final throws of preparation prior to filing and an announcement will be made soon.

Oil and Gas Operations

In terms of our Tennessee property, we have renewed the necessary leases and completed our work at Morgan Highpoint #3 with the view that a large frac program was needed in the 500-foot open hole section. No work will be done until the company has filed its financials and raised the necessary funds to complete this operation.

Regarding Pincher Creek, as stated in the previous President's Message, Pennine filed a Statement of Defense and since that date we have been in contact with their counsel.

Although their legal representatives have stated a desire to resolve or settle the legal issues between us they have failed to perform the simple novation under CAPL that they are obliged to do and had indeed promised to do. Therefore, Montello has been left with no option other than to file a legal motion to force Pennine to novate Montello's interest and to have Pennine removed as operator.

The landowners have informed us that they are willing to allow Montello to operate on their lands but are wary of Pennine and its potential partners or purchasers. Montello has made countless approaches to Pennine to have them clarify the situation regarding the reported sale of their assets, but to no avail. Montello remains wary and skeptical of potential insider dealings and has asked for full transparency, again to no avail.

Going Forward

Upon completion of the audit and the subsequent filing of the same, Montello intends to help to take control of the situation in Pincher Creek, restructure and finance the company and proceed to develop and add to its core areas.

The Company is currently reviewing various financing options including the sale of a portion of its interest in Pincher Creek. The Company will announce full details upon completion of any financing initiatives.

Montello will disseminate a detailed news release with a date set for the AGM immediately after the filing of its financials.

ON BEHALF OF THE BOARD OF DIRECTORS

"Peter C. Brown"
Peter C .Brown
President-CEO-Chairman