CXZ Canext Energy Ltd

Canext Energy Ltd. ("Canext" or the "Company") (TSX VENTURE:CXZ) is pleased to
announce its operating and financial results for the three months ended March
31, 2008.


Highlights:

- Production averaged 1,096 boepd up 4% from the fourth quarter and 230% from
the first quarter last year,


- Production per share increased 23% from the same period last year,

- Cash flow increased 262% (cash flow per share 39%) from the same period last year,

- Operating netback increased 6% to $28.90/boe,

- General and administrative costs declined 43% to $4.19/boe,

- Announced the discovery of a large light oil pool at Clear Prairie,

- Completed and tested additional gas at Clear Prairie and Clear Hills,

- Undeveloped land increased to 105,783 net acres up 248% from the same period
last year.


The following table summarizes some of the key financial results. Complete
financial statements with accompanying notes along with management's discussion
and analysis have been filed on SEDAR ( www.sedar.com ).




                                    Three Months Ended
                              March 31, 2008  March 31, 2007      % Change
----------------------------------------------------------------------------

Production (boe/d)                     1,096             332           230%
Production per mm shares                14.4            11.7            23%

Highlights ($000's)
Revenue                                5,385           1,442           273%
Cash flow                              2,342             647           262%
Net earnings/(loss)                     (784)           (249)          215%
Capital spending                       2,956           4,931           (40%)

Per Diluted Common Share
Cash flow                               0.03            0.02            39%
Net earnings/(loss)                    (0.01)          (0.01)           14%

Balance Sheet at period end
(000's)
Property, plant and
 equipment                            60,194          20,800           189%
Working capital deficiency             1,168             803            45%
Bank debt                              9,695               0
Shareholders' equity                  47,657          19,866           140%

Wt average shares 000's               76,294          28,389           169%

Revenue $/boe                          53.99           48.26            12%
Royalty $/boe                         (10.96)         (11.94)           (8%)
Opcost $/boe                          (13.74)          (9.05)           52%
Transportation $/boe                   (0.39)          (0.05)          680%
Operating Netback $/boe                28.90           27.22             6%
G&A $/boe                              (4.19)          (7.40)          (43%)



Production

First quarter production growth was hampered by a plant fire on February 13,
2008 at a third party gas processing facility at Boundary Lake South.
Approximately 75 boepd (7%) of the Company's production was offline plus 30 - 40
boepd of anticipated production adds. The plant was brought back on line May 10,
2008. During the quarter, the Company was successful in bringing a new light oil
discovery (announced March 13 and March 17, 2008) on-stream at Clear Prairie.
Subsequent to the quarter the well was shut-in for spring break-up and is
anticipated to re-start early June. Based on the down time for Clear Prairie and
the delayed start-up for the Boundary Lake South plant, the Company expects
second quarter production to be flat to the first quarter. Production growth is
forecasted for the second half of the year as the Company's summer drilling and
re-completion program gears up and all production is back on-stream.


Property Dispositions

The Company had planned to sell up to 500 boepd of non core properties.
Subsequent to the end of the quarter, the Company received multiple bids for
these properties. Based on strengthening commodity prices, the majority of the
bids were rejected. However, the Company has agreed to sell its Retlaw and Hines
Creek assets. The sale is conditional on the purchaser arranging the necessary
financing with closing estimated by June 30, 2008. Assuming this sale closes,
and combined with three other minor property sales in various stages of closing,
Canext expects proceeds of approximately $6,800,000. Current production from
these assets is approximately 220 boepd with Proven reserves of 170 mstb and
Proven plus Probable (P+P) reserves of 350 mstboe. The Future Development
Capital ("FDC") will drop by $402,000 after giving effect to these dispositions.
Therefore, the Company is selling production for $30,900/boepd, $40.05/boe
Proven or $19.45/boe P+P ($20.61/boe P+P incl change in FDC).


2008 Capital Program

Canext has approved a capital budget of $16,000,000 for the full year. The
program includes the drilling of 15 (9.3 net) wells and recompletion of three
(1.5 net) wells. The majority of the budget will be spent on development
drilling and completion opportunities which have a higher probability of adding
immediate production.


At Pouce Coupe the Company is planning to drill two (0.75 net) horizontal wells.
One well will be a horizontal re-entry targeting the lower Montney. The second
well will be drilled from surface and will target the Upper Montney and Doig
zones. Both wells are expected to be completed with multiple fracs to maximize
the initial rate and ultimate recovery. The Company is also planning two (1.1
net) vertical wells at Pouce Coupe to extend the Montney trend. Assuming all of
Canext's land at Pouce Coupe is prospective for Montney gas, the Company has an
inventory of 21 net horizontal wells at two horizontals per section.
Accordingly, based on natural gas prices and available capital, the Company may
drill additional wells in the fall.


Canext is planning four (3 net) gas wells at Birch. Drilling and completion
activities will start in June with production anticipated by mid summer. The
Company has an inventory of 13 (9 net) natural gas opportunities at Birch. Most
of these wells have multiple targets which can be commingled resulting in faster
payouts. Based on natural gas prices and available capital Canext may add a
second round of drilling at Birch in the fall.


Canext is planning three (1.8 net) wells for the balance of the year on its
light oil pool discovery at Clear Prairie. Two (1.2 net) of the wells will be
drilled as step outs from the same surface pad of the discovery well. The
Company has applied to amend the surface lease to allow for two additional wells
and construct an all season access road. Approval is expected shortly and the
work is forecasted to commence in the third quarter. Canext is also planning a
twelve square mile 3D seismic program to help define the development and step
out drilling program for 2009. Based on current mapping the Company believes it
has 20-30 potential locations on this light oil pool.


The capital budget will be funded by cash flow of $9,500,000, proceeds from
property dispositions, bank debt, and possible equity financings.


Outlook

Several companies have recently shown considerable interest in the Montney-Doig
resource play at Pouce Coupe. Horizontal wells are being drilled in the Upper
Montney-Doig by Birchcliff and in the Lower Montney by Encana. Down spacing
offsetting Canext's land has been applied for by Encana (12 wells per section
Lower Montney), Talisman (8 wells per section Lower Montney), CNRL (4 wells per
section Lower Montney) and Birchcliff (4 wells per section Upper Montney). Based
on tests to date and well logs from approximately 50 wells drilled through
Canext's acreage, the majority of the Company's land is mapped as being
prospective for Doig, Upper and Lower Montney. The stacked pay zones should lead
to higher overall recovery and better economics.


The Company is well positioned for future growth balanced between light oil at
Clear Prairie and natural gas on the Montney-Doig resource play at Pouce Coupe.
In addition, the large undeveloped land base along with the strong inventory of
exploration prospects provides a framework for continued growth.


The Company has placed an updated presentation on its website.

Reader advisory:

The term "BOE" may be misleading, particularly if used in isolation. In
accordance with NI 51-101, a BOE conversion ratio for natural gas of 6 mscf: 1
bbl has been used which is based on an energy equivalency conversion method
primarily applicable at the burner tip and does not represent a value
equivalency at the wellhead.


Investors are cautioned that the preceding statement of the Company may include
certain estimates, assumptions and other forward-looking information. The actual
future performance, developments and/or results of the Company may differ
materially from any or all of the forward-looking statements, which include
current expectations, estimates and projections, in all or part attributable to
general economic conditions and other risks, uncertainties and circumstances
partly or totally outside the control of the Company, including natural gas/oil
prices, reserve estimates, drilling risks, future production of gas and oil,
rates of inflation, changes in future costs and expenses related to the
activities involving the exploration, development and production of gas and oil
hedging, financing availability and other risks related to financial activities.

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