Sabretooth Energy Provides Operational and Financial Update; COMPANY INCREASES PRODUCTION, CASES ADDITIONAL GEORGE WELL AND COMMENTS ON SHORT-TERM INVESTMENTS AND HEDGING

Abstract

Sabretooth inherited $24.2 million in asset backed securities, which are rated as AAA, R1-High by Dominion Bond Rating Service, as part of the corporate assets of Bear Ridge Resources Inc. ("Bear Ridge"). The asset backed commercial securities were purchased by Bear Ridge Resources prior to the Sabretooth acquisition of Bear Ridge. A liquid market for these securities does not currently exist. Sabretooth does not expect that the absence of the liquid market will have any material adverse effect on the Company.