AGM Documents 3

Yoho Resources Inc. Announces Financial and Operating Results for the Third 2010 Fiscal Quarter and Provides Operational Update

Calgary, Alberta - August 25, 2010 - Yoho Resources Inc. (“Yoho” or the “Company”) filed today the
interim unaudited consolidated financial statements for the nine months ended June 30, 2010 and
related Management’s Discussion and Analysis on


  • Production for the three months ended June 30, 2010 was 2,270 boe per day, consistent with the
    2,200 boe per day for the three months ended March 31, 2010. The increase in natural gas
    production due to drilling success was offset by production shut-in due to facility turnarounds in
    the current quarter.

  • On June 30, 2010, the Company closed its acquisition of Canoil Inc. for a total acquisition cost of
    approximately $21.3 million, funded through the issuance of 6.9 million common shares and $6.0
    million cash. Included in the acquisition was approximately $1.7 million of cash and positive
    working capital. Production and operations from the Canoil acquisition will be included in Yoho’s
    results commencing with the fourth quarter of fiscal 2010.

  • Net exploration and development expenditures for the first nine months of fiscal 2010 were $13.1
    million with 13 (7.1 net) gas wells drilled.

  • Generated funds from operations for Q3 2010 of $3.1 million ($0.12 per share diluted).

  • Maintained a flexible balance sheet with total net debt of $17.2 million at June 30, 2010 with a
    bank credit facility of $32 million.


In the quarter ended June 30, 2010 Yoho generated funds from operations of $3.1 million, with a
realized natural gas wellhead price of $4.15 per mcf. On a per share basis, funds from operations for
the quarter were $0.12 basic and diluted. With the continued volatility in commodity prices, the activity
levels for the balance of fiscal 2010 will be closely monitored to match capital expenditures with
expected cash flow.

Canoil Inc. Acquisition

On May 26, 2010, the Company entered into an agreement pursuant to which it made an offer to
acquire all of the issued and outstanding common shares of Canoil Inc. (“Canoil”) on the basis of
0.3536 of a common share of Yoho or $0.85 cash (to a maximum of $6 million) for each common share
of Canoil or a combination thereof.

On June 30, 2010, the Company closed its acquisition of Canoil for a total acquisition cost of
approximately $21.3 million, funded through the payment of $6.0 million cash and the issuance of 6.9
million common shares, calculated based on an adjusted volume weighted average trading price of the
shares around the date of the announcement of $2.20 per share. As part of the acquisition, Yoho
received approximately $1.7 million of cash and positive working capital. Production and operations
from the Canoil acquisition will be included in Yoho’s results commencing with the fourth quarter of
fiscal 2010. A total of 27,000 net acres of undeveloped land was also acquired.


Yoho has drilled five (2.9 net) wells from break-up to date and operations are currently ongoing on one
additional well.

At Kaybob, the Company operated the drilling of four wells, two of which were horizontal wells and two
of which were vertical. The first vertical well at Kaybob was drilled, cased, and completed in the
Gething formation and is currently being tied in. Initial stabilized production rates are expected to be
approximately 125 boe per day of natural gas and liquids net to Yoho. Yoho’s working interest in this
well is 94%.

The second vertical well at Kaybob was drilled, cased, and completed successfully in both the
Notikewin and Viking formations. Yoho holds a 37.5% working interest in this well which is also
currently being tied in, with initial gross production rates expected to be 250 boe per day of natural gas
and liquids (94 boe per day net).

Yoho drilled a short leg horizontal well, which was completed with a three stage frac treatment targeting
natural gas and liquids from the Cardium formation. Although initial results have not established
economic flow rates, the well demonstrates good pressures and further completion work is underway.
Yoho’s working interest in this well is 45%.

The second horizontal well drilled at Kaybob was at a 60% working interest and targeted natural gas
and liquids in the Notikewin formation. The well was drilled with an 800 metre horizontal section and
was completed with a nine stage sand frac. Initial production test rates from the well were 4.0 Mmcf per
day at flowing pressures of 4,250 kpa with associated liquids production. This well is also currently
being tied in with expected initial gross production of 500 boe per day (300 boe per day net to Yoho).

At McLeod, Yoho operated the drilling of a 50% working interest vertical well targeting natural gas and
liquids from the Ostracod formation. The well was cased with very positive log indications and
completion operations are currently underway. Upon success, a horizontal well is planned in fiscal

Also at Kaybob, Yoho is currently participating in the drilling and completion of a 5,100 metre horizontal
Duvernay shale test. The operator of the well expects to complete the drilling and testing of this well in
September 2010. Yoho currently holds a one-third working interest in 28 sections of Duvernay rights at
Kaybob immediately offsetting lands where industry spent $336.7 million to acquire 125,440 acres of
land at an average price of $2,685 per acre at the July 7, 2010 Alberta Crown land sale.

With the successful results from recent drilling, Yoho expects to exit the 2010 fiscal year with production
between 2,900 and 3,000 boe per day.


Yoho has several drilling projects that will be carried out over the remainder of the calendar year.

At Sweeney in North West Alberta, Yoho plans to drill up to three short leg horizontal wells in the
recently acquired Sweeny Baldonnal oil pool at a 40% working interest.

Yoho is also preparing to drill a 2,100 metre horizontal Halfway oil test in the Peace River Arch area of
North West Alberta at a 100% working interest. The horizontal technology in this project is designed to
access better parts of very heterogeneous reservoir quality within the Halfway formation. Vertical wells
in this area have had cumulative production volumes ranging from 10,000 to 200,000 barrels of oil per
well (as per recent public data), illustrating the high degree of variability within the Halfway in this area.

In North East British Columbia, the Company will re-enter a standing well bore and drill horizontally
from this well into the Montney formation and will complete the well with a multistage fracture treatment.
Yoho’s working interest in this project is 100%.

Yoho is currently preparing for the 2010-2011 winter drilling program which includes a variety of
different projects, including a horizontal well targeting an over-pressured Jean Marie formation at Mike,
British Columbia. This well location is offset by two vertical Jean Marie gas producers drilled by Yoho.
Production from one of the vertical wells has been monitored for three years, which has produced 500
Mmcf of gas to date and has an extremely low production decline. Yoho has assembled 22,000
(18,700 net) acres of land surrounding the existing vertical wellbores. The Company’s working interest
in this project is approximately 85%.

Fiscal 2011 Business Plan

Yoho will release its fiscal 2011 budget plans contingent upon results from the Kaybob Duvernay test
well, which may have a substantial impact on the go forward plans for the Company.

Cautionary Statements

Forward-looking information and statements

This news release contains certain forward–looking information and statements within the meaning of
applicable securities laws. The use of any of the words "expect", "anticipate", "continue", "estimate",
"may", "will", "project", "should", "believe", “schedule”, "plans", "intends" and similar expressions are
intended to identify forward-looking information or statements. In particular, but without limiting the
forgoing, this news release contains forward-looking information and statements pertaining to the
following: the volumes and estimated value of Yoho's oil and gas reserves; the life of Yoho's reserves;
resource estimates; the volume and product mix of Yoho's oil and gas production; future oil and natural
gas prices and Yoho's commodity risk management programs; future liquidity and financial capacity;
future results from operations and operating metrics; future costs, expenses and royalty rates; future
interest costs; the exchange rate between the $US and $Cdn; future development, exploration,
acquisition and development activities and related capital expenditures; the number of wells to be
drilled and completed; the amount and timing of capital projects; operating costs; the total future capital
associated with development of reserves and resources; and forecast reductions in operating

The recovery, reserve and resources estimates of Yoho's reserves and resources provided herein are
estimates only and there is no guarantee that the estimated reserves or resources with be recovered. In
addition, forward-looking statements or information are based on a number of material factors,
expectations or assumptions of Yoho which have been used to develop such statements and
information but which may prove to be incorrect. Although Yoho believes that the expectations reflected
in such forward-looking statements or information are reasonable, undue reliance should not be placed
on forward-looking statements because Yoho can give no assurance that such expectations will prove
to be correct. In addition to other factors and assumptions which may be identified herein, assumptions
have been made regarding, among other things: the impact of increasing competition; the general
stability of the economic and political environment in which Yoho operates; the timely receipt of any
required regulatory approvals; the ability of Yoho to obtain qualified staff, equipment and services in a
timely and cost efficient manner; drilling results; the ability of the operator of the projects in which Yoho
has an interest in to operate the field in a safe, efficient and effective manner; the ability of Yoho to
obtain financing on acceptable terms; field production rates and decline rates; the ability to replace and
expand oil and natural gas reserves through acquisition, development and exploration; the timing and
cost of pipeline, storage and facility construction and expansion and the ability of Yoho to secure
adequate product transportation; future commodity prices; currency, exchange and interest rates;
regulatory framework regarding royalties, taxes and environmental matters in the jurisdictions in which
Yoho operates; and the ability of Yoho to successfully market its oil and natural gas products.

The forward-looking information and statements included in this news release are not guarantees of
future performance and should not be unduly relied upon. Such information and statements; including
the assumptions made in respect thereof, involve known and unknown risks, uncertainties and other
factors that may cause actual results or events to defer materially from those anticipated in such
forward-looking information or statements including, without limitation: changes in commodity prices;
changes in the demand for or supply of Yoho's products; unanticipated operating results or production
declines; changes in tax or environmental laws, royalty rates or other regulatory matters; changes in
development plans of Yoho or by third party operators of Yoho's properties, increased debt levels or
debt service requirements; inaccurate estimation of Yoho's oil and gas reserve and resource volumes;
limited, unfavourable or a lack of access to capital markets; increased costs; a lack of inadequate
insurance coverage; the impact of competitors; and certain other risks detailed from time-to-time in
Yoho's public disclosure documents, (including, without limitation, those risks identified in this news
release and Yoho's Annual Information Form).

The forward-looking information and statements contained in this news release speak only as of the
date of this news release, and Yoho does not assume any obligation to publicly update or revise any of
the included forward-looking statements or information, whether as a result of new information, future
events or otherwise, except as may be required by applicable securities laws.

Yoho Resources Inc. is a Calgary based junior oil and natural gas company with operations focusing in
northeast British Columbia, West Central Alberta and the Peace River Arch of Alberta. The common
shares of Yoho are listed on the TSX Venture Exchange under the symbol “YO”.

This press release shall not constitute an offer to sell or a solicitation of an offer to buy the securities in
any jurisdiction. The common shares of Yoho will not be and have not been registered under the
United States Securities Act of 1933, as amended, and may not be offered or sold in the United States,
or to a U.S. person, absent registration or applicable exemption therefrom.

For more information please contact:

Wendy S. Woolsey, CA
Vice President, Finance and CFO
Yoho Resources Inc.
Phone: (403) 537-1771

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the
TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.