CALGARY, ALBERTA--(Marketwire - Jan. 12, 2009) -

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

CANADIAN PHOENIX RESOURCES CORP. ("Canadian Phoenix" or the "Corporation") (TSX VENTURE:CPH) - The third quarter of 2008 saw the culmination of months of negotiations and administrative processes with Canadian Phoenix completing the acquisition of investment interests in both Serrano Energy Ltd. ("Serrano") (50.01%) and Marble Point Energy Ltd. ("Marble Point") (56.51%). The consolidated third quarter results reflect the inclusion of Serrano's operations as of the date of acquisition to the end of the quarter and investment income from Marble Point for the 11 day period following the completion of the transaction. The investment in Serrano closed on August 20, 2008 with Canadian Phoenix acquiring 11 million common shares on that date and another 50,000 common shares prior to the end of the quarter. On September 19, 2008 Canadian Phoenix closed transactions to complete the investment in Marble Point through the purchase of 90 million shares of Marble Point common equity and the provision of a $41.5 million loan. Under Canadian Generally Accepted Accounting Principles ("GAAP"), Canadian Phoenix was able to consolidate Serrano's operations, however GAAP precluded the consolidation of Marble Point's results due to certain conditions contained in the Corporate Governance Agreement. With only 41 days of operating results in the quarter for Serrano and a single line showing investment income to reflect the operations of Marble Point, the consolidated financial statements presented herein for Canadian Phoenix do not reflect the underlying assets as openly as we had hoped.

Marble Point's operations are focussed on shallow natural gas production in the Dodsland area of Saskatchewan. Marble Point purchased approximately 1,000 boe/d of production in the Dodsland area in April 2008 through two separate transactions. In the third quarter of 2008, Marble Point drilled 20 natural gas wells on the property adding production of 225 boe/d. The average production for the three months ended September 30, 2008 for Marble Point was 1,712 boe/d (93% natural gas). Marble Point intends to further develop these lands through down spacing and the drilling of additional wells and as of the date of this message is currently drilling an additional 120 wells on the lands it acquired and from its own drilling inventory, at 4 wells per section spacing. In light of the current economic uncertainty and fluctuation in commodity prices, Marble Point is focussed on future prices before deciding on its 2009 capital program. The financial capacity of Marble Point is more than adequate to withstand today's low natural gas prices as the company has repaid outstanding debt facilities that accrued interest at 12% and 8% percent per annum. Marble Point has cash in the bank and a credit facility in the amount of $42 million with a chartered bank which has been partially drawn to repay the above facilities.

Serrano's operations are focussed on heavy oil in the Lloydminster area of Saskatchewan and it has an interest in the Blackrod area on the southern end of the Wabiskaw Oil Sands Deposit south of Fort McMurray. By the end of the third quarter, Serrano had drilled 49 wells in 2008 and was averaging production of 826 boe/d for the third quarter. Heavy oil production in the current commodity price environment is a difficult business and as such Serrano has taken a cautious approach to the fourth quarter and to its capital activities. Capital was minimized during the fourth quarter and will be restricted to only those commitments that have previously been entered into. Despite the economic downturn in the capital markets, Serrano was recently able to raise $7.0 million by way of a flow-through share private placement which closed on November 19, 2008. In addition, Serrano has agreed to transfer, pending regulatory approval, a 15% working interest in the Blackrod oil sands leases to Pearl Exploration and Production Ltd. in exchange for certain capital commitments and the return to treasury of 4,037,344 Serrano common shares held by Pearl. Following the completion of the private placement and the transaction with Pearl, Canadian Phoenix will hold 56.5% of the issued and outstanding shares of Serrano.

Operationally for Canadian Phoenix itself, the Company completed a workover on a well in the Campbell area of Alberta that increased production to approximately 235 boe/d. Canadian Phoenix is also currently engaged in an exploration program with industry partners to participate in the completion of two exploration wells, drill two more exploration wells, and shoot a 3-D seismic program in the Samson area of central eastern Alberta. The Company will also participate in the drilling of three more exploration wells - one in the Klua area of British Columbia, one in the Parkland area of Alberta and one in the Fourth Creek area of Alberta. With a complement of technical staff that has recently joined Canadian Phoenix, no debt, and cash in the bank, Canadian Phoenix is poised to take advantage of opportunities that we expect to arise in this uncertain economic market and to further advance its business plan of being a consolidator of undervalued oil and natural gas assets.

Outlook

The table below provides Canadian Phoenix's preliminary guidance for 2009 on a consolidated basis. The capital budget for the consolidated entities takes into account commitments on the Blackrod oilsands leases, drilling within the shallow gas core area of Saskatchewan and internally generated drilling locations identified through seismic interpretation. Commodity prices and resulting cash flows will be monitored and the capital program will be adjusted accordingly. Royalty rates on applicable Alberta properties have been calculated using the new Alberta royalty regime and operating costs have been forecasted to be the same as historical levels. The planned activities and assumptions outlined above and in the table below result in a capital budget of approximately $37 million. Cash flow is projected to be approximately $8 million and average production for 2009 is forecasted to be approximately 2,389 boe/d - the commodity split is 4% light oil and liquids, 29% heavy oil and 67% natural gas.

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                                                      Dec 22, 2008 Guidance
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Period                                         Year ended December 31, 2009
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Production (boe/d)
 Annual                                                               2,389
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Cash Flow - Annual                                               $8 million
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Capital Expenditures                                            $37 million
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Pricing
 Oil - Edmonton light                                               $60/bbl
 Oil - Heavy                                                        $40/bbl
 Gas - AECO                                                       $7.25/mcf
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All dollar values and prices above are stated in CDN$.
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While the current commodity price deck provides challenges and prudence in our existing business, it is also a time of opportunity. Given our unique structure and business model we are actively pursuing acquisition opportunities as juniors are forced to either seek creditor protection or sell off key assets to stay in business. Canadian Phoenix has cash in the bank, undrawn credit lines, and a structure that will enable us to continue to consolidate companies and assets. As they are brought under the Canadian Phoenix umbrella, we can and will provide the capital and technical expertise to incubate these businesses for a liquidity event in the future, at a time of higher commodity prices and improved market fundamentals.

Canadian Phoenix has completed its most exciting quarter and looks forward to providing its shareholders further updates on the current investments and the strategic opportunities that are presently under review. While both the financial and commodity markets have been going through a turbulent period, it is a time of opportunity and we appreciate the ongoing support of our shareholders.

On behalf of the Board of Directors

Thomas Stan

January 12, 2009

Forward Looking Statements - This message to shareholders contains certain forward-looking statements and forward-looking information (collectively referred to herein as "forward-looking statements") within the meaning of applicable Canadian securities laws. All statements other than statements of present or historical fact are forward-looking statements. Forward-looking information is often, but not always, identified by the use of words such as "anticipate", "believe", "plan", "intend", "objective", "continuous", "ongoing", "estimate", "expect", "may", "will", "project", "should", or similar words suggesting future outcomes. In particular, this message to shareholders contains forward-looking statements relating to Marble Point's future development drilling plans and anticipated capital program; Serrano's capital spending plans and the completion of the sale by Serrano of a working interest in its Blackrod oil sands leases; Canadian Phoenix's anticipated drilling and seismic program; Canadian Phoenix's 2009 projected results; and Canadian Phoenix's ability to take advantage of the current economic market to consolidate companies and assets and to implement its business plans with respect thereto.

These forward-looking statements are based on certain key expectations and assumptions of Canadian Phoenix concerning anticipated financial performance; business prospects and strategies; regulatory developments; current commodity prices and exchange rates; applicable royalty rates and tax laws; future well production rates and reserve volumes; future operating costs; the performance of existing wells; the success of exploration and development activities; the sufficiency and timing of budgeted capital expenditures in carrying out planned activities; the availability and cost of labour and services; the impact of increasing competition; receipt of applicable regulatory approvals; conditions in general economic and financial markets; availability of drilling and related equipment; effects of regulation by governmental agencies; and the ability to obtain financing on acceptable terms which are subject to change based on commodity prices, market conditions, drilling success and potential timing delays.

These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond Canadian Phoenix's control, including the impact of general economic conditions; volatility in market prices for crude oil and natural gas; industry conditions; currency fluctuation; imprecision of reserve estimates; liabilities and hazards inherent in crude oil and natural gas operations; environmental risks; changes in income tax laws or changes in royalty rates and incentive programs relating to the oil and gas industry; receipt of applicable regulatory approvals; stock market volatility; and ability to access sufficient capital from internal and external sources.

Management has included the above summary of assumptions and risks related to forward-looking information provided in this message to shareholders in order to provide readers with a more complete perspective on Canadian Phoenix's future operations and such information may not be appropriate for other purposes.

Canadian Phoenix's actual results, performance or achievement could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurance can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits that Canadian Phoenix will derive there from. Readers are cautioned that the foregoing lists of factors are not exhaustive. These forward-looking statements are made as of the date of this message to shareholders and Canadian Phoenix disclaims any intent or obligation to update publicly any forward-looking statements, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.

Boe Presentation - In conformity with National Instrument 51-101, Standards for Disclosure of Oil and Gas Activities, natural gas volumes in this message to shareholders have been converted to barrels of oil equivalent ("boe") using a conversion rate of six thousand cubic feet of natural gas to one barrel of oil. This ratio is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. Readers are cautioned that the term "boe" may be misleading, particularly if used in isolation.

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