Unconventional Natural Gas

A Compelling Case. A Focused Vision.June 2007

Trading Symbol: SPI – TSX Venture ExchangeWebsite: www.csri.ca

DISCLOSURE STATEMENT

The corporate information contained in this presentation contains forward-looking forecast information. The reader is cautioned that assumptions used in the preparation of such information, although considered reasonably accurate by Canadian Spirit Resources Inc. (“CSRi”) at the time of preparation, may prove to be incorrect. The actual results achieved during the forecast period will vary from the information provided herein and the variations may be material. Consequently, there is no representation by CSRi that actual results achieved during the forecast period will be the same in whole or in part as those forecast.

Farrell Creek Area

CORPORATE INFORMATION

Listed – SPI (TSX Venture Exchange) Working capital surplus - $1.5mm (March 31). No debt. 28,833,082 shares outstanding

2,471,000 options outstanding – average strike price = $2.40 3,200,00 warrants outstanding – strike price = $2.50

(expiring August 11, 2007) Management and directors own 2.4% (Basic) Directors: George W. Watson (Chairman)

J.R. Richard CouillardDonald R. GardnerPhillip D.C. GeigerPhilip H. GrubbeRobert P. Winnitoy

OVERVIEW

Acquired 40,000 acres of Shallow Rights 75% of land also has deep rights

Eight test holes drilled to date Four test holes have been fracture stimulated

Independent estimate of 1.8 tcf of discovered resource for the shallow Gething, Gates and Moosebar Formations

Deeper formations are also prospective

CURRENT STATUS

Have recently established mechanical reliability on pumping units

Implemented field changes to reduce costs

Flowing wells while reducing reservoir pressure and determine a production response on three of four test holes Trailer mounted compressor to be utilized to

complete this test

CURRENT STATUS

c-083 – Shut-in – deliverability test complete

b-092 – Flowing – currently the best producing well to date

b-003 – Flowing from upper zone – bridge plug wedged between zones

b-002 – Flowing with only 22 meters perforated - lowest capital cost well to date

d-093 – Drilled and cased - preparing to stimulate

RESULTS

VALUATION

1.00 140 280 420 560 12+

0.75 105 210 315 420 9

0.50 70 140 210 280 5

0.25 35 70 105 140 1

10 20 30 40

$/mcf

$Million

Recovery Factor ( % )

$/share

Assumes 1.4 tcf of Gas-in-Place (Sproule) and 45 million fully diluted shares

PRELIMINARY ECONOMIC DATA

Capital Target: Less than $1 million to drill, case and fracture

stimulate

Production Target: 200-300 mcf/d from vertical wells

B.C. Crown Royalty (new Net Profits Interest) Designed for unconventional gas 2% royalty on gross revenue until capital pool payout Capital pool includes previous 3 years of historical cost Propose taking applications this September

PROPOSED BASE PROGRAM

Deliverability Testing Timing (March 30 to June 30, 2007)

Continue to flare three test holes to establish consistent run time (upward production trend)

Currently b-092 is the best well (100 to 150 mcf/d) Install trailer mounted compressor

Shut in c-083 and continue to monitor b-002 and b-003 Move trailer mounted compressor equipment from b-092 to b-002

Issues: Flaring limitations (on b-092 test hole)

Applied for extension

Goal: Reduce back pressure to increase gas rate Target +/- 200 mcf/d on the b-092 test hole with the use of the

trailer mounted compressor

PROPOSED BASE PROGRAM

Tie-in Evaluation Timing (June 2007) Determine in parallel

Tie-in options Industry Partner – Short term solution

Will take raw gas for compressor fuel Initiate discussions

Spectra Energy (formerly Duke Energy) – Long term solution

Must meet sales gas specification Equipment availability

Costs to tie-in

PROPOSED BASE PROGRAM

Apply best completion techniques

Timing (July to August 2007) Fracture stimulate d-093

Flow back and drawdown pressure with trailer mounted compressor Continue to monitor b-092 and b-002

Move trailer mounted compressor as required

Issues: How much will the rate increase Government approval – flaring

Goal: Target 400 mcf/d by the end of August 2007 on two test holes (b-092 and d-093)

PROPOSED BASE PROGRAM

Prepare for tie-in and add production Timing (August to October 2007)

Finalize pipeline access Start construction

Convert test holes to production wells Drill three vertical wells

Spacing Consider drilling one directional well Continue to evaluate results to finalize a Phase I

development program

PROPOSED BASE PROGRAM

Tie-in for cash flow Timing (October to mid December 2007)

Tie-in the following producing wells b-092 d-093 Possibility to tie-in up to five additional wells

Goal: Target total production of 1 million cubic feet per day

and increasing

ADDITIONAL POTENTIAL

Shallow Rights – (Surface to base of Cadomin)

Substantial availability of B.C. Crown lands

Land swap/Farm-in potential

GeoMet “Strategic Process” Infrastructure co-operation

Formations Moosebar and Bluesky

ADDITIONAL POTENTIAL

Deep Rights – (Below base of Cadomin to basement)

Land swap/Farm-out potential

Activity in Farrell Creek Area NorthPoint Energy Ltd. Talisman Energy Inc. Triumph Pacific Oil & Gas Corp. Others

Formations Nordegg/Fernie, Halfway, Doig/Montney, Debolt

2007 FUNDING PLAN

Confirm productivity and economics $3 million private placement June 2007 Capital program June – August 2007

Production and reserves $15 – $30 million September 2007 Capital program September 2007 – September 2008

CONCLUSIONS

Farrell Creek Project Large discovered resource – 1.8 tcf on existing lands

Expect production in early 2008

Large number of potential locations

Prospective deep rights/multi-zone potential

Year round road and pipeline accessibility

Long Reserve Life Index (low decline)

FARRELL CREEK LOCATION

CSRi Land

Sedimentary Basins

Duke Energy Pipeline

Fort St. J ohn

FARRELL CREEK LANDS

CSRI EnCana Talisman GeoMet/ CEP/ Triumph

T83

T82

T81

T84

T85

R23R24R26 R2593-O-16

FARRELL CREEK PILOT PROJECT

Canadian Spirit Resources Inc.Suite 1950, Ford Tower633 6th Avenue S.W.Calgary, Alberta T2P 2Y5Telephone (403) 539-5005E-mail: info@csri.caTSX Venture: SPI

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