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OPERATOR LOSES IN DISPUTE OVER JUDKINS LEASE

June 6, 2008

Vancouver, B.C., June 6, 2008 Tearlach Resources Ltd., (TSX-V: TEA) www.tearlach.ca.

The Company has been informed by Western States International, Inc. (“WSI”), the operator and joint owner of Kern Front Property (40% WSI/60% Tearlach), that summary judgement has been awarded against WSI in California legal proceedings, terminating its rights over of a portion of the Property known as the “Judkins Lease”. This lease comprised 320 acres and 23 wells of the total 759 acres and 142 wells on the Property. The Company has not yet determined whether WSI will be filing an appeal or taking other action in the above proceedings. The Company is reviewing geological, legal and other relevant issues pertaining to this lease and the foregoing legal proceedings, including the economic and geological impact of such loss and the Company’s prospects for recovery against third parties, with its advisors and expects to make further announcements in due course.

The Company has also commenced a comprehensive review of all operations, title, permitting and other matters affecting the Kern Front Field. As a result, Tearlach identified a number of technical defects in surface lease agreements which will need to be remedied in order to permit conduct of the type and scope of work contemplated on the Property, and, in addition, noted that, due to the failure of WSI to make timely payment of a nominal sum to State authorities in California, its interest in two underlying leases was subject to automatic statutory forfeiture. Tearlach has advised WSI of these defects and understands that WSI is actively taking the appropriate curative steps to remedy the defects. Although Tearlach anticipates WSI will be able to remedy these defects and will, in due course, be able to both restore its interest in the forfeited leases and secure adequate surface lease agreements, should it fail to do so, such failure may result in the substantial impairment or loss of the economic benefits Tearlach has sought to obtain from the Kern Front Property.

The Company has also completed a preliminary reservoir study and work program for the Property and is currently reviewing same as part of its overall review of the Property. The Company anticipates making further announcements in due course regarding the status and operations on the Kern Front Field once it has completed the foregoing investigations.

“Malcolm Fraser”
President

About Tearlach: Tearlach Resources Inc. is a Canadian public company engaged in the exploration, development and exploitation of natural resources, with a current focus on oil and gas exploration and development in California and exploration of its nickel property in the Sudbury Basin, Ontario, Canada. For further information, please see Tearlach’s website at www.tearlach.ca.

This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are not historical facts and are subject to risks and uncertainties which could cause actual results and the timing of certain events to differ materially from those set forth in or implied herein including, without limitation, risks associated with oil and gas exploration, development and production operations and other risks, uncertainties and other factors that are beyond the control of the Company.

The TSX Venture Exchange has not reviewed this News Release and neither approves nor disapproves of the contents hereof, which remain the sole responsibility of the Company.

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