JED Oil Inc. has signed an agreement with an arms-length third party for the sale of the Company's North Ferrier assets for cash consideration of approximately $33.9 million.

Closing of the transaction is scheduled for June 8, 2007 and is subject only to the buyer's completion of an environmental review by June 4, 2007 and approval by the buyer's board of directors.

A meeting of the buyer's board to consider approval is being held today. The proposed sale of the assets was previously announced by JED in the autumn of 2006, as part of the Company's business plan to sell mature production with little or no further drilling upside to fund the acquisition of existing production with upside drilling potential. "We are very pleased with this agreement," stated James Rundell, JED's President. "Recently there has been renewed interest in this property. The sale proceeds will be used to fund the cash portion of the recently announced offer for Caribou Resources Corp. (TSX Venture: CBU) ("Caribou") if it is accepted."

On May 23rd JED announced that it had made an offer to Caribou to acquire all of its shares and settle with its creditors. JED's offer includes payment in full in cash to Caribou's major secured creditor of approximately $26.7 million, plus payment in full in cash to any creditors with security in priority to the major secured creditor; cash of approximately $345,500 plus 5 million common shares to the unsecured creditors totaling approximately $17.7 million, and up to 4 million common shares for the acquisition of all of the 39 to 40 million shares of Caribou on the basis of one common share of JED for every 10 shares of Caribou held. At this time the amount, if any, of the claims of creditors with security in priority to Caribou's major secured creditor is not known.