Cabo Drilling Corp. Awarded 6,000+ Meter Drill Contract by Puddle Pond Resources Inc.

NORTH VANCOUVER, BRITISH COLUMBIA -- (Marketwire - Aug. 22, 2011) - Cabo Drilling Corp. (TSX VENTURE: CBE) ("Cabo" or the "Company") announces that Cabo Drilling (Atlantic) Corp. has been awarded a 6,000+ meter drill contract by Puddle Pond Resources Inc. at its Horn-Mesher and MolyPeak Projects at Lloyd's Lake, in south-central Newfoundland.

Cabo has mobilized a C20 drill rig to the project. Up to 30 drill sites are planned, for an estimated total of 6,000 – 7,000 meters (approx. 20,000 feet) of NQ size drill core. The drill sites will test the MolyPeak Project, molybdenum mineralized zone, following up on successful drill intersections last fall in this newly discovered, porphyry styled, quartz vein hosted molybdenum mineralization. Also targeted for drilling is the Lundberg Grid Copper Mesher Project, next to the MolyPeak Project, with its gold mineralization hosted in volcanic rocks and its quartz vein hosted, Buchans Type high grade zinc, silver, lead, copper and gold mineralization contained in quartz vein outcrops within the Horn.

Cabo offers drilling services to major, mid-tier and junior mining and exploration companies and provides expertise in projects ranging from early-stage reconnaissance drilling through to resource definition and advanced stage mining.


About Puddle Pond Resources Inc.

Puddle Pond Resources Inc. is a privately financed, Newfoundland and Labrador based, junior exploration and mining company that has acquired the mineral rights to the strategic Horn-Mesher and MolyPeak mineral resource properties in the Central Volcanic Mineral Belt (CVMB) of Newfoundland.


About Cabo Drilling Corp. (TSX VENTURE:CBE)

Cabo Drilling Corp. is a Canadian national and international drilling services company headquartered in North Vancouver, British Columbia, Canada. The Company provides mining related and specialty drilling services through its Canadian divisions in Surrey, British Columbia; Montréal, Quebec; Kirkland Lake, Ontario; and Springdale, Newfoundland; as well as Cabo Drilling (Nevada) Inc. of the United States; Cabo Drilling (Panama) Corp. of Panama, Republic of Panama; Cabo Drilling Panama-Pacifico Corp. of Panama, Republic of Panama doing business as Cabo Drilling Colombia Corp.; Cabo Drilling Spain S.L. of Sevilla, Spain; Balkan States Drilling SH.P.K. of Tirana, Albania; and Cabo Drilling (International) Inc. The Company's common shares trade on the Frankfurt Exchange under the symbol: DHL and on the TSX Venture Exchange under the symbol: CBE.


ON BEHALF OF THE BOARD

John A. Versfelt
Chairman, President and CEO



Further information about the Company can be found on the Cabo website (www.cabo.ca) and SEDAR (www.sedar.com).

This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, potential mineral recovery processes and other business transactions timing. Forward-looking statements address future events and conditions and therefore, involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.



Contact Information

Cabo Drilling Corp.
Sheri Barton
Corporate Communications
403-217-5830

Cabo Drilling Corp.
Mr. John A. Versfelt
Chairman, President & CEO
604-984-8894
www.cabo.ca

Renmark Financial Communications Inc.
Barbara Komorowski
514-939-3989 or 416-644-2020
bkomorowski@renmarkfinancial.com

Renmark Financial Communications Inc.
Dan Symons
514-939-3989 or 416-644-2020
dsymons@renmarkfinancial.com