North Vancouver, BC - Cabo  Drilling Corp. ("Cabo" or the  "Company")
(TSX-V: CBE) reports results for  its fourth quarter and fiscal  year
ended June 30, 2008.

4th QUARTER & ANNUAL HIGHLIGHTS

+-------------------------------------------------------------------+
| (CDN $000s, except      |  3 months  | 3 months |        |        |
| earnings per share)     |   ending   |  ending  |        |        |
|                         | June 30-08 |   June   | FY2008 | FY2007 |
|                         |            |  30-07   |        |        |
|-------------------------+------------+----------+--------+--------|
| Revenue                 |     14,634 |   11,679 | 58,645 | 38,447 |
|-------------------------+------------+----------+--------+--------|
| Net Earnings (Loss)     |            |          |        |        |
| Before Interest, Tax,   |        701 |    1,420 |  6,764 |  3,921 |
| Amortization,           |            |          |        |        |
| Stock-based             |            |          |        |        |
| Compensation and Other  |            |          |        |        |
| Items (EBITDA)          |            |          |        |        |
|-------------------------+------------+----------+--------+--------|
| Net Earnings (Loss)     |      (115) |      425 |  3,951 |  1,588 |
| Before Taxes            |            |          |        |        |
|-------------------------+------------+----------+--------+--------|
| Net Earnings (Loss)     |        581 |      162 |  3,203 |    926 |
| After Taxes             |            |          |        |        |
|-------------------------+------------+----------+--------+--------|
| Earnings (Loss) per     |            |          |        |        |
| Share ($) Basic Before  |            |          |        |        |
| Interest, Tax,          |       0.02 |     0.04 |   0.15 |   0.11 |
| Amortization,           |            |          |        |        |
| Stock-based             |            |          |        |        |
| Compensation and Other  |            |          |        |        |
| Items (EBITDA)          |            |          |        |        |
|-------------------------+------------+----------+--------+--------|
| Earnings (Loss) per     |       0.01 |     0.00 |   0.07 |   0.03 |
| Share ($) Basic         |            |          |        |        |
|-------------------------+------------+----------+--------+--------|
| Cash from operations*   |        815 |      888 |  5,149 |  2,665 |
|-------------------------+------------+----------+--------+--------|
| Gross Margin %          |      20.0% |    26.5% |  23.4% |  24.6% |
|-------------------------+------------+----------+--------+--------|
| Working Capital         |      7,280 |    3,272 |  7,280 |  3,272 |
+-------------------------------------------------------------------+

*before changes in non-cash working capital items

"Cabo recorded its  highest revenues  and net income  ever in  fiscal
2008," Mr. Versfelt stated. "Record  revenues for the fiscal year  of
2008 were $58.64 million  compared to $38.44  million for the  fiscal
year ending 2007, that's a 53%  increase. In addition to the  revenue
growth internationally, we also had substantial growth at our Ontario
division and continued strong results from our Atlantic division."

"Cabo's expansion in 2007 and 2008 was fuelled by an increased number
of drills  in the  international market  and an  increased number  of
employees worldwide," stated Mr.  Versfelt. "Cabo added eight  drills
to the international market during the fiscal year 2008 resulting  in
international revenue growth of 19% of consolidated revenues for  the
year, compared to 5% in fiscal  2007. This expansion was carried  out
evenly between the divisions in Spain, Panama, Mexico and the  United
States."

"The Company recorded net income,  after taxes, of $3.20 million  and
earnings per share of  $0.07," Mr. Versfelt  said. "We also  improved
our  EBITDA   (earnings   before   interest,   taxes,   amortization,
stock-based compensation and other items)  by 73% from $3.92  million
in fiscal 2007  to $6.76 million  in fiscal 2008.  The growth  within
Cabo over the last four years has created a solid foundation for  the
years ahead."

"Cabo had  gross margin  performance  of 20.0%  for the  4th  quarter
fiscal 2008 (26.5% 4th quarter fiscal 2007) and 23.4% for the  fiscal
year 2008 (24.6% for 2007)," Mr. Versfelt stated. "We recorded  gross
margins in  excess of  27% internationally,  but this  was offset  by
lower margins earned from our Ontario and Pacific division."

"During the first four months of fiscal 2009, seven more drills  were
added to the Company's  international fleet, now  totaling 24 of  111
drills owned  by  the Company.  With  the dramatic  downturn  in  the
financial and  commodity  markets, the  Company  does not  expect  to
increase its fleet, nor  make any significant capital  expenditures,"
Mr. Versfelt said. "On the other  hand, it is likely that our  drills
will be moving between divisions,  taking advantage of new  contracts
in areas that need more drills."

"In order to improve on profitability in an environment of decreasing
demand and volatile commodity prices,  we must be relentless on  cost
control and reducing our spending, while at the same time maintaining
our experienced workforce, enforcing  our high safety standards,  and
remaining focused  on  high  employee and  customer  relations,"  Mr.
Versfelt stated.  "Within in  the last  year Cabo  has employed  five
general managers with  extensive experience in  expanding as well  as
retracting markets. This along with the foundation we built over  the
last three years  will assist  us in working  through these  changing
times."

Year ended June 30, 2008

Revenue for  the  year  ending  June 30,  2008  was  $58.64  million,
compared to $38.44 million in 2007. This represents a 53% increase in
revenues year over year. The increase can be attributed primarily  to
significant growth  from  our  international,  Ontario  and  Atlantic
divisions. Revenues from our international divisions represent 19% of
fiscal 2008  revenues as  compared  to 5%  in  fiscal 2007.  With  an
increase in  the number  of drills  at our  international  divisions,
management expects international operations  to contribute a  growing
percentage of the Company's total revenue stream.

Direct costs for  the year ended  June 30, 2008  were $44.90  million
compared to $28.98 million in fiscal  2007. The increase is a  direct
result of higher activity, which resulted in higher revenue in fiscal
2008. Gross  margins for  the year  ended June  30, 2008  were  23.4%
compared to 24.6% during  the fiscal year ending  June 30, 2007.  The
Company recorded gross margins in excess of 27% internationally,  but
this was offset by lower margins earned from our Ontario and  Pacific
divisions.

General and  administrative expenses  increased to  $7.28 million  in
fiscal 2008 as  compared to $5.52  million last year.  At 12.4% as  a
percentage of  revenue in  fiscal  2008, general  and  administration
costs have decreased pro-rata year over year from the 14.4%  recorded
in fiscal  2007.  Increased  costs can  be attributed  to  additional
administration personnel  in  our  international  operations,  higher
travel, higher insurance and professional fees.

EBITDA (earnings  before  interest,  tax,  amortization,  stock-based
compensation and other items) for fiscal 2008 increased 73% to  $6.76
million ($0.15 per share basic dilution) as compared to $3.92 million
($0.11 per share basic  dilution) in fiscal  2007. Net income,  after
taxes, increased to $3.20 million for the fiscal year ending June 30,
2008 as compared to a net income of $926,498 recorded in fiscal 2007.

To view  the Company's  complete news  release, MD&A,  and  financial
statements please visit the company's website at www.cabo.ca or SEDAR
(www.sedar.com).

About Cabo Drilling Corp. (TSX-V: CBE)
Cabo Drilling Corp. is a  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
de Mexico S.A. de C.V.  of Hermosillo, Sonora, Mexico; Cabo  Drilling
(Panama) Corp. of Panama, Republic of Panama; and Cabo Drilling Spain
S.L. of  Sevilla, Spain.  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"

John A. Versfelt
Chairman, President and CEO

Further information  about  the Company  can  be found  on  the  Cabo
website  (http://www.cabo.ca)   and  SEDAR   (www.sedar.com)  or   by
contacting Mr.  Garett  Greene or  Mr.  John A.  Versfelt,  Chairman,
President & CEO of the Company at 604-984-8894.

                          *    *    *    *

The TSX  Venture  Exchange does  not  accept responsibility  for  the
adequacy or accuracy of this release.  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.
Cabo Drilling Corp. was recognized as a TSX Venture 50(TM) company in
2008. TSX Venture 50  is a trademark  of TSX Inc.  and is used  under
license.


CONTACT:  John A. Versfelt, Chairman, President and CEO

Telephone: (604) 984-8894
Facsimile: (604) 983-8056
e-mail: ir@cabo.ca
web site: www.cabo.ca


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