JMG Exploration Inc. Updates Status of Defaulted Loan to Newco Group Ltd.

PASADENA, Calif.--(Business Wire)--
JMG Exploration, Inc., ("JMG" or the "Company") (OTC:JMGEE)
announced that Newco Group Ltd., a company organized under the laws of
the British Virgin Islands ("Newco"), has failed to repay a $3 million
loan and accrued interest and fees that was due July 10, 2008 and that
on July 22, 2008 JMG issued a formal notice of default.

Newco has 15 days to transfer the shares of Iris Computers Ltd
collateralizing this loan into the name of JMG, unless, prior to that
date the default is cured or an alternative settlement arrangement is
consummated by August 1, 2008.

About JMG: JMG Exploration, Inc., which was incorporated under the
laws of the State of Nevada on July 16, 2004, explores for oil and
natural gas in the United States and Canada.

This press release contains forward-looking statements. The words
"proposed", "anticipated" and scheduled" and similar expressions
identify forward-looking statements. Forward-looking statements are
necessarily based upon a number of estimates and assumptions that,
while considered reasonable by management, are inherently subject to
significant business, economic and competitive uncertainties and
contingencies which could cause actual results to differ materially
from the future results expressed or implied by the forward-looking
statements. Such statements are qualified in their entirety by the
inherent risks and uncertainties surrounding future expectations. The
following factor, among others, could cause actual results to differ
from those described in the forward-looking statements in this
document: the results of JMG's review of the impact of the corrected
calculation of depreciation, depletion and amortization and other
factors described in JMG's filings with the Securities and Exchange
Commission ("SEC"), which are available at the SEC's Web site
(http://www.sec.gov). JMG is not under any obligation, and expressly
disclaims any obligation, to update, alter or otherwise revise any
forward-looking statement, whether written or oral, that may be made
from time to time, whether as a result of new information, future
events or otherwise.

JMG Exploration, Inc.
Joe Skeehan, President and CEO
626-585-9555
or
Justin Yorke, Director
626-310-0482

Copyright Business Wire 2008