JayHawk Energy Provides Kansas Drilling Update

BROOMFIELD, Colo.--(Business Wire)--
JayHawk Energy, Inc. (OTCBB: JYHW) ("JayHawk") is pleased to
announce it has drilled and cased the first 10 wells of its Cherokee
Basin Project, located in Southeast Kansas, where the Company has
identified a number of coals and expects production of coal-bed
methane (CBM) through standard completion techniques and stimulation.

The Company expects to commence the second phase of drilling 10
new target wells on July 23rd with an estimated completion date of
these new drills by August 31. The Company's objective remains focused
on drilling approximately 100 well targets in the Cherokee Basin in
the near term.

Further information regarding the Company's projects will be
forthcoming as developments warrant.

About JayHawk Energy, Inc.

JayHawk Energy, Inc. is a managed risk, oil and gas
exploration/exploitation, development and production company with
activities focused on two major projects in the Cherokee Basin, Kansas
and the Williston Basin, North Dakota. For more information please
visit www.jayhawkenergy.com.

Cautionary Note to U.S. Investors -- The United States Securities
and Exchange Commission permits oil and gas companies, in their
filings with the SEC, to disclose only proved reserves that a company
has demonstrated by actual production or conclusive formation tests to
be economically and legally producible under existing economic and
operating conditions. We use certain terms in this press release, such
as probable, possible and potential, that the SEC's guidelines
strictly prohibit us from including in filings with the SEC. U.S.
Examples of such disclosures would be statements regarding "probable,"
"possible," or "recoverable" reserves among others.

Management hopes these transactions will bring additional value to
the shareholders of JayHawk Energy. There is no guarantee that the
projects that JayHawk has recently acquired will increase the value of
its shares of common stock, or that JayHawk will acquire rights to
explore and operate any other such projects, or that in the event that
it acquires rights to explore and operate other such projects, that
these actions will be successful or increase the value of JayHawk's
common stock.

This press release may contain forward-looking information within
the meaning of Section 27A of the Securities Act of 1933 and Section
21E of the Securities Exchange Act of 1934, and is subject to the safe
harbor created by those sections. There are many factors that could
cause our expectations and beliefs about our plans to acquire
additional exploration or production properties, our plans to drill or
our drilling results to fail to materialize: competition for new
acquisitions, availability of capital, unfavorable geologic
conditions, the complexity of coal bed methane exploration and
production, and prevailing prices for natural gas and general regional
economic conditions. JayHawk assumes no obligation to update the
information contained in this press release.

Gross Capital, Inc.
Investor Contact:
Barry Gross, 361-949-4999
jayhawk@grosscapital.com

Copyright Business Wire 2008