Giant Oil Discoveries Continue Adjoining to ACOR's 13.83% Carried WI under PEL 112- Worrior 6- IP 2300 BOPD & Worrior-5 IP 250 BOPD.

The Operator of PEL 112 Announces Anticipated Spud Date of November 15(th), 2007

CISCO, Texas -- Australian-Canadian Oil Royalties Ltd. (herein called ACOR) (OTCBB:AUCAF) is pleased to announce that the operator of PEL 93 states that the Worrior-6 well has been drilled and completed and is producing approximately 2300 barrels of oil per day on free flow from the McKinlay Formation oil pool, and the Worrior-5 well has been drilled and completed and is producing approximately 250 barrels of oil per day on pump, also from the McKinlay oil pool.

Wireline logs for Worrior 5 indicate 29 feet of net oil pay in the McKinlay Member and 41 feet of net oil pay in the Birkhead Formation. Wireline logs for Worrior 6 indicate 41 feet of net oil pay in the McKinlay Member and 20 feet of net oil pay in the Birkhead Formation. The wells will be completed for production from both zones.

The production potential from the McKinlay Member in Worrior 6 is the best the Operator has observed in the Worrior oilfield and appears un-affected by existing field drainage.

The wells were drilled to a total depth of approximately 5,429 feet. The Murta Formation is also being evaluated in both wells.

Worrior 5 and Worrior 6 will be tied in to existing Worrior facilities and shall commence production approximately two weeks after the drilling rig moves off location.

With Worrior 5 & Worrior 6, the current production adjoining ACOR's PEL 112 to the east, should average approximately $97,920,000 per year or approximately $16,320,000 per year per well from all six wells, at current crude oil prices.

About PEL 112

On October 17th, ACOR announced that the operator of PEL 112 has scheduled the Hunt #3 drilling rig for an anticipated spud date of November 15th, 2007. This represents one of ACOR's possible biggest revenue generating opportunities. The Operator has agreed to drill and complete three exploratory wells in the northern section of PEL 112. Site locations have been predetermined and road access is now completed. All the wells are approximately 6,000 feet deep and cost around $1.5 million dollars each to drill and complete.

PEL 112 covers approximately 818,904 gross acres, and has never been drilled (no dry holes). ACOR and partners have completed a new seismic survey on PEL 112 at a cost of approximately $1,100,000.

The new seismic survey has discovered two large seismograph highs as well as 24 smaller ones. The 2 large seismograph highs are called C-23 & C-26, which cover a combined area of approx. 5,534 acres with excellent closure.

ACOR and partners have invested approximately 6 years and several million dollars in PELs 112, 108, & 109. ACOR management is very excited to have negotiated a 3-well carried position over the 3 areas, which substantially reduces the Company's risk.

The 13.83% Carried Working Interest has potential to bring substantial revenue into the Company, should any or all of the three wells drilled prove to be commercial. ACOR's carried working interest in the 1st three wells will exclude ACOR from all exploration and completion costs.

The Closest Oil Field to PEL 112

ACOR management has discovered that its nearest producing field, the Tantana Oil Field, has produced approximately 7,340,646 barrels of oil from twelve (12) wells, at today's crude prices that equals approximately $623 Million Dollars or $52 Million per well. The Seismic line 85-XAB shows a possible look-alike structure on ACOR's PEL 112 similar to the Tantana Oil Field.

ACOR owns a 13.83% Carried WI through the first 3 wells under PELs 108, 109, & 112.

About Australian-Canadian Oil Royalties Ltd.:

ACOR management draws no cash salary. ACOR has NO LONG-TERM DEBT. ACOR's principal assets consist of 15,440,116 gross surface acres of overriding royalty interest and 8,561,007 gross acres of working interests, located Onshore Australia in the Cooper-Eromanga Basin and Offshore Australia in the Gippsland Basin in the Bass Strait.

ACOR is a publicly traded oil company trading on the NASDAQ OTC Bulletin Board Exchange under the trading symbol "AUCAF."

Summary:

Australia is a "hot spot" for oil & gas exploration and ACOR is positioned for possible "Company-Maker" discoveries. ACOR's working interests and overriding royalty interests are located offshore & onshore in the best producing basins.

Visit our website at www.aussieoil.com.

Disclaimer:

Except for historical information contained herein, the statements released are forward-looking statements that are made pursuant to the provision of the Private Securities Litigation Reform Act of 1955. Forward-looking statements involve known and unknown risks and uncertainties that may cause the Company's actual results in future periods to differ materially from forecasted results. Such risks and uncertainties include, but are not limited to, market conditions, competitive factors, the ability to successfully complete additional financings and other risks.