New Sage Energy Corp.
TSX VENTURE : NSG

New Sage Energy Corp.

April 15, 2010 08:30 ET

New Sage Energy Provides Production Update on the Leger #1 and Ledezma #1 Wells

TORONTO, ONTARIO--(Marketwire - April 15, 2010) - New Sage Energy Corp. (TSX VENTURE:NSG) ("New Sage") provides an update on the Leger #1 well in Lafourche Crossing, Louisiana and the Ledezma #1 well in Frio County, Texas. New Sage holds a 5% working interest in the Leger #1 well and a 25% working interest in the Ledezma #1 well.

The Leger #1 well, has continued to produce strong results since it started production on December 12, 2009. Over the first three months of production a total of 2,200 bbls of 52 degree API oil and 100 mmcf gas (16,667 boe) have been produced from the well. Production is averaging 1.1 mmcf/d gas and 25 bopd (208 boe/d), which is netting 6 boe/d to New Sage (2.74% NRI). Nine potential oil and gas productive zones were identified in Leger #1 and production has been from only one of the zones. Further testing and production of the other identified zones will continue.

The Ledezma #1 well was recently drilled to 10,200' measured depth, with a 3745' horizontal leg. Initial results suggested that there was an oil discovery with two significant oil shows, the first recorded 600 bbls of oil in three hours and the second recorded 550 bbls of oil in 10 hours. Total production from the well has been 2,900 bbls oil, which was subsequently sold into the market. Initial production of the well showed that water was interfering with oil production. After a substantial work-over program the oil flow rates were determined to be unsustainable and activity in the B-1 zone was discontinued.

GSO and New Sage will now evaluate the E zone. The E zone is another potential oil-bearing portion of the Austin Chalk, located beneath the B-1 zone, where recently drilled wells have been successful and returned significant flow rates of oil. Geological evaluation of the E zone should be completed within the next 30 to 60 days.

John Carlesso President & CEO stated: "While work is continuing at Ledezma we remain encouraged by the continued strong results at Leger. Testing of the E zone of the Ledezma well will determine the economic viability of this well and if successful will add to our growing production level."

On October 15, 2009 the Company issued a press release that the Board had approved the granting of 1,100,000 options to the Company's directors, officers, employees and consultants. Those option grants were never issued and on March 24, 2010 the Board approved a revised grant of 1,400,000 on the same terms and conditions. The options were issued with an exercise price of $0.10 per share and have a five year term. Pursuant to applicable securities legislation the options are subject to a four month and one day hold period.

About New Sage

New Sage is a Canadian oil and gas exploration and development company with a focus on opportunities in the US Gulf States region and South America. The company is building a portfolio of production, through exploration and development opportunities, with established joint venture partners.

Forward-Looking Statements

This news release contains forward-looking statements that involve risks and uncertainties. Forward- looking statements or information are based on current expectations, estimates and projections that involve a number of risks and uncertainties which could cause actual results to differ materially from those anticipated by New Sage. The forward-looking statements or information contained in this news release are made as of the date hereof and New Sage does not undertake any obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

BOEs may be misleading, particularly if used in isolation. A BOE conversion ratio of 6 mcf: 1 bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead.

The securities of New Sage being offered have not been, nor will be, registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent U.S. registration or an applicable exemption from U.S. registration requirements. This release does not constitute an offer for sale of securities in the United States.

Neither the TSX Venture nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture) accepts responsibility for the adequacy or accuracy of this release.

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