Petrolia Inc.
TSX VENTURE : PEA

Petrolia Inc.

October 10, 2007 09:53 ET

Petrolia: First Closing of $3 Million at $1.00 Per Share With European Energy Company

RIMOUSKI, QUEBEC--(Marketwire - Oct. 10, 2007) - Petrolia (TSX VENTURE:PEA) has received conditional approval from the TSX Venture Exchange for a private placement of 9 million units at $1.00 per unit for a total proceeds of $9 million. Each unit consists of one common share and one share purchase warrant that will allow the holder of each warrant to purchase one common share for $1.00 for an 18-month period. The shares issued as a result of the placement and the exercise of warrants are restricted from trading for a period of four months.

Petrolia has completed the first closing of $3 million with Pilatus Energy, a European energy company involved in a number of international oil and mining exploration projects. The amount of the distribution was transferred to a trust account. As further closings are approved by the Board of Directors, they will be announced in future press releases.

According to Andre Proulx, President, "This first closing confirms the interest of international explorers in the potential of Quebec's large and underexplored Appalachian region as an emerging hydrocarbon producer. The funds from the first closing will allow the Corporation to put into initial production the Haldimand #1 well discovered by Petrolia in 2006 near of Gaspe. This discovery will generate cash flow and could be a precursor to additional discoveries at Haldimand and in nearby structures. Given that Petrolia holds exploratory rights over a territory of 10,000 square Km in the Gaspe Peninsula, accounting for 13% of all exploratory interests of the province of Quebec, all discoveries and exploratory undertakings within this 10,000 square Km-territory will need to be subject to agreements with Petrolia."

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

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