Century Energy Ltd.
TSX VENTURE : CEY

Century Energy Ltd.

February 17, 2012 16:05 ET

Century Energy Updates Vawn Prospect

CALGARY, ALBERTA--(Marketwire - Feb. 17, 2012) -

THIS RELEASE IS NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.

Century Energy Ltd (TSX VENTURE:CEY) ("Century" or the "Company") announces that it has suspended operations on its Vawn 10-30 well due to having encountered heavy water flows and only marginal amounts of oil which is not uncommon in the nearby Edam Pool where large water volumes often precede oil inflow. The Company is conducting an operational and technical review to determine the feasibility of producing from this well bore and the 18 meters of heavy oil pay confirmed by logging operations conducted in December, 2011. The Company and its 50% partner believe there could be a significant, although currently problematic resource still to be developed on this property. Potential solutions available to the Company include installing a larger pump to overcome the water production problem, drilling an offset well in a structurally more favorable up-dip position, or if the well will not produce on cold flow and there are sufficient reserves to justify the cost, undertaking a thermal project to increase the mobility of the oil. All of these options and other projects are being actively evaluated by Century's Board and Management with the goal of increasing shareholder value.

More information concerning the Vawn Prospect can be found on the Company's web site at www.centuryenergyltd.com. Century Energy is an oil and gas exploration company pursuing opportunities in Canada and the United States.

This news release may contain certain forward-looking statements, particularly those relating to management's assessment of timing for completion of production testing. The assessment for timing involves risks and uncertainties, certain of which are beyond the Company's control. Such risks and uncertainties include, without limitation, risks associated with oil and gas development, exploitation, production, and the inability to retain or delays arising from, obtaining drilling rigs and other related services. Century's actual results in production testing and timing for completion thereof could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur and what benefits, if any, the Company will derive there from. Readers are cautioned that the foregoing list of factors is not exhaustive. All subsequent forward-looking statements, whether written or oral, attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these cautionary statements. Furthermore, the forward-looking statements contained in this news release are made as at the date of this news release and the Company does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.

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

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