Cheyenne Energy Inc.
TSX VENTURE : CHY

Cheyenne Energy Inc.

November 14, 2006 09:00 ET

Cheyenne Announces Private Placement Financing

CALGARY, ALBERTA--(CCNMatthews - Nov. 14, 2006) - Cheyenne Energy Inc. (TSX VENTURE:CHY) ("Cheyenne" or the "Company") is pleased to announce that it has engaged Wellington West Capital Inc. of Winnipeg, Manitoba, to act as agent, on a best efforts basis, in respect to a flow-through private placement to raise gross proceeds of up to $5.0 million through the issue of 2,222,222 units of the Company at $2.25 per unit. Each unit consists of 4 common shares issued on a flow-through basis, one common share and a warrant. Each warrant entitles the holder to subscribe for one common share for $0.85 for 18 months from closing. A commission of 7.25% will be paid to Wellington West Capital Inc. as agent, who will also receive broker warrants equal to 10% of the securities sold. Proceeds will be used for further development of the Company's Hawk play in northwestern Alberta (Township 97, Range 19 west of 5th meridian) and for working capital.

Cheyenne Energy Inc. is a public energy company engaged in the exploration for and development and production of crude oil and natural gas, primarily in Western Canada. Cheyenne's corporate strategy is to grow and develop oil and gas reserves through the drill bit and add value for its shareholders.

This press release contains forward-looking statements. These forward-looking statements can generally be identified as such because of the context of the statements including words such as the Company "believes", "anticipates", "expects", "plans", "may", "estimates" or words of a similar nature. These statements are based on current expectations and are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Accordingly, readers are cautioned and no assurances can be given that any of the events anticipated by the forward-looking statements will occur, or if any of them do so, what benefits that we will derive there from. The Company does not undertake any obligation to publicly update or revise any forward-looking statements.

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

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