COLONIA ENERGY CORP.
TSX VENTURE : CLA

COLONIA ENERGY CORP.

April 27, 2009 17:38 ET

Colonia Energy Corp. Releases Annual Financial Statements for the Year Ended December 31, 2008

CALGARY, ALBERTA--(Marketwire - April 27, 2009) -

NOT FOR DISSEMINATION IN THE UNITED STATES OF AMERICA

COLONIA ENERGY CORP. ("Colonia" or, the "Company") (TSX VENTURE:CLA) released today its audited Financial Statements, Management's Discussion and Analysis (MD&A) and Form 52-109F1 - Certification of Annual Filings - CEO/CFO, for its fiscal year ended December 31, 2008.

All of the foregoing documents may be viewed on SEDAR at www.sedar.com.

Colonia Energy Corp. enjoyed a very successful year in 2008 with Company production averaging 161 BOE per day, an increase of 118% over the prior year's 74 BOE per day. With commodity prices increasing by 28% to $91.27 per BOE, gross revenues rose by 180% to $5,350,000. Construction of a Company operated oil battery and water disposal facilities in 2007 resulted in 2008 unit operating costs decreasing by 30%, and field netbacks rising by 41% to $67.38 per BOE. Corporate cash flow of $3,370,000 and net income of $1,409,000 were up more than 250% and 1200%, respectively, over 2007 levels.

Colonia's activity in 2009 will continue to be focused in southeastern Saskatchewan. The Company has assembled in excess of 4,000 net acres in an area that is highly prospective for Bakken light crude production. Two Bakken wells were drilled by competitors on offsetting acreage in the first quarter of 2009, and results to date have been encouraging. In addition, the Company is completing land acquisition activities on several Midale prospects prior to initiating drilling later this year.

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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