Contact Exploration Inc.
TSX VENTURE : CEX

Contact Exploration Inc.

June 11, 2009 08:30 ET

Contact Converts to Overriding Royalty Interest in Windsor

CALGARY, ALBERTA--(Marketwire - June 11, 2009) - Contact Exploration Inc. ("Contact") (TSX VENTURE:CEX) - Contact announces that it has converted its 30% working interest in the Windsor Shale Block in Nova Scotia to a 5.75% non-convertible gross overriding royalty interest ("NCGORR") on 87% of the 475,000 acre production license.

Contact and Triangle Petroleum Corporation ("Triangle") have executed a definitive agreement which converts Contact's 30% working interest in the Windsor production license to a 5.75% NCGORR on Triangle's 87% working interest. As compensation for the conversion, Contact received a cash payment of $270,000 and the assumption by Triangle of liabilities related to Contact's former working interest.

About Contact Exploration Inc.

Contact Exploration Inc. is a junior exploration company with a focus on Canadian East Coast onshore oil production & exploration. Contact's holdings and operations are located in close proximity to one of the world's largest consumption markets, near strong pipeline and refining infrastructure and in mature jurisdictions with reasonable royalty structures in place.

Contact's philosophy is to operate production and exploration in our core area of Atlantic Canada, and to participate through overrides and carried interests in regional unconventional plays, such as coalbed methane in the Cumberland Basin, shale gas in the Windsor area, and exploration on the west coast of Newfoundland.

Contact has onshore interests in approximately 650,000 acres in Nova Scotia, approximately 105,000 acres in west Newfoundland and 96,000 acres in New Brunswick which includes the Stoney Creek Field (approximately 5,500 acres), a field with estimated proved and probable reserves of 1.2 million barrels of oil and 7.2 bcf of natural gas, and the Fredrick Brook Shale Prospect in South Stoney Creek (68,000 acres). In addition to the Atlantic Canadian properties, Contact has producing oil assets in south eastern Saskatchewan.

Neither the 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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