Cruiser Oil & Gas Ltd.
TSX VENTURE : COG

Cruiser Oil & Gas Ltd.

June 17, 2008 18:18 ET

Cruiser Announces Approval of Issuance of Special Warrants to Related Parties

CALGARY, ALBERTA--(Marketwire - June 17, 2008) -

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.

Cruiser Oil & Gas Ltd. ("Cruiser" or the "Company") (TSX VENTURE:COG) is pleased to announce that it has received the required shareholder approvals for the issuance of 57,142,859 special warrants of the Company to certain related parties, being Longbow Capital Limited Partnership #8, Longbow Capital Limited Partnership #9, Longbow Capital Limited Partnership #16 and Longbow Capital Limited Partnership #17.

The 90,000,000 special warrants of the Company were issued on May 21, 2008 at a price of $0.07 for gross proceeds of $6,300,000 through a private placement completed by Blackmont Capital Inc. The special warrants are deemed to be exercised effective June 17, 2008 and holders of the special warrants will receive certificates representing common shares within 5 business days, with no further action on the part of the special warrant holders. In accordance with applicable Canadian securities laws, the common shares will be subject to a four month hold period expiring on September 22, 2008.

The net proceeds of the offering of the special warrants will be released to Cruiser by the trustee to be used to repay debt, for working capital needs and for general corporate purposes, including potential future acquisitions.

About Cruiser Oil & Gas Ltd.

Cruiser Oil & Gas Ltd. is a public junior oil and gas company engaged in the exploration, exploitation, acquisition and production of petroleum and natural gas in Western Canada. Cruiser is focused on re-entry and new drilling of multi-zone gas and oil prospects west of the fifth meridian.

Cruiser Oil & Gas Ltd. trades on the TSX Venture exchange under the symbol COG.

Cautionary Statements

The information in this news release includes certain information and statements about management's view of future events, expectations, plans and prospects that constitute forward looking statements. These statements are based upon assumptions that are subject to significant risks and uncertainties. Because of these risks and uncertainties and as a result of a variety of factors, the actual results, expectations, achievements or performance may differ materially from those anticipated and indicated by these forward looking statements. Although the Company believes that the expectations reflected in forward-looking statements are reasonable, it can give no assurances that the expectations of any forward looking statements will prove to be correct. The Company disclaims any intention and assumes no obligation to update or revise any forward looking statements to reflect actual results, whether as a result of new information, future events, changes in assumptions, changes in factors affecting such forward looking statements or otherwise.

This news release does not constitute an offer to sell securities, nor is it a solicitation of an offer to buy securities, in any jurisdiction. All sales will be made through registered securities dealers in jurisdictions where the offering has been qualified for distribution. The securities offered are not, and will not be, registered under the securities laws of the United States of America, nor any state thereof and may not be sold in the United States of America absent registration in the United States or the availability of an exemption from such registration.

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

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