Culane Energy Corp.
TSX VENTURE : CLN

Culane Energy Corp.

April 29, 2011 16:51 ET

Culane Issues Correction to Net Present Value of Reserves

CALGARY, ALBERTA--(Marketwire - April 29, 2011) -

THIS NEWS RELEASE IS NOT FOR DISSEMINATION IN THE UNITED STATES OR TO U.S. PERSONS.

Culane Energy Corp. ("Culane" or the "Company") (TSX VENTURE:CLN) issued a press release yesterday announcing its 2010 financial results. The release indicated that the net present value of its 2010 year end reserves had decreased 29.9% from the prior year, while in fact, the net present value had increased by 29.9% since the prior year. For clarity, at December 31, 2010, the net present value before income tax (discounted at 10%) of gross proved plus probable plus possible reserves was $128.0 million, an increase of 29.9% from December 31, 2009. The reserve increases are mainly attributable to increased reserve recognition for secondary and tertiary recovery at Killam, Alberta.

About Culane Energy Corp.

Culane Energy is a junior oil and gas company engaged in the exploration, development and production of oil and natural gas in western Canada.

Reader Advisories

This news release contains forward-looking statements and forward-looking information (collectively "forward looking information") within the meaning of applicable securities laws. In particular, forward looking information in this news release includes, but is not limited to statements with respect to the value of future net revenue attributable to the Company's reserves. The forward-looking information is based on certain key expectations and assumptions made by Culane, including but not limited to expectations and assumptions concerning future commodity prices and operating costs, as well as reserve and resource volumes. Although Culane believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because Culane can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, results from operations will not meet with expectations and risks associated with the oil and gas industry generally. Additional information on the foregoing risks and other factors that could affect Culane' operations and financial results are included in Culane's annual information form for the year ended December 31, 2009 and other reports on file with Canadian securities regulatory authorities and may be accessed through the SEDAR website (www.sedar.com). The forward-looking statements contained in this news release are made as of the date hereof and Culane undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

Possible reserves are those additional reserves that are less certain to be recovered than probable reserves. There is a 10% probability that the quantities actually recovered will equal or exceed the sum of proved plus probable plus possible reserves.

27,189,754Common Shares

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

Contact Information

  • Culane Energy Corp.
    Donald D. Staus
    President and Chief Executive Officer
    (403) 263-2773
    (403) 263-2776 (FAX)
    dstaus@culaneenergycorp.com

    Culane Energy Corp.
    Stewart Larsen
    Vice President of Finance and Chief Financial Officer
    (403) 263-2773
    (403) 263-2776 (FAX)
    slarsen@culaneenergycorp.com

    Culane Energy Corp.
    Thomas H. Field
    Vice President, Engineering and Operations
    and Chief Operating Officer
    (403) 263-2776 (FAX)
    (403) 263-2776
    tfield@culaneenergycorp.com

    Culane Energy Corp.
    420, 333 - 5th Avenue S.W.
    Calgary, Alberta T2P 3B6
    (403) 263-2776 (FAX)
    www.culaneenergycorp.com