Lloyd I. Miller, III Provides Update on Discussions With Orca Exploration Group Inc. and Controlling Shareholder

TORONTO, ONTARIO--(Marketwired - Feb. 16, 2016) - Lloyd I. Miller, III, who exercises control or direction over approximately 4.775 million Class B Subordinate Voting Shares of Orca Exploration Group Inc., representing approximately 14.41 percent of the issued and outstanding Class B Subordinate Voting Shares, wishes to update the market on discussions he has had with the Chief Executive Officer and controlling shareholder of Orca, Mr. David Lyons.

In previous discussions in December of 2015 with Mr. Lyons, Mr. Lyons indicated the possibility of Orca undertaking a Dutch Auction substantial issuer bid for its Class B Subordinate Voting Shares or his privatizing Orca. Mr. Miller advocated for a Dutch Auction substantial issuer bid for the Class B Subordinate Voting Shares rather than a privatization, although he indicated he was not likely to tender a significant number of shares to the bid. Mr. Miller has refrained from trading in Orca securities since being advised of this. In February, 2016, Mr. Lyons advised Mr. Miller that Orca would not pursue a substantial issuer bid, but instead he intended to privatize Orca. He also advised Mr. Miller that build-out of the Songo Songo Project is substantially complete.

While Mr. Miller did not intend to tender a significant amount of shares to the substantial issuer bid, he is disappointed that Orca is not proceeding with the substantial issuer bid. Mr. Miller believes the Class B Subordinate Voting Shares are substantially undervalued, and, if a privatization transaction is proposed, Mr. Miller will closely evaluate its terms to determine if the price offered and other terms are fair to the Class B Subordinate Voting Shareholders. In the interim, as previously disclosed by Mr. Miller, Mr. Miller may re-enter the market and cause funds controlled by him to acquire or dispose of additional shares of Orca, subject to market conditions and other factors.