Morumbi Books NI-51-101 Reserves at McKinley

CALGARY, ALBERTA--(Marketwire - Nov. 28, 2011) - Morumbi Oil & Gas Inc. (TSX VENTURE:MOC) ("Morumbi" or the "Company") is pleased to report that as a result of the completion of operations at our McKinley Alberta property, the 12-33 vertical well has been assigned National Instrument 51-101 reserves ("NI-51-101") subsequent to being brought on to production in late March 2011.

Converting the resource base at McKinley to NI-51-101 reserves is the result of the well having established excellent communication with the prolific Cadotte D Pool following our 24 tonne gelled water frac in Sept 2010 and the progress to date in drawing down nearby dump flood water; thereby increasing oil cuts since it was brought on production in March 2011.

Despite initial setbacks caused by the greater than anticipated size of the dump flood water and start-up operational problems related to the 3^rd party emulsion system, the Company has been successful in slowly drawing down the nearby dump flood water and increasing the oil cuts from the 12-33 vertical well. Given the McKinley 12-33 vertical well is structurally the highest well drilled to date in the Cadotte D Pool, it is well positioned to tap the significant remaining recoverable reserves associated with the prolific light oil pool.

Morumbi commissioned Chapman Petroleum Engineering Ltd. ("Chapman") to complete an independent reserve assessment (the "Chapman Report") of the Company's McKinley Property, including the results to date, to assess the light oil remaining in the Cadotte D Pool. The Chapman Report, which is effective July 31, 2011 and is dated November 15,2011 was prepared using Chapman's Forecast Pricing as of August 1, 2011. The Chapman Report ascribes proved plus probable plus possible reserves to our McKinley Property of 264,825 barrels of light oil and 85,000 Mscf of associated natural gas for a total of 278,992 BOE's as detailed in the following table:

Reserves Summary
	Light Oil (STB)	Natural Gas (Mscf)	BOE Equivalent (BOE)
Proved	53,199	17,000	56,032
Probable	106,572	34,000	112,239
Possible	105,054	34,000	110,721
Proved + Probable + Possible	264,825	85,000	278,992

Notes:

(1) Oil equivalent amounts have been calculated using a conversion rate of six thousand cubic feet of natural gas to one barrel of oil.

Reserves Values

The estimated future net revenues before taxes associated with Morumbi's reserves effective July 31, 2011 and based upon the Chapman August 1, 2011 future price forecast is as follows:

	8.0% DCF	10.0% DCF	12.0% DCF
Proved	$1,224,000	$1,158,000	$1,098,000
Probable	$2,812,000	$2,541,000	$2,307,000
Possible	$3,305,000	$2,849,000	$2,470,000
Proved + Probable + Possible	$7,341,000	$6,548,000	$5,875,000

Price Forecast

The Chapman August 1, 2011 forecast for the next 5 years is as follows:

	WTI @ Cushing	Edmonton Light	Natural Gas @ AECO
Year	($U.S. / Bbl)	($Cdn / Bbl)	($Cdn / Mmbtu)
2012	$100.00	$101.04	$4.71
2013	$100.00	$101.04	$5.24
2014	$100.00	$101.04	$5.78
2015	$100.00	$101.04	$6.42
2016	$100.00	$101.04	$6.74

To date, production from the McKinley 12-33 well has increased from a less than 1.0% oil cut when initially brought on production, to current oil cuts in the range of 12% to 15%. Based upon current fluid rates for the well of 130 to 150 barrels of fluid per day this translates into current oil production of 15 to 20 barrels of oil per day. Continued improvements are expected over time as more of the dump flood water is removed from the nearby Cadotte D Pool reservoir. Current oil cuts from the 12-33 well exceed the level currently being realized in the nearby offset 11-32 horizontal well. This supports the Company's assessment that our well is capable of tapping into an up dip oil charged reservoir not available to our nearest offset well which to date has produced over 475,000 barrels of light oil.

Morumbi is continuing to address various operational problems that have periodically impacted our McKinley Property and negatively affected our production performance to date. More specifically we have been focusing on improving our on stream time which we believe has delayed the process of effectively drawing down the nearby dump flood water and has delayed McKinley realizing the full production potential of the 12-33 vertical well.

Steps have been taken in conjunction with the 3^rd Party contract operator who is operating the emulsion system and oil battery that the McKinley well is tied into, to address operational issues. Management intends to continue to closely monitor our operations to ensure the Company realizes the full production potential of our McKinley Property which we believe is at least in part reflected in the reserve assessment contained in the Chapman Report.

The Company remains confident in the long term production potential of the McKinley property and its capability to act as a strong base to fund further growth opportunies. The Company is also pleased to report that these views are supported in part by the Chapman Report summarized herein. Morumbi has made available on its website additional information on our McKinley Property as well as a complete copy of the Chapman Report.

About Morumbi

Morumbi Oil & Gas Inc. is a junior oil & gas company with an attractive light oil property located in northwest Alberta. The McKinley Property is expected over time to provide a strong base of cash flow to fund further growth in production as we seek to expand our asset and opportunity base both internationally and in the Western Canadian Sedimentary Basin. The Company has also recently made an initial foray into international oil and gas and mineral exploration opportunities by establishing important relationships and a mineral opportunity base in Papua New Guinea. Papua New Guinea is an area that Morumbi believes has a great deal of oil and gas and mineral resource potential that has yet to be fully exploited especially on the Bougainville. These initial steps we believe will assist Morumbi in adding value for our shareholders. The Company trades on the TSX Venture Exchange under the symbol "MOC". For more information about Morumbi and the Company's McKinley Property as well as our other growth opportunities and future plans visit our website at www.morumbi.ca.

Information Regarding Disclosure on Oil and Gas Reserves and Information:

BOE means barrels of oil equivalent. It may be misleading, particularly if used in isolation. A BOE conversion ratio of 6 Mcf : 1 Bbl is based upon an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the well head.

Proved reserves are those additional reserves that can be estimated with a high degree of certainty to be recoverable. It is likely that the actual remaining quantities recovered will exceed the estimated proved reserves.

Probable reserves are those additional reserves that are less certain to be recoverable than proved reserves. It is equally likely that the actual remaining quantities recovered will be greater or less than the sum of the estimated proved + probable reserves.

Possible reserves are those additional reserves that are less certain to be recovered than probable reserves. It is unlikely that the actual remaining quantities recovered will exceed the sum of the estimated proved plus probable plus possible reserves.

All evaluations and reviews of the net present value of estimated future net revenues are stated prior to any provisions for interest costs or general and administrative costs and after deduction of estimated future capital expenditures for wells to which reserves have been assigned. It should not be assumed that the net present value of estimated future net revenues presented in the tables below represent the fair market value of the reserves. There is no assurance that the forecast prices and costs utilized in the preparation of the Chapman Report will be attained and variances from actual prices could be material. In addition, the recovery and reserve estimates of crude oil, natural gas liquids and natural gas reserves set out in the Chapman Report are estimates only and there is no guarantee that the estimated reserves will be recovered. Actual crude oil, natural gas liquids and natural gas reserves may be greater than or less than the estimates noted herein.

The estimates in this release have been prepared by an independent qualified reserves evaluator in the form of a Form 51-101 F1 report (the "Chapman Report") under the National Instrument 51-101 in accordance with the Canadian Oil and Gas Evaluation Handbook. The effective date of the estimates was July 31, 2011. The reserves evaluator has consented in writing to the disclosure of the information derived from this Chapman Report. A copy of the Company's regulatory NI-51-101 filings have been placed on the SEDAR website (www.SEDAR.com).

ADVISORY REGARDING FORWARD LOOKING INFORMATION:

This press release contains certain statements that may contain forward-looking information within the meaning of Canadian securities laws. Such forward-looking information is identified by words such as "estimates", "intends", "expects", "believes","may", "will" and include, without limitation, statements regarding the Company's plan of business operations (including plans for developing assets), projected expenditures and anticipated or forecast operating results. More particularly and without limitation, this document contains forward looking statements and information relating to the Company's oil, NGLs and natural gas production and reserves and reserves values, capital expenditure programs and oil, NGLs and natural gas commodity prices. The forward looking statements and information are based upon certain key expectations and assumptions made by the Company, including expectations and assumptions relating to prevailing commodity prices and exchange rates, applicable royalty rates and tax laws, future well production rates, the performance of existing wells, the success of drilling new wells, the availability of capital to undertake planned activities and the availability and cost of labour and services.

Although the Company believes that the expectations reflected in such forward looking statements and information are reasonable it can give no assurance that such statements will prove to be accurate; actual results and future events could differ materially from such statements. Factors that could cause actual results to differ materially include, among others, commodity prices, risks inherent in the oil & gas industry, financing risks, labour risks, title disputes, regulatory risks, currency fluctuations, competition, unexpected decline rates in wells, changes in taxation or royalty regimes and environmental concerns. Most of these factors are outside the control of the company. Investors are cautioned not to put undue reliance on forward-looking information. The forward looking statements and information contained in this document are made as of the date hereof for the purpose of providing the readers with the Company's expectations for the coming year. The forward looking statements and information may not be appropriate for other purposes. Except as otherwise required by applicable securities statutes or regulation, the company expressly disclaims any intent or obligation to update publicly forward-looking information, whether as a result of new information, future events or otherwise.

Trading in the securities of Morumbi Oil & Gas Inc. should be considered highly speculative. 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.