QEC-Second High Liquids Montney Well Tests at 1,800 boe/d

CALGARY, ALBERTA--(Marketwire - Nov. 5, 2012) -

NOT FOR DISTRIBUTION ON U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Questerre Energy Corporation ("Questerre" or the "Company") (TSX:QEC)(OSLO:QEC) is pleased to report on the test results from its second Montney horizontal well in the Kakwa-Resthaven area of west central Alberta.

The well was successfully completed with a 14 stage water-based nitrogen foam fracture stimulation in the 1230m horizontal section. Initial clean up and flow back began on October 31, 2012 and the well was tested for a 96-hour period thereafter against a gathering system pressure of approximately 1100 psi.

Over the last 24 hours of the production test, the well flowed 974 bbl/d of condensate and 4.97 MMcf/d of natural gas at a flowing casing pressure of approximately 7500 kPa (1100 psi) on choke sizes ranging from 16.67 mm to 15.08 mm. A subsequent four-hour test was completed to determine the free-flowing capability of the well against a wellhead pressure of 2477 kPa (360 psi). On this four-hour test, the well flowed at 1324 bbl/d of condensate and 6.4 MMcf/d of natural gas. Production tubing is currently being installed and the well will be tied into the third party processing plant by early next year.

Michael Binnion, President and Chief Executive Officer of Questerre commented, "The test results from this well are consistent with the results from our first well. Although the horizontal section for this well is approximately 85% of the first well, the higher condensate rate validates our view that our land lies in the heart of the liquids-rich fairway for this resource play. We look forward to further developing our acreage."

Questerre also reported that in conjunction with its partners, it has acquired an additional three-quarters of a section of land immediately adjacent to the section of land on which the second well was drilled.

Questerre holds a 25% interest in this well and in 16.75 contiguous sections (10,740 acres) of land offsetting this well.

Questerre Energy Corporation is an independent energy company focused on non-conventional oil and gas resources. The Company is currently developing a portfolio of oil shale assets in North America. It is also securing a social license to commercialize its Utica natural gas discovery in Quebec. The Company is underpinned by light oil assets and a strong balance sheet. Questerre is committed to the economic development of its resources in an environmentally conscious and socially responsible manner.

This media release contains certain statements which constitute forward-looking statements or information ("forward-looking statements"), including whether the initial test results are indicative of the long term performance and ultimate recovery of hydrocarbons from the Montney well, the timing of future tie-ins and future drilling and development of the Kakwa-Resthaven area of Alberta. Although Questerre believes that the expectations reflected in our forward-looking statements are reasonable, our forward-looking statements have been based on factors and assumptions concerning future events which may prove to be inaccurate. Those factors and assumptions are based upon currently available information available to Questerre. Such statements are subject to known and unknown risks, uncertainties and other factors that could influence actual results or events and cause actual results or events to differ materially from those stated, anticipated or implied in the forward-looking information. As such, readers are cautioned not to place undue reliance on the forward-looking information, as no assurance can be provided as to future results, levels of activity or achievements. The risks, uncertainties, material assumptions and other factors that could affect actual results are discussed in our Annual Information Form and other documents available at www.sedar.com. Furthermore, the forward-looking statements contained in this document are made as of the date of this document and, except as required by applicable law, Questerre does not undertake any obligation to publicly update or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise. The forward-looking statements contained in this document are expressly qualified by this cautionary statement.

Barrel of oil equivalent ("boe") amounts may be misleading, particularly if used in isolation. A boe conversion ratio has been calculated using a conversion rate of six thousand cubic feet of natural gas to one barrel of oil and is based on an energy equivalent conversion method application at the burner tip and does not necessarily represent an economic value equivalent at the wellhead.

This news release does not constitute an offer of securities for sale in the United States. These securities may not be offered or sold in the United States absent registration or an available exemption from registration under the United States Securities Act of 1933, as amended.