Questfire Energy Corp. Announces Closing of Convertible Debenture Offering

CALGARY, ALBERTA--(Marketwire - June 29, 2012) -

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

Questfire Energy Corp. ("Questfire" or the "Corporation") (TSX VENTURE:Q.A) (TSX VENTURE:Q.B) is pleased to announce that on June 28, 2012 it closed its previously announced private placement to raise gross proceeds of $1,485,000.

The Corporation issued 297 units pursuant to the private placement, with each unit being comprised of one $5,000 par value convertible unsecured senior debenture (each a "Debenture") and 5,000 common share purchase warrants (the "Warrants"). The principal amount of the Debentures is convertible, in whole or in part, into Class A Shares ("Common Shares") at the option of the holder at any time prior to the close of business on June 30, 2014 at a conversion price of $0.50 per Common Share. Each Warrant entitles the holder thereof to acquire one Common Share at a price of $0.75 until June 30, 2014. The Debentures and Warrants may not be traded until October 29, 2012, except in accordance with applicable securities laws.

Forward-Looking statements: This document contains statements about future events that are forward looking in nature and, as a result, are subject to certain risks and uncertainties such as changes in plans or the occurrence of unexpected events. Actual results may differ from the estimates provided by management.