Realm Energy International Corporation

Realm Energy International Corporation

May 27, 2011 09:05 ET

Realm Energy Initiates Strategic Review of Its Interests in Poland

WHITE ROCK, BRITISH COLUMBIA--(Marketwire - May 27, 2011) -Realm Energy International Corporation ("Realm Energy" or the "Company") (TSX VENTURE:RLM) ( announces its intention to explore strategic alternatives regarding its interests in Poland.

Initiation of Strategic Review

After a thorough review of the Company's current share price, natural gas resource, and operations, the Board of Directors has concluded that Realm Energy trades at a substantial discount to the inherent value of its underlying assets. Accordingly, the Board has decided to initiate a process to identify, examine and consider a range of strategic alternatives available to the Company in connection with its interests in Poland with a view to enhancing shareholder value. The ultimate objective of carrying out this review is to determine which alternative with respect to its interests in Poland might result in superior value for shareholders of the Company.

The process will be overseen by a special committee which consists of the independent directors of the Board. This special committee has a mandate to solicit, review and consider strategic alternatives with regards to Realm Energy's interests in Poland and to consider and recommend to the Board any proposed transaction that is in the best interests of the Company. In addition, the Company has retained GMP Securities L.P. as its financial advisor to conduct an analysis and investigation of Realm Energy's strategic alternatives with regards to its interests in Poland.

Realm Energy holds a land position in Poland of 635,000 gross acres (465,000 net) under three exploration permits. Two of these exploration permits are located in the Baltic Basin, northern Poland and one is located in the Podlasie Basin, southeast Poland. A recent independent report, conducted by a reputable reserves evaluator that was commissioned and the results thereof disclosed by an industry participant, has outlined an original gas in place estimate of approximately 100 Bcf per square mile (~156 MMcf per acre) for the shale gas prospects in the Baltic Basin of northern Poland. In addition, there has been a significant increase in industry activity over recent months on land blocks adjacent to Realm Energy's properties in northern Poland.

The Company has not set a definitive schedule to complete its strategic review and, notwithstanding the above, no decision on any particular alternative has been reached at this time.

Realm Energy does not intend to disclose developments with respect to the strategic review process unless and until its Board of Directors has approved a definitive transaction or other course of action or otherwise deems disclosure of developments is appropriate. There can be no assurance that any transaction will occur, or if a transaction is undertaken, as to its terms or timing.

About Realm Energy

Realm Energy is a Canadian domiciled global energy company focused on driving the exploration and development of major shale plays throughout Europe and emerging countries. The Company presently has projects in Poland and Germany and is in the process of acquiring additional petroleum and natural gas rights in other European basins which have been identified as high potential. Realm Energy is committed to leveraging the most advanced shale technology to bring these resources into production. Visit Realm Energy's website at


Craig Steinke, Executive Chairman & CEO

Forward-Looking Statements: This document contains certain forward-looking statements concerning Realm Energy, as well as other expectations, plans, goals, objectives, information or statements about future events, conditions, results of operations or performance that may constitute "forward-looking statements" or "forward-looking information" under applicable securities legislation. Such statements or information involve substantial known and unknown risks and uncertainties, certain of which are beyond Realm Energy's control, including general business, economic, competitive, political and social uncertainties; the delay or failure to receive regulatory approvals, including rights to lands under application, the characteristics and viability for gas development on lands that have yet to be fully explored and assessed, the willingness of third parties to conclude agreements with Realm Energy on terms that are acceptable to management of Realm Energy, and the ability of Realm Energy to secure sufficient future funding to carry out all of its business plans.

Such forward-looking statements or information are based on a number of assumptions which may prove to be incorrect. In addition to other assumptions identified in this news release, assumptions have been made regarding, among other things, commodity prices, operating conditions, capital and other expenditures, and project development activities.

Although Realm Energy believes that the expectations reflected in such forward-looking statements or information are reasonable, undue reliance should not be placed on forward-looking statements because Realm Energy can give no assurance that such expectations will prove to be correct. Forward-looking statements or information are based on current expectations, estimates and projections that involve a number of risks and uncertainties which could cause actual results to differ materially from those anticipated by Realm Energy and described in the forward-looking statements or information.

The forward-looking statements or information contained in this news release are made as of the date hereof and Realm Energy 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 or the TSX Venture Exchange. The forward-looking statements or information contained in this news release are expressly qualified by this cautionary statement.

This press release shall not constitute an offer to sell, nor the solicitation of an offer to buy, any securities in the United States, nor shall there be any sale of securities mentioned in this press release in any state in the United States in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state.

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.

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