Stream Announces the Withdrawal of Equity Offering

CALGARY, ALBERTA--(Marketwire - June 23, 2011) -

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Stream Oil & Gas Ltd. (TSX VENTURE:SKO) ("Stream" or the "Company") announced that due to market conditions, it has elected to withdraw the proposed public equity offering pursuant to the preliminary short form prospectus filed on June 22, 2011.

"We do not believe that current shareholders are best served by issuing equity in the current market," said Sotirios Kapotas, President and Chief Executive Officer. "While it is disappointing that we do not have the additional funds to accelerate our growth plans at this time, our 2011 ongoing production and development growth initiatives are moving forward as planned to increase production and cash flow. In addition, we continue to advance discussions with prospective lenders regarding long-term debt facilities, which would be used to fund a portion of the Company's initiatives focused on incremental exploitation and exploration activities in Albania."

Forward-Looking Statements

This news release includes forward-looking statements regarding the Company's financing prospects. Such forward-looking statements reflect management's current beliefs and are based on assumptions made by and information currently available to the Company. A number of factors can cause actual events to differ significantly from any anticipated developments and, although the Company believes that the expectations represented by such a forward-looking statements are reasonable, undue reliance should not be placed on the forward-looking statements as there can be no assurance that such expectations will be realized. The forward-looking statements contained in this document are made as of the date hereof and the Company disclaims any intention or obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless expressly required by applicable securities laws.

About Stream Oil & Gas Ltd.

Stream Oil & Gas Ltd. is a Canadian-based emerging oil and gas production, development and exploration company focused on the re-activation and re-development of three oilfields and a gas/condensate field in Albania. The Company's strategy is to use proven technology, incremental and enhanced oil recovery techniques to significantly increase production and reserves.