Transeuro Energy Corp.

Transeuro Energy Corp.

August 12, 2008 09:30 ET

Transeuro Provides Ukraine Update

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 12, 2008) - Transeuro Energy Corp. ("Transeuro", or the "Company") (TSX VENTURE:TSU)(OSLO:TSU) provides an update on its activities in Ukraine.

On the Karlavskoye 101 well the Company has drilled to the section TD at 3,553.5m, with a number of gas kicks being successfully controlled over the final 50 metres. Based on the available data a potential total gross gas column in the well of approximately 600m is interpreted. While drilling out of the bottom of the reservoir a high pressure water zone was encountered that has resulted in the drillpipe becoming stuck in the well. Operations are continuing to recover the drillpipe. Subject to successful operations it is then planned to run casing and conduct flow testing of the primary target.

The exploration and pilot production license for the Povorotnoye field has been extended for a further year, to June 2009. Drilling operations are planned to commence during Q3 2008. The well is expected to take six to nine months to drill. The drilling contractor will be the Ukrainian company 'Mirgorod', who have been working for some of the other foreign companies in Ukraine (such as Cadogan and JKX). Mirgorod were chosen following an audit of available Ukrainian contractors.

Transeuro and Rohol-Aufsuchungs Aktiengesellschaft ("RAG") have appointed Neil Stewart as the Managing Director of Scythian Energy BV. ("Scythian"). The two companies will carry out operations in the Ukraine through Scythian. Mr. Stewart has managed operations in Ukraine for Transeuro over the last two years and will continue in the same capacity for Scythian. The parties have also appointed David Worrall as Chairman of the Scythian Supervisory Board.

Transeuro Energy Corp. is involved in the acquisition of petroleum and natural gas rights, the exploration for, and development and production of crude oil, condensate and natural gas. The Company's properties are located in Canada, Armenia, Ukraine and, through majority ownership in Eaglewood Energy Inc, in Papua New Guinea.

On behalf of the Board of Directors

Harold Hemmerich, President and CEO

This press release does not constitute an offer to sell or solicitation of an offer to sell any of the securities in the United States.

The statements contained in this release that are not historical facts are forward-looking statements, which involve risks and uncertainties that could cause actual results to differ materially from the targeted results. The Company relies upon litigation protection for forward looking statements.

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 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.

The TSX Venture Exchange has not reviewed, and does not accept responsibility for the adequacy or accuracy of the content of this news release.

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