SOURCE: Great East Energy, Inc.

December 10, 2013 08:00 ET

Ukraine Government Grants Great East Energy Subsidiary Five-Year Permit Extension for Natural Gas Production and Development

Awarded to GASE's Operating Company With 420 Square Kilometers of European Clean Energy Assets; GASE Subsidiary NPK-KONTAKT'S Permit Extended to 2018 for Reserves and Resources Adjacent to Royal Dutch Shell's Yuzivske Gas Field

NEW YORK, NY and KIEV, UKRAINE--(Marketwired - Dec 10, 2013) - Great East Energy, Inc. (OTCQB: GASE) ("GASE" and the "Company") which controls 420 square kilometers of producing European clean energy holdings through two local operating companies in Ukraine, is pleased to announce that its subsidiary NPK-KONTAKT has received a five-year extension of its permit with the Ministry of Environmental Protection to continue producing methane gas -- and developing its properties for further growth and expansion. GASE's two Ukraine companies have been producing gas since 2003, own two gas processing facilities, and 13.5 kilometers of gas pipelines to their customers.

The extension of Special Permit № 2424 for subsoil use (the "Permit") was a condition of GASE's recent exercise of the Stock Purchase Option with Bezerius Holdings Limited. The Permit has an expiration date of September 8, 2018, and allows for further geological investigation and pilot production of coal fields gas (including methane) in the Lysychansko-Toshkovskaya area of southeastern Ukraine. For full details see the Form 8-K filed at www.sec.gov.

GASE continues to utilize the Permit through its operating and distributing unconventional gas companies in the Dnieper-Donets Basin of Ukraine, with current production and infrastructure already in place. The 420 square kilometer property covered by the Permit has seven major dome structures, and according to its prior owners, has already produced nearly one billion cubic feet of gas (BCF). Twelve core wells and five vent-wells have been drilled on the producing domes to confirm the presence and production of gas.

GASE's assets are surrounded by Royal Dutch Shell's Yuzivske gas field comprising nearly 8,000 square kilometers, which was the featured asset in a USD$10 billion contract signed by Ukraine President Viktor Yanukovych at Davos, Switzerland earlier in 2013. The preliminary resources estimation of the Yuzivske gas field is up to 300 trillion cubic feet. The GASE Block reserves were evaluated by Marathon Oil in 2007 and an independent NI 51-101 report is expected to be issued in 2014.

ABOUT GASE:
Great East Energy is a producing, development stage company targeting the growing independent natural gas production industry of Ukraine, as Europe's second-largest country by land mass makes energy self-sufficiency from Russia a priority. With Ukraine natural gas priced over three times U.S. levels, the energy industry holds compelling economics as well. Through its local operating subsidiaries NPK-KONTAKT and LISPROMGAZ, the completion of GASE's well development activities are planned to result in a multi-million dollar inward investment into Ukraine.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
This press release contains forward-looking statements made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward looking statements are based upon the current plans, estimates and projections of the Company's management and are subject to risks and uncertainties, which could cause actual results to differ from the forward looking statements.

Such statements include, among others, those concerning market and industry segment growth and demand and acceptance of new and existing resources; any projections of sales, earnings, revenue, margins or other financial items; any statements of the plans, strategies and objectives of management for future operations; any statements regarding future economic conditions or performance; uncertainties related to conducting business in Ukraine, as well as all assumptions, expectations, predictions, intentions or beliefs about future events.

Therefore, you should not place undue reliance on these forward-looking statements. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: business conditions in Ukraine, general economic conditions; geopolitical events and regulatory changes, availability of capital, the Company's ability to maintain its competitive position and dependence on key management. This press release does not constitute an offer to sell or the solicitation of an offer to buy any security and shall not constitute an offer, solicitation or sale of any securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.

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