Vanoil Energy Ltd.
TSX VENTURE : VEL

Vanoil Energy Ltd.

June 19, 2012 18:02 ET

Vanoil Increases Previously Announced Non-Brokered Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 19, 2012) -

THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Vanoil Energy Ltd. (TSX VENTURE:VEL) ("Vanoil" or the "Company") announces that, further to its previously announced (June 18, 2012) non-brokered private placement (the "NB Offering"), it has increased the size of the NB Offering from up to 33.333 million units for gross proceeds of $20.0 million to up to 50.0 million units for gross proceeds of $30.0 million.

All other terms remain the same.

About Vanoil Energy Ltd.

Based in Vancouver, Canada, Vanoil is an Africa focused oil and gas company with a comprehensive portfolio of oil and gas assets in Kenya and Rwanda. In Kenya, Blocks 3A and 3B were acquired in October 2007 and a Production Sharing Contract has been signed with the Government of the Republic of Kenya. These Blocks cover 24,912 square kilometers and are part of the under-explored Cretaceous Central African Rift Basin System. Vanoil's 1,631 square kilometers exclusive oil and gas license in the East Kivu Graben in Rwanda is at the southern extension of the Albertine Graben where Heritage and Tullow Oil made their historic discovery in neighboring Uganda.

On behalf of the Board of VANOIL ENERGY LTD.

James Passin, President and CEO

This press release does not constitute an offer to sell or solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to a U.S. Person unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

Disclaimer for Forward Looking Information

This news release includes forward looking statements that are subject to assumptions, risks and uncertainties. Statements in this news release which are not purely historical are forward looking statements, including without limitation any statements concerning the Company's intentions, plans, estimates, beliefs or expectations regarding the future. Although the Company believes that any such intentions, plans, estimates, beliefs and expectations in this news release are reasonable, there can be no assurance that any such intentions, plans, beliefs and expectations will prove to be accurate.

The Company cautions readers that all forward looking statements, including without limitation those relating to the Company's future operations and business prospects, are based on assumptions none of which can be assured, and are subject to certain risks and uncertainties that could cause actual events or results to differ materially from those indicated in the forward looking statements. Readers are advised to rely on their own evaluation of such risks and uncertainties and should not place undue reliance on forward looking statements.

Any forward looking statements are made as of the date of this news release, and the Company assumes no obligation to update the forward looking statements, or to update the reasons why actual events or results could or do differ from those projected in the forward looking statements. The Company assumes no obligations to update any forward looking statements, whether as a result of new information, future events or otherwise.

Neither 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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