LNG Energy Announces Slawno, Slupsk and Starogard Concession

LNG Energy Announces Slawno, Slupsk and Starogard Concession
Resources in the Baltic Basin, Poland, Operations Update and Options
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 04/26/12 -- LNG Energy
Ltd. ("LNG") (TSX VENTURE:LNG) is pleased to announce its estimated
prospective and contingent resource volumes for the Slawno, Slupsk,
and Starogard concessions in Poland, in which LNG has an indirect
20.18% interest through its ownership of Saponis Investments Sp z.o.o
("Saponis"). The concessions are located in the onshore region of the
northwest sector of the Baltic Basin of Poland. 
The results of the third party study completed by RPS Energy
Consultants Limited ("RPS") and were prepared in accordance with
Canadian National Instrument 51-101 - Standards of Disclosure for Oil
and Gas Activities and indicate in-place volumes for each concession
as of September 30, 2011 (representing LNG's 20.18% working

                                     Low       Estimate           High
Prospective Resources              (Bscf)         (Bscf)         (Bscf)
Slawno                             1,651          1,919          2,211
Slupsk                             4,370          5,075          5,844
Starogard                          3,145          4,205          5,434
Total Resources                    9,166         11,199         13,489

The summary of the recoverable gas volumes for contingent and
prospective resources as of September 30, 2011 (representing LNG's
20.18% working interest): 

                                           1C             2C             3C
Contingent Resources                    (Bscf)         (Bscf)         (Bscf)
Slupsk (Lebork S-1)                        57             94            146
                                          Low       Estimate           High
Prospective Resources                   (Bscf)         (Bscf)         (Bscf)
Slawno                                    130            217            337
Slupsk                                    367            613            947
Starogard                                 413            792          1,376
Total Prospective Resources               910          1,622          2,660

The resource volumes are classified according to the Petroleum
Resources and Management System (PRMS, 2007). Prospective resources
are those quantities of petroleum estimated to be potentially
recoverable from undiscovered accumulations by application of future
development projects. Contingent resources are those quantities of
petroleum estimated to be potentially recoverable from known
accumulations using established technology or technology under
development, but which are not currently considered to be
commercially recoverable due to one or more contingencies. 
The uncertainty in the resource estimates was addresses by using
Monte Carlo modeling methods and is expressed in the tables above as
low/best/high estimates for prospective resources and 1C/2C/3C for
contingent resources. Low/best/high and 1C/2C/3C are the P90, P50 and
P10 values from the Monte Carlo model results. 
One new well has been drilled on each concession (2010-2011) being
the Wytowno S-1, Lebork S-1 and Starogard S-1 on the Slawno, Slupsk
and Starogard concessions respectively, which provided core and log
data specifically for the assessment of the shale gas content. The
prospectivity of the subject properties is based on the occurrence of
gas shale intervals (Silurian, Ordovician and Cambrian age) analogous
to those that have been extensively developed in the U.S. and Canada.
The analyses documented in the third party report by RPS were based
most significantly on the results of the drilling of three new wells,
one on each of the Saponis blocks. The most significant information
reflecting storage capacity has come from the core analysis results
from the Lebork S-1 well drilled on the Slupsk license. 
The recovery has also begun of the long term pressure test gauges
that were installed in October 2011 on its Lebork S-1 well to obtain
valuable reservoir information and injectivity and long term leakoff
tests will be performed to confirm injection rates and pressures. The
data collected will be used to finalize the re-stimulation program. 
The previously announced 2D seismic program, consisting of 407 km,
has been completed. Approximately 90 percent of the acquired lines
are currently being processed and we anticipate receiving data by
June 2012 on all the lines. The objective of the seismic program is
to further define basin structure and burial history as well as to
aid in the selection of individual well locations. 
The Company has granted 8,915,000 stock options pursuant to its
previously approved stock option plan to directors, officers,
employees and consultants of the Company. The options are exercisable
over 5 years at an exercise price of $0.15 per share, a 100% premium
to the current per share price. 
LNG is a Canadian exploration and development company focused on
developing oil and gas reserves in Papua New Guinea, Poland and
Bulgaria. LNG holds a 100% interest in approximately 5.5 million
acres of prospective oil and gas properties in Papua New Guinea. LNG
is operator and has a 50% net interest in approximately 360,000 gross
acres of prospective shales in Poland together with San Leon Energy.
LNG also has a 20% net interest in approximately 734,000 gross acres
of prospective shales in Poland together with BNK Petroleum Inc.,
Sorgenia E&P S.p.A., and Rohol-Aufsuchungs Aktiengesellschaft. LNG
has also entered into a farm in agreement relating to 405,080 acres
of prospective argillite formation in Bulgaria with Direct Petroleum
Bulgaria EOOD, a subsidiary of TransAtlantic Petroleum Ltd. LNG
shares trade on the TSX Venture Exchange under the symbol "LNG". 
Dave Afseth, President & CEO 
Cautionary Note Regarding Forward-Looking Statements 
Certain statements contained in this news release constitute
"forward-looking information" as such term is used in applicable
Canadian securities laws, including information on the resources in
the Slawno, Slupsk and Starogard concessions and updates on
operations. Forward-looking information is based on plans and
estimates of management at the date the information is provided and
certain factors and assumptions of management. Forward looking
information is subject to a variety of risks and uncertainties and
other factors that could cause plans, estimates and actual results to
vary materially from those projected in such forward-looking
information. Factors that could cause the forward-looking information
in this news release to change or to be inaccurate include, but are
not limited to, the risks related to unsatisfactory results of due
diligence, international operations and doing business in foreign
jurisdictions, risks associated with the oil and gas industry and
exploratory and development activities generally (e.g., operational
risks in development, exploration and production, delays or changes
in plans with respect to exploration or development projects or
capital expenditures, risks associated with equipment procurement and
equipment failure), the risk of commodity price and foreign exchange
rate fluctuations, risks related to future royalty rate changes, and
risks and uncertainties associated with securing and maintaining
necessary regulatory approvals, and counterparty risk related to the
stability and viability of the Company's joint venture participants. 
Shares Outstanding: 338,719,365 
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. 
LNG Energy Ltd.
Investor Relations
Press spacebar to pause and continue. Press esc to stop.