Kulczyk Oil Ventures Inc.: 2012 Exit Rate Production of 3,154

Kulczyk Oil Ventures Inc.: 2012 Exit Rate Production of 3,154 BOE Per
2013 Ukraine Budget & Work Program 
CALGARY, ALBERTA -- (Marketwire) -- 01/07/13 -- Kulczyk Oil Ventures
Inc. (WARSAW:KOV) ("Kulczyk Oil", "KOV" or the "Company"), an
international upstream oil and gas exploration and production
company, is pleased to announce 2012 exit rate net production of 17.7
million cubic feet per day ("MMcf/d") and 203 barrel of natural gas
liquids ("NGL") per day or 3,154 barrels of oil equivalent per day
("boe/d"). All of the Company's production comes from its assets in
Ukraine operated by KUB-Gas LLC ("KUB-Gas"), a partially-owned
subsidiary in which KOV has a 70% effective ownership interest. The
2013 budget and work program for the KUB-Gas assets have been agreed
by all shareholders of KUB-Gas.  
2012 Highlights - Ukraine 

--  Exit rate net production of 17.7 MMcf/d and 203 barrels of NGL per day
    (3,154 boe/d); 
--  Exit 2012 production was 102% higher, on a boe basis, than exit 2011
--  Took delivery of new snubbing unit, trained personnel and performed two
    dual completions; 
--  Acquired 225 square kilometres of new 3D seismic in North Makeevskoye
    area; and 
--  Six wells were drilled or drilling during the year. Five are cased to
    total depth ("TD") while one was drilling as of the end of the year. 

Highlights of 2013 Work Program & Budget 

--  Approved $54.8 million budget for KUB-Gas (KOV 70% is $38.4 million); 
--  Planning to drill a total of up to 8 wells (six are firm and two are
    contingent) including the one that is currently drilling at NM-2; 
--  Dual completions on up to five wells in the first half of the year with
    additional dual completions possible toward the end of 2013; 
--  Frac programs involving five wells with work to be done mostly in the
    third quarter of 2013; and 
--  Construction of additional facilities for Makeevskoye wells to more
    effectively handle the increasing production volumes and construction of
    an estimated twenty five kilometres of new pipeline. 

The owners of KUB-Gas approved the work program and agreed that the
2013 KUB-Gas budget of $54.8 million would be entirely funded by
KUB-Gas cash flow. The contingent wells would be part of an
acceleration of the 2013 program using a third party drilling rig and
the six firm wells will utilize the KUB-Gas owned K-200 rig.  
The 2013 work program will focus on major development activities at
the Makeevskoye, Olgovskoye and North Makeevskoye licence areas,
including growth of production and reserves through drilling of the
new wells, recompletion or work-over of existing wells and
implementation of new technologies, such as multi-zone completions
and hydraulic fracture stimulations. 
Tim Elliott, President and Chief Executive Officer stated that: 
"Our 2013 goals are designed to deliver continuous growth in both
production and reserves through an ambitious work program which
includes drilling of up to eight new wells and implementation of new
technologies to further increase production through dual completions
and fracture stimulations. Our success in the last two years has
resulted in a strong cash position and proven the technical and
operating expertise of our team. We believe that there remains
significant development and exploration upside within our existing
licence areas which will be realized through the continued
application of new technologies and work practices." 
About Kulczyk Oil  
Kulczyk Oil is an international upstream oil and gas exploration and
production company with a diversified portfolio of projects in
Ukraine, Brunei and Syria and with a risk profile ranging from
exploration in Brunei and Syria to production and development in
Ukraine. The common shares of the Company trade on the Warsaw Stock
Exchange under trading symbol "KOV".  
In Ukraine, KOV owns an effective 70% interest in KUB-Gas LLC. The
assets of KUB-Gas consist of 100% interests in five licences near to
the City of Lugansk in the northeast part of Ukraine. Four of the
licences are gas producing. 
In Brunei, KOV owns a 90% working interest in a production sharing
agreement which gives the Company the right to explore for and
produce oil and natural gas from Block L, a 1,123 square kilometre
area covering onshore and offshore areas in northern Brunei.  
In Syria, KOV holds a participating interest of 50% in the Syria
Block 9 production sharing contract which provides the right to
explore for and, upon the satisfaction of certain conditions, to
produce oil and gas from Block 9, a 10,032 square kilometre area in
northwest Syria. The Company has an agreement to assign a 5%
ownership interest to a third party which is subject to the approval
of Syrian authorities, and which, if approved, would leave the
Company with a remaining effective interest of 45% in Syria Block
9.KOV declared force majeure, with respect to its operations in
Syria, in July 2012.  
The main shareholder of the Company is Kulczyk Investments S.A., an
international investment house founded by Polish businessman Dr. Jan
Translation: This news release has been translated into Polish from
the English original. 
Forward-looking Statements: This release may contain forward-looking
statements made as of the date of this announcement with respect to
future activities of KUB-Gas and related to its five licence areas in
Ukraine and to certain wells drilled or seismic activities undertaken
within those licence areas that either are not or may not be
historical facts. Although the Company believes that its expectations
reflected in the forward-looking statements are reasonable as of the
date hereof, any potential results suggested by such statements
involve risk and uncertainties and no assurance can be given that
actual results will be consistent with these forward-looking
statements. Various factors that could impair or prevent the Company
from completing the expected activities on its projects include the
Company's projects experience technical and mechanical problems,
there are changes in product prices, failure to obtain regulatory
approvals, the state of the national or international monetary, oil
and gas, financial, political and economic markets in the
jurisdictions where the Company operates and other risks not
anticipated by the Company or disclosed in the Company's published
material. Since forward-looking statements address future events and
conditions, by their very nature, they involve inherent risks and
uncertainties and actual results may vary materially from those
expressed in the forward-looking statement. The Company undertakes no
obligation to revise or update any forward-looking statements in this
announcement to reflect events or circumstances after the date of
this announcement, unless required by law. 

Suite 1170, 700-4th Avenue S.W.,                                            
Calgary, Alberta, Canada                                                    
Telephone: +1-403-264-8877                                                  
Al Shafar Investment Building, Suite                                        
123, Shaikh Zayed Road,                                                     
Box 37174, Dubai, United Arab Emirates                                      
Telephone: +971-4-339-5212                                                  
Nowogrodzka 18/29                                                           
00-511 Warsaw, Poland                                                       
Telephone: +48 (22) 414 21 00                                               

Kulczyk Oil Ventures Inc. - Canada
Norman W. Holton
Vice Chairman
Kulczyk Oil Ventures Inc. - Poland
Jakub J. Korczak
Vice President Investor Relations & Managing Director CEE
+48 22 414 21 00
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