Contact Exploration Announces Long-term Customer Signed by Pieridae Energy for Goldboro LNG Project

Contact Exploration Announces Long-term Customer Signed by Pieridae Energy for 
Goldboro LNG Project 
CALGARY, ALBERTA -- (Marketwired) -- 06/03/13 -- Contact Exploration
Inc. ("Contact" or the "Company") (TSX VENTURE:CEX) is pleased to
announce that Pieridae Energy (Canada) Ltd. ("Pieridae") has entered
into a long-term sales agreement with E.ON Global Commodities SE
("E.ON"), a subsidiary of E.ON SE, and one of the world's largest
investor-owned power and gas companies, for the purchase of liquefied
natural gas ("LNG") from the Goldboro LNG project being developed by
Pieridae in Nova Scotia, Canada. Under the agreement, Pieridae is to
deliver approximately 5 million tons per annum ("MTPA") of LNG to
E.ON for 20 years into a number of locations in Western Europe.  
As described in Contact's press release of March 4, 2013, Contact and
Pieridae are the partners in Pieridae Production Limited Partnership,
a natural gas-focused exploration and production entity formed to
source, develop and produce natural gas to serve as significant
portion of the feedstock for the Goldboro LNG project. 
The sales agreement was signed by Alfred Sorensen, President and CEO
of Pieridae and Gareth Griffiths, Chief Commercial Officer, Merchant
Trading of E.ON, at a signing ceremony at the Canadian Embassy in
Alfred Sorensen, President and CEO of Pieridae remarked that the
sales agreement represents one of the major milestones for Goldboro
LNG, noting that the agreement with E.ON provides the economic
security needed to complete the development of the first process
train of the Goldboro LNG terminal. Pieridae noted that the LNG
pricing in the sales agreement is based on market prices of natural
gas in the Western European market. 
In collaboration with Contact, Pieridae is having advanced
discussions with North American natural gas exploration and
production and pipeline companies, for the purpose of providing
natural gas feedstock and transportation services for the Goldboro
Upon completion, the Goldboro LNG terminal will have the ability to
export up to 10 MTPA of natural gas, year round, with on-site storage
capacity of 690,000 cubic metres of LNG. Upon commencement of
commercial operations, expected by the first quarter of 2020, natural
gas will be transported to Goldboro, Nova Scotia, primarily using
existing pipeline systems and exported by ship to international
"This milestone represents an enormous opportunity for Contact, in
our role as the operator of the upstream partnership responsible for
securing onshore natural gas reserves and production that will supply
the Goldboro facility," remarked Steve Harding, President and CEO of
Pieridae is currently conducting the environmental assessment ("EA")
for the Goldboro LNG project. Pieridae expects to submit the EA
report to the Province of Nova Scotia in 2013, with approval of the
EA being the next major milestone towards the final investment
decision for the project, expected in 2015. 
About Contact Exploration Inc. 
Contact Exploration Inc. is a public oil and gas company which has a
long-term history of operating in Atlantic Canada and has recently
demonstrated success in Alberta's liquids-rich Montney Formation
tight gas play. For more information, please see the Company's
About Pieridae 
Pieridae Energy is an energy infrastructure development company
focused on liquefied natural gas (LNG) opportunities. Founded in
2011, Pieridae plans to develop a fully integrated LNG infrastructure
business. Pieridae is currently developing Goldboro LNG, a proposed
export LNG terminal located in Goldboro, Nova Scotia, Canada. 
certain forward-looking information and statements within the meaning
of applicable securities laws. The use of any of the words "expect",
"anticipate", "continue", "estimate", "may", "will", "project",
"should", "believe", "plans", "intends" and similar expressions are
intended to identify forward-looking information or statements. In
particular, but without limiting the forgoing, this press release
contains statements concerning the volumes of deliveries of LNG to
E.ON by Pieridae in the future under the sales agreement, the
capacity of the Goldboro LNG terminal to export LNG upon completion
of the terminal, methods of transportation of natural gas and LNG to
the terminal and international markets in the future, the timing for
Pieridae to complete and submit the EA to the Province of Nova Scotia
and the possible approval of such EA .  
Forward-looking statements or information are based on a number of
material factors, expectations or assumptions of Contact which have
been used to develop such statements and information but which may
prove to be incorrect. Although Contact believes that the
expectations reflected in these forward-looking statements are
reasonable, undue reliance should not be placed on them because
Contact can give no assurance that they will prove to be correct.
Since forward-looking statements address future events and
conditions, by their very nature they involve inherent risks and
uncertainties. In particular, in addition to other factors and
assumptions which may be identified herein, no assurances can be
given that: (i) Contact's New Brunswick natural gas assets will be
developed as a result of the completion of the Goldboro LNG terminal;
or (ii) the Goldboro LNG Facility will be completed or, if completed,
will have the processing capacity, or will result in the economic
benefits to Contact or otherwise, discussed herein.  
Further, events or circumstances may cause actual results to differ
materially from those predicted as a result of numerous known and
unknown risks, uncertainties, and other factors, many of which are
beyond the control of the Company, including, without limitation:
changes in commodity prices; changes in the demand for or supply of
the Company's products; unanticipated operating results or production
declines; changes in tax or environmental laws, royalty rates or
other regulatory matters, in particular regulatory matters related to
the development of the Goldboro LNG Facility; changes in development
plans of Contact or by third party operators of Contact's properties,
increased debt levels or debt service requirements; inaccurate
estimation of Contact's oil and gas reserve and resource volumes;
limited, unfavourable or a lack of access to capital markets;
increased costs; a lack of adequate insurance coverage; the impact of
competitors; and certain other risks detailed from time-to-time in
Contact's public disclosure documents. Additional information
regarding some of these risk factors may be found under "Risk
Factors" in the Company's Management Discussion and Analysis prepared
for the year ended March 31, 2012. The reader is cautioned not to
place undue reliance on this forward-looking information. The forward
looking statements contained in this press release are made as of the
date hereof and Contact undertakes no obligations to update publicly
or revise any forward looking statements or information, whether as a
result of new information, future events or otherwise, unless so
required by applicable securities laws. 
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. 
Contact Exploration Inc.
Steve Harding
President and CEO
(403) 771-1091
(403) 695-3915 (FAX)
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