Swan Energy Oklahoma Update

Denver, Colorado March 13, 2013 - Swan Energy, Inc., alongside and through their strategic partners and affiliates, has furthered its operations in McClain and Garvin Counties, Oklahoma with the launch of the Wildhorse Creek Joint Venture. In these two counties, Swan Energy has 23 wells producing and 3 well under completion.

Brandon Davis, CEO of Swan Energy, Inc., states “We have the opportunity to continue our drilling program in Oklahoma in one of the most prolific producing areas of the mid-continent with an operator that has a wealth of experience in drilling over 40 wells in the immediate area.”

The 10 townships that Swan Energy is exploring have produced over 557 Million barrels of oil and the wells have averaged over 125,000 bbls of oil each.  Swan Energy’s Director of Exploration, John Herring, has stated, “Every prospect we drill has the potential to be a Bromide producer, which have averaged over 250,000 bbls of oil for each well.  Furthermore, there are many wells that have made in excess of 400,000 bbls of oil and plenty of wells that made over 1,000,000bbls of oil.”

Swan Energy is currently subscribing the Wildhorse Creek Joint Venture, which will consist of four wells in McClain and Garvin Counties, Oklahoma.  The first well drilled in this Joint Venture is currently under completion with the 3 remaining wells to begin drilling by the end of March.  While each well has primary target formation of the Bromides, the wells also have back up zones in the Hart Sands, Woodford Shale, Hunton Limestone, and Viola Limestone.

John Herring states, “All four prospects are modeled after our tried and true exploration method: drill in areas of proven production with all available offsets and seismic data to find the undrilled locations that are geologically correct for tapping large accumulations of oil.”

Swan Energy continues its long-term commitment to the exploration and production of proven oil and gas fields; specializing in the acquisition and development of domestic oil and natural gas fields in petroleum-rich areas across the United States.

Swan Energy Continues Drilling the Golden Trend Uplift of Oklahoma

Over the past several years Swan Energy, Inc., through and alongside their strategic partners, has benefited from a successful drilling program that targets the Bromide formation of the McClain County.

Historical Data Highlights of currently targeted sections in McClain County, Oklahoma:

Total BOE                                                                      550,221,750

Wells Drilled                                                                  4,575

Dry Holes                                                                       33

Completion %/(Geological Success)                             92.7%

BOE Completion                                                           129,708

Avg. IP                                                                           146 BOPD

To date Swan Energy has drilled 17 wells in the Golden Trend, out of which 17 have found oil and/or natural gas: 12 wells are producing, and 4 close to completion.

“I am excited to announce the continuation of our latest exploration efforts in the Golden Trend of Oklahoma.  It is a 3-well project that will target the Bromide formations with back up zones in the Hunton, Viola and Deese Sands,” says CEO of Swan Energy Brandon Davis.

The Three Queens Joint Venture will drill three wells in the exploration area, starting with an offset to two of the better wells Swan Energy Inc. has drilled in McClain County, Oklahoma.   The first well being offset has already made 50,000 BOE out of the 1^st Bromide, and has significant reserves in the Hunton, Viola and Hart Formations to be tapped.  The second well offsets a well that has made 12,000 BOE in the last 90 days from the Hunton/Viola formations.

“The Three Queen JV is getting an opportunity offset to wells we have already drilled and had success with.  Moreover Joint Venture partners have the opportunity to come on board with Swan Energy and our operator who combined have drilled over 35 wells in the immediate area, and have over a dozen more wells to be drilled by the years end.   This is a chance to participate with the leaders of exploration in McClain County, OK,” said John S. Herring, Director of Exploration, Swan Energy Inc.