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Manitok Energy Inc. (the "Corporation" or "Manitok") (TSX VENTURE:MEI) provides
an update on the oil discovery well, guidance and continuing operations below.  


The second of Manitok's new pool oil discovery wells in Stolberg is free flowing
to surface at 1,340 bbls/d (1,059 net) of 51 degrees API oil and 95 boe/d (75
net) of associated natural gas. The well has a horizontal leg of about 200
meters and was not fracture stimulated. The well has flowed approximately 19,568
bbls (15,459 net) of 51 degrees API oil and 8.5 Mmcf (6.7 net) of natural gas
over 20 days of production. The first three days average production was
approximately 912 bbls/d (720 net) of light oil and 65 boe/d (51 net) of natural
gas. The last three days average production was approximately 1,214 bbls/d (959
net) of light oil and 95 boe/d (75 net) of natural gas. It is common to see
production improving initially with unstimulated conventional reservoirs versus
up to 40% declines in the first month of production with unconventional
reservoirs. Manitok currently receives a premium of about $5 to $7 per barrel to
Edmonton par pricing due to the higher quality of its light oil.  


To provide some historical context, based on information available on public
databases and Manitok's internal analysis, Manitok believes that during the last
25 years there has been only one unstimulated Cardium oil well drilled in
Alberta that has averaged greater than 1,000 bbls/d in the first 30 days and
that there have been only about 35 unstimulated oil wells in Alberta that have
averaged over 1,000 bbls/d in the first 30 days from any formation. In addition,
in comparison to Manitok's new oil discovery well, a well in the Cardium oil
pool directly northwest of Manitok's discovery well achieved a peak production
rate of about 340 bbls/d and has cumulatively produced about 494,000 bbls of
light oil over the last nine years and is still currently producing at an
average rate of 100 bbls/d.  


When considering the results of Manitok's new oil discovery well and the results
of Manitok's Stolberg liquids rich natural gas discovery well in 2011, Manitok
believes that it has successfully drilled two top tier wells in its first three
foothills' drills. During the last nine and a half months, the first Stolberg
well has cumulatively produced about 1.1 Bcf (0.83 net) of sweet liquids rich
natural gas and 12,000 bbls (9,000 net) of wellhead condensate and its peak rate
was about 5.1 Mmcf/d (3.8 net). Currently, the first Stolberg well is producing
at about 3.9 Mmcf/d (2.9 net) with about 11 bbls per Mmcf (8.3 net) of wellhead
condensate. In regards to cumulative production to date, Manitok believes that
this well ranks in the top 30 unstimulated vertical Mannville natural gas wells
drilled in the last 20 years in Alberta based on information available on public
databases and Manitok's internal analysis.  


Manitok's two significantly successful operations demonstrate both the
management team's expertise in the foothills and the extent of the opportunities
that exist in the area. By targeting underexploited, conventional reservoirs
with a wide range of possible positive outcomes and ensuring that the economics
of that project are robust at the lower end of that band of outcomes, Manitok
believes that it can increase its probability of achieving above average rates
of return over the longer term. In other words, Manitok de-risks its projects as
much as it can on a technical basis and then assume conservative outcomes and
costs. Manitok believes that by using this approach, it is able to absorb
variances between actual versus expected costs or production rates and still
achieve top tier rates of return. The results of the two Stolberg wells were
achieved through the exploitation of only a small fraction of Manitok's land
base. Given that Manitok has an average working interest of 64% on over 379
sections (242,560 acres) of land and the relatively underexploited nature of the
foothills, Manitok believes that there are many conventional opportunities that
exist on its lands. As Manitok drills through its inventory of targets, Manitok
believes that it has the potential to repeat results such as the two Stolberg
wells mentioned above. 


Guidance 

Manitok is currently producing about 2,570 net boe/d with approximately 1,120
net bbls/d of oil and liquids. About 200 net boe/d of natural gas production is
currently down due to a normal course plant maintenance turnaround and is
expected to be back on production later in June. That would bring Manitok's
aggregate production to about 2,770 boe/d, with approximately 40% oil and
liquids. These volumes exclude the recently shut in, and previously announced,
185 boe/d of natural gas production in the Solomon area. Manitok's previous June
2012 guidance was 2,615 to 2,715 boe/d, when adjusted for the shut-in Solomon
natural gas production, with 36% oil and liquids. Manitok is on track to meet
its year-end production exit target of 3,730 to 3,830 boe/d with about 57 to 60%
oil and liquids. 


Operations Update 

Manitok has been able to increase its oil and liquids production proportion to
about 40% with only 2 (1.5 net) of this year's planned 12 (7.5 net) Cardium
light oil wells currently on production. The third well (64% working interest)
of the 2012 program, which has a 700 meter horizontal leg, was not fracture
stimulated. However, due to permeable nature of the reservoir at this location,
more than 300 cubic meters of drilling fluid was lost to the reservoir therefore
requiring an extended swab back period. As such, Manitok is presently equipping
this well with a temporary battery for an extended period of production testing
commencing in early July. To date, Manitok has swabbed back drilling mud and
about 600 bbls of 44 degrees API light oil. The use of the temporary battery for
an extended period is to determine whether the well's results support the
decision to drill a second well from the same pad before making the decision to
construct a permanent battery. 


Completion and testing operations are underway on the fifth well (72% working
interest) of the program. The fourth and fifth wells were both deviated
(relatively vertical) wells drilled from the same pad. Data from the drilling
operations from both wells were encouraging. The fourth well (65% working
interest) will be tested immediately after the fifth well has been completed and
tested. The two wells required considerably less capital than a horizontal
drill. The total to drill both wells was about $5.2 million ($3.2 million net
when considering farm out terms on the fifth well). The drilling of the fourth
well resulted in Manitok increasing its working interest on three quarters of
that section from 25% to 65% when the company holding a majority interest in the
lands farmed out its working interest rather than participating in the drill.
The additional interest in the land provides Manitok with a greater working
interest in at least one additional light oil target. 


Manitok has recently finished drilling the sixth Cardium oil well (79% working
interest) of the program, which is a horizontal well. It is on the same section,
offsetting the successful oil discovery well mentioned at the beginning of this
press release. Initial data from the drill is very encouraging with strong oil
shows during the horizontal portion of its drilling operation. The rig is
currently sliding over to drill the seventh well (79% working interest) from the
same pad and is anticipated to be spud before the end of this week. It is also a
horizontal well offsetting the successful oil discovery well. Production testing
of the two wells will begin once the seventh well is drilled and the drilling
rig has moved off the pad. 


Drilling operations have proceeded smoothly over the course of the last several
months. There have been no major delays due to break up or weather. Manitok's
drilling costs per meter have been decreasing as operations become more
efficient. Drilling costs have dropped by at least 25% when comparing costs per
meter drilled of the first and latest drills, in both the deviated and
horizontal categories, in the 2012 drilling program.  


About Manitok 

Manitok is a public oil and gas exploration and development company focusing on
conventional oil and gas reservoirs in the Canadian foothills. Manitok's
corporate strategy is that of being an "early mover" in the exploitation phase
of the development life cycle of hydrocarbon reserves in the Canadian foothills.
The Corporation will continue to utilize its experience and expertise to develop
the untapped conventional sweet oil and liquids-rich natural gas pools in this
large and under-exploited region of the Western Canadian Sedimentary Basin. 


For further information view our website at www.manitokenergy.com. 

Forward-Looking Information 

This press release contains forward-looking statements. More particularly, this
press release contains statements concerning the anticipated 2012 exit rate of
production, timing of the completion of Manitok's normal course plant
maintenance, statements as to Manitok's operational and drilling plan and the
development and growth potential of Manitok's properties.  


The forward-looking statements in this press release are based on certain key
expectations and assumptions made by Manitok, including the operational
parameters specifically set out in the press release and expectations and
assumptions concerning the success of future drilling and development
activities, the performance of existing wells, the performance of new wells, the
successful application of technology, validity of the geological and other
technical interpretations that have been performed by Manitok's technical staff,
prevailing weather conditions, commodity prices, royalty regimes and exchange
rates and the availability of capital, labour and services. 


Although Manitok believes that the expectations and assumptions on which the
forward-looking statements are based are reasonable, undue reliance should not
be placed on the forward-looking statements because Manitok 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. Actual results could differ materially from those
currently anticipated due to a number of factors and risks. These include, but
are not limited to, risks associated with the oil and gas industry in general
(e.g., operational risks in development, exploration and production; delays or
changes in plans with respect to exploration or development projects or capital
expenditures; the uncertainty of reserves estimates; the uncertainty of
estimates and projections relating to production, costs and expenses; and
health, safety and environmental risks), uncertainty as to the availability of
labour and services, commodity price and exchange rate fluctuations, unexpected
adverse weather conditions and changes to existing laws and regulations. Certain
of these risks are set out in more detail in Manitok's current Annual
Information Form, which is available on Manitok's SEDAR profile at
www.sedar.com.  


Forward-looking information is based on estimates and opinions of management of
Manitok at the time the information is presented. Manitok may, as considered
necessary in the circumstances, update or revise such forward-looking
information, whether as a result of new information, future events or otherwise,
but Manitok undertakes no obligation to update or revise any forward-looking
information, except as required by applicable securities laws. 


BOE Conversions 

The term barrels of oil equivalent ("boe") may be misleading, particularly if
used in isolation. Per boe amounts have been calculated using a conversion ratio
of six thousand cubic feet of natural gas to one barrel of oil. This boe
conversion ratio of 6:1 is based on an energy equivalency conversion method
primarily applicable at the burner tip and does not represent a value
equivalency at the wellhead.
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