Mr. Chris Bloomer reports

CONNACHER PROVIDES Q1 2014 OPERATIONAL UPDATE, AGM AND CONFERENCE CALL DETAILS

Connacher Oil and Gas Ltd. has provided an operational update for the first quarter 2014.

Production and operations

Based on field estimates, Connacher's Great Divide production for the first quarter of 2014 averaged 13,400 barrels per day. Production was 18 per cent higher than the prior quarter (fourth quarter 2013 -- 11,400 barrels per day).

On March 7, 2014, the company experienced a natural gas supply pipeline leak at Algar. The Algar plant was taken off-line for approximately four days on March 9 to complete the repair and was placed back on-line on March 12, 2014. Production and operations were quickly restored.

Drilling was completed on six of the nine planned infill wells as of mid-April. The remaining three infill wells will be drilled during the second quarter. These wells will then be completed, tied into the facilities, steamed for approximately 30 days and are expected to begin impacting production in the fourth quarter.

Marketing

In the first quarter of 2014, the volume of bitumen moved to customers outside of Alberta averaged approximately 7,872 barrels per day (59 per cent of total bitumen sales) compared to approximately 7,426 barrels per day (65 per cent of total bitumen sales) in the fourth quarter of 2013. The balance of the bitumen sales were to intra-Alberta markets.

First-quarter 2014 conference call details

Connacher will host its quarterly conference call on May 15, 2014, at 8 a.m. MDT. Interested participants can call in to 888-231-8191. Please use the conference ID No. 27180361. Participants are encouraged to call in five minutes prior to commencement.

Annual general meeting

The annual general meeting of shareholders of the company is scheduled to be held in Calgary at 2 p.m. MDT on May 15, 2014, at the Hyatt Regency Calgary. At the meeting, shareholders will be voting on the election of directors and the appointment of auditors.

We seek Safe Harbor.