Mr. Gary Nuschler reports

ROOSTER ENERGY LTD. ANNOUNCES SECOND QUARTER 2014 FINANCIAL AND OPERATING RESULTS AND PROVIDES UPDATE ON DEBT FINANCING

Rooster Energy Ltd. has filed on SEDAR its unaudited interim financial statements and related management's discussion and analysis for the three months ended June 30, 2014. Selected financial and operational information for first quarter 2014 and subsequent thereto is contained in this summary and should be read in conjunction with the financial statements and related management's discussion and analysis.

Robert P. Murphy, president and chief executive officer, commented: "Production volumes in Q2 2014 averaged 1,310 barrels of oil equivalent per day, compared to 1,208 boepd in first quarter 2014. During the second quarter, the company resumed production of our wells at High Island 141 and installed compression at Grand Isle 70, which led to the sequential increase in production. The company generated EBITDAX of $3.3-million in Q2 2014, compared to $3.8-million in first quarter 2014.

"In July, 2014, the company announced its intention to commence a private offering of $100-million (U.S.) of senior secured notes. We have received considerable interest in the offering and anticipate finalizing terms of a financing in the next 30 days. Proceeds from a financing, combined with the proposed new revolving credit facility, will enable Rooster to execute on its 2014-2015 drilling and recompletion program. Concurrent with the closing of the proposed financing and revolving credit facility, we intend to consummate the acquisitions of Cochon Properties LLC and Morrison Well Services LLC previously approved by shareholders. The acquisition of Cochon and Well Services will create a vertically integrated cradle-to-grave oil and gas operator that enables us to continue our strategy of near infrastructure exploration and development with the added ability to dismantle the infrastructure in a safe, timely and cost-efficient manner."

                     SUMMARY FINANCIAL RESULTS

                      For the three months ended    For the six months ended
                                   June 30,                    June 30,
                              2014          2013          2014          2013
Sales
Oil (bbl)                   61,640        76,498       119,952       151,063
NGL (bbl)                    5,263         8,816        10,564        18,691
Natural gas (Mcf)          313,772       752,227       584,318     1,698,390
Total (boe/day)              1,310         2,315         1,259         2,502
Revenue               $  7,877,628  $ 10,731,229  $ 15,571,769  $ 22,289,783
Total costs and
expenses                 6,377,426     7,103,388    11,408,336    19,008,695
Operating income
(loss)                   1,500,202     3,627,841     4,163,433     3,281,088
Unrealized gain
(loss) on
financing
warrants                (1,038,000)   (1,515,000)     (287,000)   (1,464,000)
Finance expenses        (3,518,414)   (1,295,045)   (5,230,963)   (2,564,765)
Income (loss) before
tax expense             (3,056,212)      817,796    (1,354,530)     (747,677)
Deferred tax
expense
(recovery)                (312,000)      759,000       304,000       (85,000)
Income (loss)           (2,744,212)       58,796    (1,658,530)     (662,677)
Income (loss) per
share
Basic                        (0.03)         0.00         (0.02)        (0.01)
Diluted                      (0.03)         0.00         (0.02)        (0.01)

Extension of membership interest contribution agreements

On March 7, 2014, the company announced that it entered into two separate membership interest contribution agreements to acquire all of the ownership of Morrison Well Services and Cochon Properties, which acquisitions were subsequently approved by the shareholders on May 16, 2014. The company previously entered into agreements with the members of Cochon and Well Services to extend the time to close its acquisitions of Well Services and Cochon from July 7, 2014, until Aug. 15, 2014. The company is pleased to announce that it has entered into subsequent agreements to extend the time to close its acquisitions of Well Services and Cochon until Sept. 30, 2014. It is expected that the acquisitions will close on or about the same time as the financing, but the acquisitions are not conditioned upon the financing.

Extension of limited consent

To enter into the membership interest contribution agreements for Well Services and Cochon, the company obtained the consent of the holders of its current first-priority secured notes in the amount of $22.5-million (U.S.) pursuant to a limited consent and forbearance agreement dated March 7, 2014. Therein, the holders of the notes and the company acknowledged that at the end of fourth quarter of 2013, the company was in existing and continuing default of the collateral coverage ratio covenant of the notes, and to allow for the acquisition of Cochon and Well Services, the limited consent provided that the holders of the notes will forbear from exercising certain rights and remedies under the loan agreements in respect of the specified default until, among other things, payment in full of the obligations owed by the company to the holders or July 7, 2014. The company entered into a first amended limited consent agreement with the holders extending from July 7, 2014, to Aug. 31, 2014, the date of the limited consent. On Aug. 29, 2014, the company entered into a second amended limited consent agreement with the holders of the notes extending the termination date of the limited consent to Sept. 30, 2014.

We seek Safe Harbor.