An anonymous representative of Madalena reports

DISPOSITION OF COMMON SHARES IN THE CAPITAL OF POINT LOMA RESOURCES LTD. BY MADALENA ENERGY INC.

Pursuant to the early warning requirements of applicable Canadian securities laws and in connection with Madalena Energy Inc.'s ownership of common shares in the capital of Point Loma Resources Ltd., on April 24, 2017, Madalena sold 2,341,806 common shares for total gross proceeds of approximately $550,000.

Prior to the transaction, Madalena beneficially owned or controlled, directly or indirectly, 4,684,314 common shares, representing approximately 13.9 per cent of the then current issued and outstanding common shares. Immediately after the completion of the transaction, Madalena beneficially owned or controlled, directly or indirectly, 2,342,508 common shares, representing 7.0 per cent of the then current issued and outstanding common shares. Madalena may, depending on market and other conditions, increase or decrease its ownership of common shares of the company, whether in the open market, by privately negotiated agreement or otherwise going forward.

For further details regarding the disposition of the common shares described above, see the early warning report dated April 25, 2017, available on the company's SEDAR profile.

For further information or to obtain a copy of the early warning report filed in conjunction with this news release, please contact: Madalena Energy, 200, 707 7th Ave. Southwest, Calgary, Alta., Canada, T2P 3H6, or telephone: 403-262-1901.