Ms. Cristina Lopez reports

PRAIRIESKY ROYALTY ANNOUNCES CLOSING OF RANGE ROYALTY ACQUISITION AND CONFIRMS DIVIDEND INCREASE

PrairieSky Royalty Ltd. has completed the previously announced acquisition of Range Royalty LP. With closing of the transaction, PrairieSky acquired approximately 3,000 barrels of oil equivalent per day (40 per cent liquids) of high-quality royalty production and 3.5 million acres of royalty lands.

With closing of the Range acquisition, PrairieSky has increased its annual dividend from $1.27 per share to $1.30 per share. The first increased dividend will be paid in February, 2015, to shareholders of record on Jan. 30, 2015.

As previously announced, Margaret McKenzie and Grant Zawalsky have been appointed to PrairieSky's board of directors. In addition, Bruce Waterman and Brian Shaw have resigned from PrairieSky's board of directors, effective today's date. Both Mr. Waterman and Mr. Shaw were nominees to the PrairieSky board of directors under the governance agreement with Encana Corp. which terminated upon closing of the previously announced secondary offering by Encana of its remaining share position in PrairieSky in September, 2014.

The board of directors wishes to thank Mr. Waterman and Mr. Shaw for their contributions to PrairieSky.